9. Prohibition of excessive advance, premium or other additional payment.
10. Letting of parts of premises and subletting of premises or part thereof.
11. Contracts for the hire or lease of furniture, fittings.
12. Use of residential premises for other purposes.
13. Provision of amenities, repairs.
14. Tenancy and amenities of premises purchased under Partition Law or allocated under partition decree.
15. Withholding amenities provided to tenants.
16. Use of force on tenants and causing damage to premises.
17. Interference with occupation by tenants.
18. Demolition of buildings.
18A. Demolition of buildings over fifty years old.
19. Number of independent units in residential premises not to be reduced.
20. Construction of additional residential units on excess land.
20A. Construction of additional residential units on appurtenant land exceeding eight perches in extent.
21. Rent may be paid to the authorised person instead of the landlord.
22. Proceedings for ejectment.
23. Ejectment of occupiers of residential premises purchased or constructed with moneys provided by prescribed State institutions on mortgages of such premises.
24. Prohibition of ejectment proceedings for ten years after obtaining a decree for ejectment.
25. Withdrawal of notice on provision of guarantee for payment of rent.
26. Ejectment of the tenants of parts of premises.
27. Ejectment of tenant of part of premises another part of which is occupied by the landlord.
28. Ejectment of tenants who cease to occupy premises for six months.
29. Agreements in respect of tenancy, rent.
31. Continuance of original contract of tenancy.
32. Recovery of payments in excess of authorised rent.
33. Statement as to standard rent, receipt.
34. Power of Board to determine authorised rent.
35. Certificate of tenancy.
36. Continuance of tenancy upon death of tenant.
37. Rent Register.
38. Constitution of Rent Board.
39. Proceedings before the Board.
40. Board of Review.
41. Financial provisions.
42. Offences and penalties.
44. Enforcement of Act by authorised officers.
44A. Delegation of powers of the Commissioner for National Housing.
45. Removal of difficulties.
46. Repeal and transitional provisions.
47. Pending actions.
49. Cancellation of certain agreement and leases.
AN ACT to amend and consolidate the law relating to rent restriction.
[Date of Commencement: 1 st March, 1972 ]
(1) This Act may be cited as the Rent Act.
(2) The provisions of this Act other than the provisions of sections 15, 16 and 17 thereof shall come into operation on the 1st day of March, 1972.
(3) The provisions of sections 15, 16 and 17 of this Act shall come into operation on such date as may be appointed by the Minister by Order published in the Gazette . 1
2 . Operation and application of Act.
(1) This Act shall be in operation—
( a ) in every area in which the Rent Restriction Act, (No. 29 of 1948), was, by virtue of the provisions of section 2 of that Act and by virtue of any notification made under that section, in force immediately prior to the 1st day of March, 1972; and
( b ) in every other area for the time being declared by the Minister, by Notification published in the Gazette , to be an area in which this Act shall be in operation.
(2) The Minister shall in every Notification under paragraph ( b ) of subsection (1), appoint the date on which the Notification shall take effect.
(3) The Minister may, by Order published in the Gazette , declare that this Act shall with effect from such date as may be specified therein cease to be in operation in any area, or in any part of any area, in which the Act has been in operation.
(4) So long as this Act is in operation in any area, the provisions of this Act shall apply to all premises in that area, other than—
( a ) excepted premises;
( b ) residential premises constructed after January 1, 1980, and let on or after that date;
( c ) residential premises occupied by the owner on January 1, 1980, and let on or after that date;
( cc ) residential premises occupied or the possession thereof taken by the landlord on or after January 1, 1980 and let on or after that date—
[S 2(4)( cc ) ins by s 2 of Act 26 of 2002.]
