New Bill for speedy recovery of leased premises

Anew Bill is to be introduced in Parliament to facilitate the speedy recovery of premises given under a lease agreement and regulate collection of arrears of lease rentals.

The Bill has been gazetted following cabinet approval. It also provides for the speedy conclusion of court cases related to lease of premises.

The District Court after consideration of the facts, may issue a 'Decree Nisi' to recover the possession of the premises described in the plaint together with relief sought including the arrears of lease rentals, service charges, liquidated damages from the expiry of the lease agreement and interest on arrears of lease rentals. A Decree Nisi is a court order that will come into effect at a future date unless a particular condition is met.

A Decree Nisi shall be served on the lessee to recover the premises as asserted by the lessor while also giving the defendant a reasonable opportunity to make an application to seek leave to appear and show cause in respect of his position, according to the new Bill.

The decree may be served in any part of Sri Lanka and if the process officer cannot serve the lessee with the decree, he is authorised to affix the Decree Nisi in some conspicuous part of the premises without any further direction of the court and report such service to the court.

Where the defendant is a public officer, the court may, at its discretion, also forward a copy of the order by registered post to the Head of Office in which the defendant is employed.

The court shall pronounce the final order in the matter of the plaint, either discharging the Decree Nisi or making it absolute within one year from the date of granting leave for the defendant to appear and show cause.

Any person resisting or obstructing the Fiscal while executing a writ under the Act will be in contempt of Court, and liable to a fine not exceeding Rs. 500,000 or to imprisonment for a term not exceeding two years or to both such fine and imprisonment.