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State of Bihar - Section

Section 8 in Bihar Buildings (Lease, Rent & Eviction) Control Act, 1982

8. Matters to be considered in determining fair rent.

(1)
(a)For the purposes of this Act the fair rent of a building shall be determined as for a tenancy from month to month.
(b)The fair rent of a building shall be determined in accordance with the rule framed for this purpose.
(c)In determining the fair rent of any [xxxxx] [Deleted by Act 4 of 1994.] building under section 5 or 6, the Controller shall have due regard to the prevailing rates of rent in the locality for the same or similar accommodation in similar circumstances at any time during the twelve months preceding the first day of [December, 1980] [Substituted by Act 4 of 1994.] and to the increased cost of repairs, and in the case a building which has been constructed after that date, also to any general increase in the cost of site and building construction:
Provided that where the Controller is satisfied, on an application made to him by the landlord under section 5, that the rent of a building referred to in this clause is low, the Controller shall, in determining the fair rent of such building to be payable by a tenant, fix the rent of the building at a figure which shall not be less than the average monthly rent actually paid for the same or similar accommodation by any tenant over the period of twelve months preceding [the first day of December, 1980] [Substituted by Act 4 of 1994.], increased by not more than 25 per cent of the average monthly rent so received by the landlord during the aforesaid period in addition to the enhancement, if any, on account of the increased cost of repairs or the general increase in the cost of sites and building construction, where such enhancement is admissible under the foregoing provision of this clause.Explanation. - (1) For the purposes of this clause, where rent was charged by the landlord or actually paid by the tenant for the same building over the aforesaid period on any other than a monthly basis, the average monthly rent for such building shall be calculated at thirty times the average rent per day of the period in respect of which the rent was charged or actually paid.
(2)When the fair rent of a building has been determined or re-determined, any sum in excess or short of such fair rent paid, in respect of occupation for any period after such date shall in case of excess, be refunded to the person by whom it was paid or at the option of such person be otherwise adjusted and, in case of shortage be realised by the landlord as arrears of rent from the tenant:Provided that if a building is let out subsequent to the determination or redetermination of a fair rent, on a rent which is less than the fair rent, so determined or re-determined, the landlord shall not be entitled at any time to realise the difference between the fair rent and the rent at which the tenant was admitted to occupation.