( d ) residential premises in the occupation of—
(i) a person who has been issued with a valid visa under the Immigrants and Emigrants Act and whose total income exceeds one thousand rupees per month; or
(ii) a non-resident company, and let to such person or company, as the case may be, on or before the coming into operation of this subsection which the Commissioner for National Housing, on application made by the landlord thereof, upon being satisfied of such facts, exempts from the application of this Act; and
( e ) residential premises let after the 12th day of December, 1980—
(i) a person, who has been issued a valid visa under the Immigrants and Emigrants Act and whose total income exceeds one thousand rupees per month; or
(ii) a non-resident company, in respect of which the landlord thereof obtains the prior approval therefor of the Commissioner for National Housing who shall grant such approval if he is satisfied that the previous tenant has vacated such premises voluntarily or upon an order of court,
and the word "premises” wherever it occurs in this Act shall, unless the context otherwise requires, be construed as premises to which this Act applies, and the expressions "residential premises” and "business premises” shall be construed accordingly.
In this subsection—
( A ) the expression "residential premises constructed after January 1, 1980” means—
(i) a residential premises situated within the administrative limits of a local authority, and in respect of which a certificate of conformity has been granted, after January 1, 1980, under the Housing and Town Improvement Ordinance, to the effect that such premises is as regards construction, drainage and in all other respects, in accordance with the law; or
(ii) a residential premises situated in an area where the local authority thereof does not issue certificates of conformity, and in respect of which a certificate has been granted in the prescribed form after January 1, 1980, by the Assistant Government Agent of the administrative division within which such premises are situated, to the effect that such premises were ready for occupation on or after January 1, 1980; and
( B ) the expression "non-resident company” means—
( a ) a company to which Part IX of the Companies Ordinance 2 applies; or
( b ) a company exempted under section 3 of the Companies (Special Provisions) Law; or
( c ) a company recognized as an "existing company” under the Companies Ordinance where the majority of the shareholders or the directors of such company are not resident in Sri Lanka; or
( d ) a company registered in Sri Lanka which is controlled and managed by persons outside Sri Lanka and whose principal office is situated outside Sri Lanka.
[S 2(4) subs by s 2 of Act 55 of 1980.]
(5) The regulations in the Schedule to this Act shall have effect for the purpose of determining the premises which shall be excepted premises for the purposes of this Act, and may be amended from time to time, by regulation made under section 43.
3 . Restriction on increase of rent.
(1) It shall not be lawful for the landlord of any premises—
( a ) to demand, receive or recover as the rent of such premises in respect of any period commencing on or after the date of commencement of this Act any amount in excess of the authorised rent of such premises as defined for the purposes of this Act in section 6; or
( b ) to increase the rent of such premises in respect of any such period to an amount in excess of such authorised rent.
[S 3(1) subs by s 3 of Act 55 of 1980.]
(2) It shall not be lawful for the tenant of any premises to pay or offer to pay, as the rent of such premises, any amount in excess of the authorised rent of such premises as defined for the purposes of this Act in section 6.
[S 3(1) subs by s 3 of Act 55 of 1980.]
(3) Any transfer to a tenant of any burden or liability previously borne by the landlord shall, for the purposes of this Act, be treated as an alteration of rent, and where, as the result of such transfer, the terms on which any premises are held are on the whole less favourable to the tenant than the previous terms, the rent shall be deemed to be increased, whether or not the sum periodically payable by way of rent is increased; and any increase of rent in respect of any transfer to a landlord of any burden or liability previously borne by the tenant where, as the result of such transfer, the terms on which any premises are held are on the whole not less favourable to the tenant than the previous terms, shall be deemed not to be an increase of rent for the purposes of this Act;
Provided that, for the purposes of this section, the rent shall not be deemed to be increased where the liability for rates is transferred from the landlord to the tenant, if a corresponding reduction is made in the rent.
4 . Standard rent.
