Section 3 of the Delhi Rent Control Act, 1958 - Act Not to Apply to Certain Premises
Section 3 of the Delhi Rent Control Act, 1958 identifies the premises and tenancy relationships that fall outside the protection and regulatory scheme of the Act. The provision is important because the first question in a Delhi rent dispute is often whether the Act applies to the premises at all.
Text of Section 3 - Delhi Rent Control Act, 1958
3. Act not to apply to certain premises.
Nothing in this Act shall apply—
(a) to any premises belonging to the Government;
(b) to any tenancy or other like relationship created by a grant from the Government in respect of the premises taken on lease, or requisitioned, by the Government:
Provided that where any premises belonging to Government have been or are lawfully let by any person by virtue of an agreement with the Government or otherwise, then, notwithstanding any judgment, decree or order of any court or other authority, the provisions of this Act shall apply to such tenancy;
(c) to any premises, whether residential or not, whose monthly rent exceeds three thousand and five hundred rupees; or
(d) to any premises constructed on or after the commencement of the Delhi Rent Control (Amendment) Act, 1988, for a period of ten years from the date of completion of such construction.
What Section 3 Means
Section 3 is an exclusion provision. If a premises or tenancy falls within one of the categories specified in the section, the special protections and procedures of the Delhi Rent Control Act do not govern that premises during the period of exclusion. The legal consequences will then depend on the applicable general law, the tenancy agreement and other relevant statutes.
| Clause | Category | Effect |
|---|---|---|
| Section 3(a) | Premises belonging to the Government | The Delhi Rent Control Act ordinarily does not apply. |
| Section 3(b) | Tenancy or similar relationship created by a Government grant for premises taken on lease or requisitioned by Government | The relationship is excluded, subject to the statutory proviso. |
| Section 3(c) | Residential or non-residential premises with monthly rent exceeding Rs. 3,500 | The premises fall outside the Act where the statutory rent threshold is crossed. |
| Section 3(d) | Premises constructed on or after commencement of the Delhi Rent Control (Amendment) Act, 1988 | The Act does not apply for ten years from the date of completion of construction. |
Section 3(a): Government Premises
Clause (a) excludes premises belonging to the Government. The expression focuses on the ownership of the premises. Where the premises belong to Government, the Delhi Rent Control Act does not ordinarily regulate the tenancy merely because the occupant would otherwise answer the description of a tenant.
Section 3(b): Tenancy Created by a Government Grant
Clause (b) separately covers a tenancy or similar relationship created by a Government grant in respect of premises taken on lease or requisitioned by Government. The proviso is important: where Government premises are lawfully let by a person by virtue of an agreement with Government or otherwise, the Act applies to that tenancy notwithstanding a judgment, decree or order to the contrary.
Section 3(c): Monthly Rent Above Rs. 3,500
Clause (c) excludes any premises, residential or non-residential, whose monthly rent exceeds Rs. 3,500. The statutory wording is "exceeds" Rs. 3,500. Accordingly, the clause is directed at rent above that figure, not merely rent equal to Rs. 3,500.
The Supreme Court has considered the operation of the Rs. 3,500 threshold in Delhi rent-control litigation, including disputes over components claimed to form part of rent. The precise amount legally treated as "rent" can therefore matter in deciding whether Section 3(c) applies.
Section 3(d): Ten-Year Exemption for New Construction
Clause (d), inserted through the 1988 amendment, excludes qualifying premises constructed on or after commencement of that amendment for ten years from the date on which construction is completed. After the ten-year period expires, the applicability of the Act must be considered on the facts then existing, including the other exclusions contained in Section 3.
Why Section 3 Is Important in Rent and Eviction Cases
The applicability of Section 3 affects the forum, remedies and statutory protections available to the parties. Before relying on provisions concerning standard rent, eviction or other rights under the Delhi Rent Control Act, it is necessary to determine whether the premises are covered by the Act. Relevant documents may include the lease or rent agreement, proof of the agreed and legally recoverable rent, Government ownership or grant records, and documents showing the date of completion of construction.
Official Legal Sources
- India Code - Delhi Rent Control Act, 1958 (official PDF)
- Legislative Department - Delhi Rent Control Act, 1958 (official PDF)
- Supreme Court of India
This page is a general legal information resource. The applicability of Section 3 depends on the facts, documents and current law governing the particular tenancy.