If you are stuck in such a situation, here is what to do.

Ms. Priya, a young professional in Aravalli City, found herself in a distressing situation involving her flatmate, Rohan, and the landlord, Mr. Sharma. She had moved into a shared apartment as a replacement tenant under a leave and license agreement. Initially, the monthly rent was set at ₹27,500. However, after about six months, Mr. Sharma arbitrarily increased the rent to ₹31,000 without issuing a new agreement or obtaining Priya’s written consent.

The living arrangement with Rohan also deteriorated significantly. Priya felt constantly harassed as Rohan would interfere with her daily chores, questioning her methods in the kitchen and starting arguments over trivial matters like switching on a light. The atmosphere became so hostile that she felt she had no personal space left. Unable to tolerate the situation any longer, Priya served a one-month notice to vacate the premises. Coincidentally, Rohan also decided to move out around the same time.

After she moved out, the real trouble began. Priya followed up for weeks to get her security deposit back. Finally, Mr. Sharma and Rohan presented her with a breakdown of expenses, claiming that she owed them ₹8,000. The deductions included arbitrary painting charges, which were never mentioned or agreed upon, especially given her short stay of just over six months. They also tried to charge her for the unilaterally increased rent.

Sensing foul play, Priya visited the nearest police station to report the matter. The intervention of the police had an immediate effect; the amount she allegedly owed mysteriously dropped from ₹8,000 to just ₹800. Despite this, Mr. Sharma and Rohan are now refusing to return the remainder of her security deposit and are threatening her with penalties if she does not return the house keys. Priya is now caught in a bind, fighting for her rightful money.

Advice in such cases

• Review Your Agreement: Carefully read the terms of your leave and license or rental agreement. Pay close attention to clauses regarding the security deposit, notice period, maintenance, and deductions.
• Document Everything: Keep a record of all communication. Prefer written communication like emails or text messages over verbal conversations. Take photos and videos of the property’s condition when you move in and when you move out to counter any false claims of damage.
• Communicate Formally: If you sense a dispute brewing, send a formal written notice or email to the landlord and flatmate outlining your position and demanding the return of your deposit.
• Consult with Lawyer: The very basic and important step to start is talk to Lawyer / advocate. You should not hesitate in paying his consultation fee i.e. might be in range of Rs. 10,000 to 50,000 depends case to case. He is helping you in this situation of come out. He is expert in the domain and can help you explain the procedure which you might have never explored. A good lawyer can get the issues resolved much faster than you think.

Applicable Sections of Law

Disputes over security deposits are primarily civil in nature, governed by the terms of the contract (your rental agreement) and the Indian Contract Act, 1872. However, if the landlord’s actions involve deceit or threats, certain provisions of the Bharatiya Nyaya Sanhita, 2023 (BNS) can be invoked.

• Section 316 of the Bharatiya Nyaya Sanhita, 2023 (Criminal Breach of Trust): A security deposit is entrusted to the landlord for a specific purpose. If they dishonestly misappropriate it or refuse to return it without valid cause, it can amount to a criminal breach of trust.
• Section 318 of the Bharatiya Nyaya Sanhita, 2023 (Cheating): If the landlord dishonestly induces you to pay money by making false claims or fabricating expenses (like fake painting bills), it can be considered cheating.
• Section 383 of the Bharatiya Nyaya Sanhita, 2023 (Criminal Intimidation): If the landlord or flatmate threatens you with injury or penalties to compel you to drop your claim or return the keys without getting your deposit, it is an offence under this section.
• Civil Suit for Recovery: You always have the option to file a civil suit in the appropriate court for the recovery of your money.

If you are the complainant

• Gather all your evidence, including the rental agreement, proof of deposit and rent payments, and all written communication.
• Send a strong Legal Notice through a lawyer. This is often the most effective first step and can lead to a quick resolution as it shows you are serious about taking legal action.
• If the legal notice is ignored, you can file a police complaint alleging criminal breach of trust and cheating.
• Simultaneously or alternatively, you can file a summary suit or a regular civil suit for the recovery of the amount due.
• Consult with Lawyer: The very basic and important step to start is talk to Lawyer / advocate. You should not hesitate in paying his consultation fee i.e. might be in range of Rs. 10,000 to 50,000 depends case to case. He is helping you in this situation of come out. He is expert in the domain and can help you explain the procedure which you might have never explored. A good lawyer can get the issues resolved much faster than you think.

If you are the victim

• Do not hand over the keys until you receive your deposit, unless the agreement specifically states otherwise. The keys are your only leverage. However, be prepared for the landlord to claim rent for the extended period.
• Avoid getting into heated arguments or verbal altercations. Keep all communication formal and documented.
• Immediately send a written demand letter or email for the return of your security deposit, giving a clear deadline for the payment.
• If there are threats involved, do not hesitate to approach the police and report the matter.
• Consult with Lawyer: The very basic and important step to start is talk to Lawyer / advocate. You should not hesitate in paying his consultation fee i.e. might be in range of Rs. 10,000 to 50,000 depends case to case. He is helping you in this situation of come out. He is expert in the domain and can help you explain the procedure which you might have never explored. A good lawyer can get the issues resolved much faster than you think.

How the police behave in such cases

The police often view landlord-tenant disputes, especially those about money, as civil matters. They may be reluctant to file an FIR and might advise you to approach the civil court. However, as seen in Priya’s case, their intervention can be very effective. Often, the police will summon both parties to the station to mediate and encourage a settlement. If you can clearly articulate how the landlord’s actions constitute a criminal offence like cheating or criminal breach of trust, they are more likely to register a formal complaint.

FAQs people normally have

What evidence is required?

To build a strong case, you will need:

• The signed Leave and License Agreement or Rental Agreement.
• Bank statements or receipts proving the payment of the security deposit and monthly rent.
• Copies of all emails, letters, or WhatsApp messages exchanged with the landlord and flatmate.
• Photographs or videos of the flat taken at the time of moving in and moving out to prove its condition.
• A copy of the legal notice you sent and the postal receipt.

How long will the investigation take?

The timeline can vary greatly. A legal notice might resolve the issue within 15-30 days. If a police complaint (FIR) is filed, the investigation under the Bharatiya Nagarik Suraksha Sanhita, 2023 (BNSS) has prescribed timelines, but practical delays are common. A civil recovery suit is a longer process and can take anywhere from several months to a few years to be decided by the court. The fastest route is often a well-drafted legal notice followed by persistent follow-up.

Advocate Sudhir Rao, Supreme Court of India