(1) The standard rent per annum of any residential premises the first assessment of the annual value of which was made in respect of any period commencing on a day not later than the first day of January, 1969, and the annual value of which does not exceed the relevant amount, and of any business premises the annual value of which does not exceed the relevant amount, means—
( a ) the amount of the annual value of such premises as specified in the assessment in force during the month of January, 1955, or if the assessment of the annual value of such premises is made for the first time after that month, the amount of such annual value as specified in such first assessment; or
( b ) if the rates levied in respect of such premises are, under the terms of the tenancy, payable by the landlord, the aggregate of the amount determined under paragraph ( a ) and of the amount payable per annum by way of rates in respect of such premises for the time being.
(2) The standard rent per annum of any residential premises, other than premises referred to in subsection (1), means the aggregate of—
( a ) the amount of the annual value of such premises; and
( b ) the amount payable per annum by way of rates in respect of such premises.
(3) In the case of any premises to which the provisions of subsections (1) and (2) do not apply, the standard rent per annum of the premises means such rent as may be fixed by the board on application made either by the landlord or the tenant for the time being of such premises.
(4) The standard rent of any premises per month or per quarter or per half-year shall be determined in proportion to the standard rent of the premises per annum.
[S 4 subs by s 4 of Act 55 of 1980.]
5 . Permitted increases.
(1) Where the landlord of any premises has, since the date by reference to which the standard rent of the premises is determined for the purposes of this Act, incurred, or hereafter incurs, expenditure on the improvement, repair or structural alteration of the premises (not including expenditure on decoration)—
( a ) in any case, where such landlord has obtained the prior consent of the tenant to effect such improvement, repair or structural alteration, and such tenant has agreed as to the amount to be expended thereon; or
( b ) in any case where the tenant has withheld his consent to effect such improvement, repair or structural alteration and where the landlord has obtained the prior approval of the board to effect such improvement, repair, or structural alteration, at such amount as is authorised by the board, unless such expenditure is borne by the landlord and the tenant in equal share, the standard rent per annum of such premises may be increased for a period of five years by twenty-five per centum each year of the amount of the expenditure so incurred:
[S 5(1)( b ) am by s 3 of Act 26 of 2002.]
Provided, however, that the board may, on application made by the tenant of such premises, direct that the standard rent shall not be increased as hereinbefore provided, or reduce the amount by which the standard rent may be so increased on the ground that the improvement, repair or structural alteration was not carried out in accordance with the agreement reached with the tenant or the authorisation of the board, as the case may be.
(2) An increase of the rent of any premises in accordance with the provisions of subsection (1) shall be a permitted increase for the purposes of this Act.
[S 5(2) subs by s 4 of Act 55 of 1980.]
6 . Authorised rent.
For the purposes of this Act, the authorised rent of any premises shall be the standard rent of the premises determined under section 4, or where any increase of rent is permitted by section 5 in the case of such premises, the aggregate of the standard rent and every such permitted increase:
Provided, however, that the authorised rent of any premises shall not be less than the authorised rent or the receivable rent of those premises, as the case may be, under the provisions of this Act as were in force on March 1, 1972.
[S 6 subs by s 4 of Act 55 of 1980.]
[Rep by s 5 of Act 55 of 1980.]
[Rep by s 6 of Act 55 of 1980.]
9 . Prohibition of excessive advance, premium or other additional payment.
(1) No person shall, as a condition of the grant, renewal or continuance of the tenancy of any premises, demand or receive, or pay or offer to pay—
( a ) as an advance of rent, any amount exceeding the authorised rent for a period of three months; or
[S 9(1)( a ) subs by s 7 of Act 55 of 1980.]
( b ) in addition to the rent of such premises, any premium, commission, gratuity or other like payment or pecuniary consideration whatsoever.
(2) Where a landlord is convicted of having received any amount in contravention of the provisions of subsection (1), the Magistrate may make order requiring such landlord to refund such amount to the person from whom such amount was received.
(3) Where the Commissioner for National Housing is satisfied that the landlord of any premises has demanded any amount in contravention of the provisions of subsection (1), the Commissioner may make order directing such landlord not to grant the tenancy of such premises to any person other than a person authorised for the purpose by the board; and where the landlord grants the tenancy of such premises in contravention of such order, the landlord shall be guilty of an offence under this Act.
