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{
    "id": 1110834,
    "url": "https://info.mzalendo.com/api/v0.1/hansard/entries/1110834/?format=api",
    "text_counter": 474,
    "type": "speech",
    "speaker_name": "Kipipiri, JP",
    "speaker_title": "Hon. Amos Kimunya",
    "speaker": {
        "id": 174,
        "legal_name": "Amos Muhinga Kimunya",
        "slug": "amos-kimunya"
    },
    "content": "party wants the best facilities at the lowest cost, the other one wants the best rent irrespective, and will obviously want to invest the least amount of money. If they invest heavily, they want to get fair return on their investment. When you get these two extremes, unless the law comes in to mediate, you will continue having the same problems where landlords who feel that tenants have refused to pay for a certain period choose to break doors or remove the roof to frustrate the tenants to move out so they can admit a new tenant. The protection within the law has not been helpful. One of the complaints by landlords is that when tenants fail to pay, they go to the Rent Restriction Tribunal and they are told to stop paying until the matter is heard. The landlord has a mortgage to pay and other costs but then they do not receive any income, hence the frustration that you see being executed through extra-judicial methods. Similarly, you also find tenants who suffer the indecency of landlords who want to continuously increase the rent beyond, especially where they are not covered through a lease. The law is, therefore, required to harness all these interests between a genuine rent-paying tenant and a genuine landlord who wants to just make a decent return and protect their interest. This Bill will apply to all residential premises, other than excepted residential premises. The residential premises leased on service tenancies; the premises let to an employer who provides the premises to an employee in connection with their employment, and residential premises whose monthly rent does not exceed such an amount as the Cabinet Secretary may prescribe. Members will have an opportunity to look at the details as we get into the Bill. The Bill will also apply to the tenancy of a business premises which is not reduced in writing and also one that is reduced in writing, but for a period not exceeding five years and contains provision for termination other than for breach of a covenant within five years of the commencement of the tenancy term. However, there are some exceptions where it is already covered through a mutually agreed tenancy agreement. People will not need to go to the law because the law of contract will prevail in those situations. Hon. Temporary Deputy Speaker, this Bill seeks to introduce very far reaching provisions that address the interests of both the tenants and landlords. For instance, it allows the rent to be determined by mutual agreement. This is difficult and I am sure the Committee will have some views on this. Where there is no agreement, then a tribunal, on application by either party, will determine the rent based on comparable premises within an area. In a normal course of business, the landlord will sit with the tenant and agree on the terms. However, for a cadre of people we are looking at protecting, it is unlikely that there will be that opportunity for them to sit and negotiate with their landlords and agree and even do subsequent reviews. There is need to then get this protection into law and provision for a tribunal. Some of the salient features of this Bill include Section 18 which lays out the procedure the landlord must follow to increase rent payable by a tenant. It also sets out the justifications for rent increases which include the fact that the landlord must have incurred a capital expenditure which has improved the facility. This will ensure that the landlord does not just wake up and say; “I want to increase the rent from this month.” There must be proof of evidence that he has done something to add value to the tenancy. It also includes the fact that increases could come on account of inflation because we obviously know that the value of money is not static. The landlords could increase the rent, if additional services are provided at the premises and where the land rates payable have increased. The electronic version of the Official Hansard Report is for information purposesonly. A certified version of this Report can be obtained from the Hansard Editor."
}