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Chandigarh adopts new tenancy law, imposes hefty fines on overstaying tenants

The Indian Express·Hina Rohtaki·25 days ago
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UT officers said the move was aimed at improving ease of living, formalising rental arrangements and balancing the interests of landlords and tenants through a structured legal framework. (File photo) In a major legal overhaul aimed at bringing greater transparency and ease to the rental housing sector, the Centre has extended the Assam Tenancy Act, 2021 to Chandigarh, replacing the decades-old East Punjab Urban Rent Restriction Act, 1949 with a modern framework governing residential and commercial rentals. Notified by the Ministry of Home Affairs under Section 87 of the Punjab Reorganisation Act, 1966 through a Gazette notification issued on May 6, 2026, the new law introduces stringent penalties for tenants overstaying beyond the tenancy period, caps security deposits, makes written rent agreements mandatory and clearly defines the rights and duties of landlords and tenants.…

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