(4) Where an order is made by the Commissioner for National Housing under subsection (3), the board shall, subject as hereinafter provided and notwithstanding anything in any other law, authorise such person as in its opinion is suitable to be the tenant of the premises, to occupy such premises.
(5) Where any person authorised by the board under subsection (4) to occupy any premises, occupies such premises, such person shall be deemed for the purposes of this Act to be the tenant of such premises and the provisions of this Act shall apply accordingly.
(6) The exercise of the power of the board to authorise persons to occupy premises under subsection (4) shall be subject to the right of the landlord of the premises to object to the first three persons proposed by the board to be so authorised.
10 . Letting of parts of premises and subletting of premises or part thereof.
(1) For the purposes of this Act, any part of any premises shall be deemed to have been let or sublet to any person if such person is in occupation of such premises or any part thereof in consideration of the payment of rent and the provisions of this Act shall not apply to such letting or subletting unless the landlord has consented in writing to the letting or subletting of such premises.
[S 10(1) subs by s 4 of Act 26 of 2002.]
(2) Notwithstanding anything in any other law, the tenant of any premises—
( a ) shall not, without the prior consent in writing of the landlord, sublet the premises to any other person; or
( b ) shall not sublet any part of the premises to any cither person—
(i) without the prior consent in writing of the landlord; and
(ii) unless prior to so subletting, he had applied to the board to fix the proportionate rent of such part of the premises and had informed the board and the landlord the name of the person to whom he proposes to sublet such part.
(3) As soon as may be after the board has fixed the proportionate rent of such part of the premises, the tenant shall in writing intimate to the landlord and to the subtenant the amount fixed by the board as the proportionate rent. Any sum received as rent which is in excess of the proportionate rent fixed by the hoard shall be refunded by the tenant to the subtenant or set off against the rent payable thereafter by the subtenant.
(4) Where the tenant of any premises has prior to the date of commencement of this Act sublet any part of such premises and where the landlord of any premises has prior to such date let any part of such premises, and where the proportionate rent of the part sublet or let, a”, the case may be, has not been fixed by the board, it shall be the duty of the tenant and the subtenant of the premises sublet and of the landlord and the tenant of the part of the premises let, to make an application to the board within thirty days of the late of commencement of this Act, to fix the proportionate rent of the part sublet or let as the case may be, and the hoard shall for\such rent on the basis of the authorised rent or the receivable rent, as the case may be.
(5) Where the tenant of any premises sublets such premises or any pan thereof without the prior consent in writing of the landlord, the landlord of such premises shall, notwithstanding the provisions of section 22, be entitled in a court of competent jurisdiction to a decree for the ejectment of such tenant from such premises, and also for the ejectment of the person or each of the persons to whom the premises or any part thereof had been sublet.
(6) Where the tenant of any premises who has sublet such premises or any part thereof receives or recovers in respect of the premises or the part of the premises which he has sublet, any amount exceeding the authorised rent, or any amount exceeding such amount as the board has fixed as the proportionate rent of the part sublet, or receives or recovers, in addition to the authorised rent or the proportionate rent, any premium, commission, gratuity or other like payment or pecuniary consideration whatsoever, such tenant shall be guilty of an offence under this Act, and the landlord of such premises shall, notwithstanding the provisions of section 22, be entitled in an action instituted in a court of competent jurisdiction to a decree for the ejectment of such tenant from the premises.
[S 10(6) subs by s 8 of Act 55 of 1980.]
(7) Nothing in subsection (2), subsection (5) or subsection (6) shall apply to the subletting of any premises or part thereof without the prior consent in writing of the landlord where such premises or part had been sublet prior to the date of commencement of this Act to any person, so long as that person continues to be the subtenant of the premises or part thereof.
(8) Where any premises are sublet by a tenant in whole or in part the tenant shall in relation to the subtenant or each of the subtenants be deemed for all purposes of this Act to be the landlord of the premises and the other provisions of this Act shall apply accordingly.
