Section 26 of Delhi Rent Control Act, 1958 - Rent Payment and Receipt
Section 26 of the Delhi Rent Control Act, 1958 forms part of Chapter IV dealing with deposit of rent. It regulates when rent is to be paid, the consequence of delayed payment, the tenant's right to a written rent receipt, and the remedy available where the landlord or authorised agent refuses or neglects to issue that receipt.
- Rent must be paid within the time fixed by the contract.
- If there is no contractual time, rent is payable by the fifteenth day of the next month.
- Default attracts simple interest at 15 per cent per annum from the due date until payment.
- A tenant who pays rent is entitled to a written receipt signed by the landlord or authorised agent.
- The tenant may remit rent to the landlord by postal money order.
- For refusal or neglect to issue a receipt, the tenant may apply to the Controller within two months from the date of payment.
Text of Section 26 - Receipt to be given for rent paid
Section 26(1): Every tenant shall pay rent within the time fixed by contract or, in the absence of such contract, by the fifteenth day of the month next following the month for which it is payable. Where default occurs in payment, the tenant is liable to pay simple interest at the rate of fifteen per cent per annum from the date on which the rent became due until the date on which it is paid.
Section 26(2): A tenant who pays rent to the landlord is entitled to obtain forthwith from the landlord or the landlord's authorised agent a written receipt for the amount paid, signed by the landlord or authorised agent. The provision also permits the tenant to remit rent to the landlord by postal money order.
Section 26(3): If the landlord or authorised agent refuses or neglects to deliver the receipt referred to in sub-section (2), the tenant may apply to the Controller within two months from the date of payment. After hearing the landlord or authorised agent, the Controller may direct payment to the tenant of damages not exceeding double the amount of rent paid, together with the costs of the application, and shall also grant a certificate in respect of the rent paid.
Amendment note: The provision concerning simple interest at 15 per cent per annum and the proviso permitting remittance by postal money order were introduced by Act 57 of 1988, section 14, with effect from 1 December 1988.
Meaning and practical effect of Section 26
1. Time for payment of rent
The first rule is contractual: where the tenancy agreement fixes the time for payment, that agreed time applies. If the contract does not specify a payment date, Section 26(1) supplies the statutory deadline - the fifteenth day of the month immediately following the month for which rent is payable.
2. Interest where rent is paid late
If the tenant defaults in payment, Section 26(1) makes simple interest at 15 per cent per annum payable from the date the rent became due until the date of actual payment. This interest provision was added in 1988.
3. Tenant's right to a written rent receipt
Section 26(2) gives a tenant who has paid rent an immediate statutory right to a written receipt. The receipt should record the amount paid and be signed by the landlord or the landlord's authorised agent. A written receipt is important evidence of payment and can help prevent later disputes about arrears.
4. Payment by postal money order
The proviso to Section 26(2) expressly permits a tenant to remit rent to the landlord by postal money order. The statutory scheme should also be read with Section 27 of the Delhi Rent Control Act, which deals with deposit of rent with the Controller in specified circumstances, including non-acceptance of rent or refusal or neglect to issue a receipt.
5. Remedy when the landlord does not issue a receipt
Where a landlord or authorised agent refuses or neglects to provide the written receipt, the tenant may invoke Section 26(3). The application must be made to the Controller within two months from the date of payment. After hearing the landlord or authorised agent, the Controller may award damages up to twice the amount of rent paid, award costs, and grant a certificate concerning the rent paid.
Who is the "Controller" under the Act?
Section 2(b) of the Delhi Rent Control Act defines "Controller" as a Controller appointed under Section 35(1), and includes an Additional Controller appointed under Section 35(2). Accordingly, references in Sections 26 and 27 to the Controller concern the statutory rent-control authority constituted under the Act.
Relationship between Sections 26 and 27
Sections 26 and 27 operate together. Section 26 establishes the time for payment, the right to a receipt and the remedy for refusal to issue one. Section 27 provides a statutory deposit mechanism where the landlord does not accept rent tendered within the Section 26 period, refuses or neglects to deliver a receipt, or where there is a bona fide doubt about the person entitled to receive rent.
Official text of the Delhi Rent Control Act, 1958
For the authoritative statutory text and amendment notes, refer to the official India Code copy of the Delhi Rent Control Act, 1958.
Official India Code - Delhi Rent Control Act, 1958Related provisions
Readers dealing with payment or deposit of rent may also refer to Section 27 - Deposit of rent by the tenant, Section 28 - Time limit for making deposit and consequences of incorrect particulars, and Section 29 - Saving as to acceptance of rent and forfeiture of rent in deposit.
Legal information: This page explains the statutory provision for general information. The application of the Act can depend on the premises, area, tenancy facts, subsequent amendments and binding judicial decisions.