Section 3: Exemptions

Haryana Urban (Control of Rent and Eviction) Act, 1973 • Official Statutory Text & Practice Guide

Statutory Regulation
Legal Standard
Competent Court / Tribunal
Act 1973

Legal Commentary & Landmark Judgments: Section 3

Section 3 vests the State Government with discretionary sovereign authority to exempt any specific building, rented land, or class of buildings or rented lands from all or any provisions of the Act by official gazette notification.

  • Executive Delegated Exemption Power: Empowers the State Government to issue notifications exempting specified properties or categories of premises from the statutory restrictions of rent fixation and eviction controls.
  • Substantive Nexus to Legislative Policy: Requires that administrative exemptions must conform strictly to the preamble, scheme, and objectives of the Act, precluding arbitrary, irrational, or discriminatory exemptions that violate Article 14.
  • Restoration of Common Law and TP Act Remedies: Operates to withdraw the protective shield of rent control legislation, instantly restoring the parties to their common law status under Section 106 and 111 of the Transfer of Property Act, 1882.
Key Landmark Precedents:
  • Motor General Traders v. State of A.P., (1984) 1 SCC 222: Held that executive exemption powers under rent control legislation cannot be exercised indefinitely without reasonable periodic review, and classifications must maintain an intelligible differentia aligned with housing policy.
  • Parripati Chandrasekharrao & Sons v. Alapati Jalaiah, (1995) 3 SCC 709: Held that upon the issuance of an exemption notification under rent statutes, the tenant loses the status of a protected statutory tenant; the landlord is entitled to determine the lease under the Transfer of Property Act and seek ejectment in the Civil Court.
  • D.C. Bhatia v. Union of India, (1995) 1 SCC 104: Affirmed that statutory classifications exempting high-rent commercial properties, government leases, or specific institutions withstand constitutional challenge under Article 14 as reasonable classifications serving public economic interests.
Courtroom Practice & Strategic Litigation Guidance:

Before initiating an eviction petition before the Rent Controller, inspect the latest Haryana Government gazette notifications under Section 3. If the property belongs to an exempt category (e.g. Waqf properties, municipal bodies, or properties crossing designated exemption thresholds), do not approach the Rent Controller; serve a statutory notice under Section 106 of the TP Act and institute a regular civil suit for possession and mesne profits.