(9) No landlord of any premises shall let any part of such premises to any other person unless prior to so letting he had applied to the board to fix the proportionate rent of such part, and had informed the board the name of the person to whom he proposes to let such part.
(10) As soon as may be after the board has fixed the proportionate rent of the part of the premises let by the landlord, the landlord shall in writing intimate to the tenant the amount fixed by the board as the proportionate rent. Any sum received as rent which is in excess of the proportionate rent fixed by the board shall be refunded by the landlord to the tenant or set off against the rent payable thereafter by the tenant.
(11) Where the landlord receives or recovers in respect of any part of the premises which he has let, any amount exceeding such amount as the board has fixed as the proportionate rent of such part, or receives or recovers, in addition to such proportionate rent, any premium, commission, gratuity or other like payment or pecuniary consideration whatsoever, He shall be guilty of an offence under this Act, and where the tenant of any such part pays or offers to pay any amount exceeding such proportionate rent in respect of such part, or pays or offers to pay in addition to such proportionate rent any premium, commission, gratuity or other like payment or consideration whatsoever, he shall be guilty of an offence under this Act.
(12) The board shall give priority over the other proceedings before the board, to the hearing and determination of any application made under subsection ( 2)( b )( ii) or subsection (9) for the fixing of the proportionate rent, and the board shall fix such rent on the basis of one hundred and twenty per centum of the authorised rent.
[S 10(12) subs by s 8 of Act 55 of 1980.]
(13) Where any premises are let, sublet or occupied in separate parts, which are not separately assessed for the purpose of rates and the aggregate of the amount demanded or received as the rent for such separate parts exceeds the authorised rent of the premises, the landlord shall be deemed to have contravened the provisions of section 3 of this Act:
Provided, however, that where any such premises are let, sublet or occupied in separate parts on or after the date of commencement of this Act, the landlord shall not be deemed to have contravened such provisions if the aggregate of the amount demanded as the rent for such separate parts does not exceed one hundred and twenty per centum of the authorised rent of such premises.
[S 10(13) subs by s 8 of Act 55 of 1980.]
(14) Where any premises are let or sublet prior to the date of commencement of this Act in separate parts which are not separately assessed for the purpose of rates, the landlord or the tenant, as the case may be, of such premises shall not demand, receive or recover as the rent of any part of such premises so let or sublet any amount in excess of the proportionate rent fixed for such part by the board under this Act, notwithstanding that such part has subsequent to the date on which it was let or sublet, been separately assessed for the purpose of rates.
11 . Contracts for the hire or lease of furniture, fittings.
(1) Subject to the provisions of subsection (2), no landlord or agent of the landlord of any premises shall enter into an agreement or other contract with the tenant or an agent of the tenant of such premises for the hire or lease of any furniture, fittings or appliances on such premises.
(2) Where any residential premises which are occupied by the landlord are let to a tenant on account of the landlord temporarily not requiring the use thereof, such landlord may enter into a separate agreement or contract for the hire or lease by the tenant of such furniture, fittings and appliances as were kept in such premises for the personal use of the landlord. Such agreement or contract shall not be entered into except with the prior permission of the board granted on application made by the landlord, and the period for which such agreement or contract shall prevail and the amount payable by the tenant in respect of the hire or lease of such furniture, fittings and appliances shall be as determined by the board when such permission is granted.
(3) Notwithstanding anything in any other law, no agreement or other contract entered into prior to the date of commencement of this Act between the landlord or an agent of the landlord, and the tenant or an agent of the tenant, of any premises, for the hire or lease of any furniture, fittings or appliances on such premises shall be valid or have effect in law, and no landlord shall receive any consideration or benefit arising from such agreement or contract except such consideration or benefit as accrued to him prior to the date of commencement of this Act.
12 . Use of residential premises for other purposes.
