Section 108 of TPA : Section 108: Rights And Liabilities Of Lessor And Lessee

Explanation using Example

Imagine a scenario where Rita leases a commercial space from Sunil for her bakery business. The lease agreement does not specify anything contrary to the standard provisions of Section 108 of the Transfer of Property Act, 1882, so these provisions apply to their lease.

Under clause (a), Sunil must inform Rita if there is a significant issue with the property that could affect her bakery business, which Rita could not easily find out herself. For instance, if there is a known problem with the electrical wiring that could pose a fire hazard, Sunil is obliged to disclose this defect to Rita before she signs the lease.

As per clause (b), Sunil must ensure Rita can start her bakery business in the leased space as soon as the lease begins.

According to clause (f), if Sunil neglects to repair a broken oven that he agreed to maintain as part of the lease, Rita can fix it herself and deduct the cost from her rent.

Under clause (h), when Rita decides to move out after the lease ends, she is allowed to take with her the bakery equipment she installed, as long as she leaves the space as she found it.

In line with clause (l), Rita must pay the agreed rent on time, and clause (m) obliges her to maintain the property and return it in good condition, barring normal wear and tear.

Finally, clause (q) requires Rita to hand back possession of the commercial space to Sunil when the lease term is over.