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Imposition of fine – unregistered rent agreement

Hon’ble Lahore High Court, Lahore while deciding a Constitutional Petition, decided the issue of imposition of fine on filing of each application before Rent Tribunals on the basis of same unregistered rent agreement. Founder of Ahsan Legal Services – ALS with active aid of team presented the case on behalf of respondents. The Hon’ble Court was pleased to grant relief to respondents while holding;

“ … Where tenancy between the parties was not in consonance with the provisions of Punjab Rented Premises Act, 2009, Rent Tribunal could not entertain an application until and unless the requisite fine had been deposited by the party approaching the said forum — Provision of S.9 of Punjab Rented Premises Act, 2009, did not suggest that fine would be leviable against a party only for once — Imposition of fine under S.9 of Punjab Rented Premises Act, 2009, was to encourage registration of tenancy between the parties — If parties had not opted to bring the tenancy in conformity with the provisions of Punjab Rented Premises Act, 2009, then they should face the consequences — Defect in tenancy would not be cured until and unless same was brought in conformity with the provisions of Punjab Rented Premises Act, 2009 — Once the party had deposited fine even then it could be burdened with fine again, if he had approached the Rent Tribunal with a fresh application …..”

The judgment has been published and reported as PLD 2020 Lahore 713.