(1) Notwithstanding anything in any other law, no landlord or tenant of any residential premises shall, unless so authorised by the Commissioner for National Housing, use or permit any other person to use such premises wholly or mainly for any purpose other than that of residence.
(2) Where any residential premises are on the date of commencement of this Act used wholly or mainly for any purpose other than that of residence, the landlord or tenant of such premises, as the case may be, shall not continue to use such premises for such purpose after the expiry of six months from such date—
( a ) unless such purpose is in the opinion of the Commissioner for National Housing a specified purpose; or
( b ) where such purpose is not in the opinion of the Commissioner for National Housing a specified purpose,
for any period exceeding such period as may be determined by such Commissioner; or
( c ) unless, as a result of structural alterations lawfully made to such premises prior to the date of commencement of this Act, the Commissioner for National Housing is of opinion that it would not be equitable to require that such premises shall be used for residential purposes.
In this subsection—
"residential premises” means any premises which at any time within a period of ten years prior to the date of commencement of this Act had been occupied wholly or mainly for the purpose of residence; and
"specified purpose” means any of the purposes specified hereunder—
(i) carrying on the business of selling goods by retail;
(ii) carrying on the business of a restaurant, an eating house, a hotel, a boarding house or a guest house;
(iii) carrying on a nursing home, a medical clinic or maintaining a hospital or the provision of any other professional service;
(iv) conducting a school or other educational institution or maintaining a library or maintaining an office of a registered trade union or of a Member of Parliament or of a recognised political party within the meaning of the Ceylon (Parliamentary Elections) Order in Council, 1946; 4
(v) maintaining an office of a Government department or of a Corporation the capital of which has been wholly or partly provided by the Government;
(vi) conducting a sports club or other recreational or cultural institution.
13 . Provision of amenities, repairs.
(1) Where the board is satisfied, on application made by the tenant of any premises, or on an inspection of such premises carried out by it or under its authority, that the landlord—
( a ) has without reasonable cause discontinued or withheld any amenities previously provided for the benefit of the tenant; or
( b ) has failed to carry out any repairs or redecoration necessary in the opinion of the board to maintain the premises in proper condition, the board may make order directing the landlord to provide such amenities or to carry out such repairs or decoration as may be specified in the order;
and it shall be the duty of the landlord to comply with the provisions of such order before such date as may be specified in that behalf in the order, or within such extended period as may be allowed by the board on application made by the landlord.
(2) Where the board is satisfied that any delay in the provision of the amenities alleged to have been discontinued or withheld in an application made under subsection (1) or that any delay in the carrying out of the repairs or redecoration which the landlord is alleged in any such application to have failed to carry out, will cause injury to the occupants of the premises or hazard to their health or permanent damage to the premises, or seriously inconvenience the occupants, the board shall, before making the final order on such application, make an interim order directing the landlord to provide such amenities or to carry out such repairs or redecoration without delay, notwithstanding that there may be pending in any court, at the time of such application, any other action or proceedings relating to such premises.
(3) The board shall in any order under subsection (1) or subsection (2) directing the landlord to effect any repairs or redecoration authorise the tenant, in the event of the landlord failing to comply with the order, to carry out such repairs or redecoration and to incur for the purpose expenditure not exceeding such amount as may be specified in that behalf in the order; and where any repairs or redecoration are carried out by the tenant in pursuance of the authority so conferred, the tenant shall be entitled to set off against the rent payable in respect of the premises the expenditure actually incurred by him for the purpose, or the amount specified in that behalf in the order, whichever is less.
(4) Where the tenant of any premises refuses to permit the landlord to carry out any repairs or redecoration necessary to maintain the premises in proper condition, the board may, on application made by the landlord, make order directing the tenant to permit the landlord to carry out such repairs or redecoration as may be specified in the order.
(5) The board may inspect or cause to be inspected periodically all premises within its area of jurisdiction for the purpose of ascertaining whether the premises are maintained in proper condition.
This section of the article is only available for our subscribers. Please click here to subscribe to a subscription plan to view this part of the article.