Everything you need to know about the Leave and License Agreement! |
Posted: August 10, 2021 |
Partha Saarathi Legal LLP is one of Navi Mumbai's most well-known law companies. We will learn about the notion of leave and license agreement in this post, clearly defined by Navi Mumbai's most excellentlawyer, Viraj Patil. It's commonly referred to as a rental agreement. So, first and foremost, we'll figure out why leave and to license agreement is used in the first place, rather than a long-term lease or a long-term rent deal. The owner or Licensor of a flat will enter into a leave and license agreement to retain more control over his property. So, in a leave and license arrangement, the owner, the Licensor of the apartment premises, has legal ownership and possession. The licensee or tenant is only using the premises for a limited time.
How does one go about obtaining a Leave and License? You must prepare a leave and license agreement before executing or registering it, and you must notify the society where your flat is located at least seven days in advance. You must then send a copy of the leave and license agreement and the police verification paperwork to the cooperative housing society after you have agreed. Remember, you are not requesting permission from society; instead, you are simply notifying society of your agreement. Let's look at the execution and registration aspects: A leave and license agreement must be registered to be valid. In today's world, a leave and license agreement is frequently notarized. However, I would advise that you should always have a registered leave and license agreement if something goes wrong in the future.
Even if the license agreement is shorter than a year, the Maharashtra Rent Control Act 1999 requires compulsory registration of such an arrangement. As a result, future property disputes are reduced. The following are typical problem scenarios for the owner or licensee: • The tenant or licensee refuses to leave your premises. • Tenant is also not paying the Licensor's rent or license fee.
According to a Navi-Mumbai-based lawyer, in this case, the owner or Licensor has the legal recourse of sending a legal notice terminating the arrangement. He can even sue for eviction. He can also sue for damages, which might be nearly as much as the license costs. It can be computed from the date the license expires until you receive your authorization back. Now, as a tenant is also a consumer with rights, we'll go over some of the critical clauses and precautions you should take when drafting a leave and license agreement from the owner's perspective: Legal possession and control: For example, if the flats have keys, you must ensure that one set of keys remains with the Licensor or the owner and his family, or say if the Licensor is the owner and his family.
Utility Bills - Gas and Electricity. Of course, the tenant or licensee must pay for the usage of the premises. However, he must make sure that such bills are delivered to the owner or Licensor. The money recovery procedure is simple in the event of any future discrepancies. Again, the tenant must turn certain correspondences, such as courier or post, to the licenser's owner. As a result, this indicates that the licenser or owner has prolonged ownership of the property.
Clause regarding visitation rights. You can expressly specify that the licensee has the right to inspect the property and determine whether it is in good working order. However, this does not imply that you can visit the flat rooms at any time. It's always a good idea for the owner and the renter to agree on a convenient date or time slot for the owner or licenser to come to the flat and inspect his property.
The purpose of use of the flat premises. According to Viraj Patil, an outstanding lawyer in Navi Mumbai, if the flat is rented out for residential reasons, it cannot be used for commercial purposes. Exceptions are made for certain specialists, such as chartered accountants and solicitors, who can provide consultations from their homes. This is critical if the matter is ever brought to a court of law for resolution. Fittings and fixtures. If the renter or licensee damages specific fittings and institutions, the owner or licenser has the right to recover those expenses or damages from the refundable deposit that the licensee paid when the agreement was signed. If the licensee/tenant passes away within the duration of the agreement, his legal heirs or family members will be unable to claim the property. They must enter into a new leave and licensing arrangement with the Licensor in this scenario. Termination Clause. The termination clause is critical since the contract can be ended either by completing the duration or terminating the contract. If the licensee or tenant has breached certain obligations stated explicitly in the agreement, he has committed • Breach of contract. • If he has disrupted society's peace or caused a nuisance, or if he has broken the cooperative housing society's norms and regulations. In the circumstances described above, the Licensor may exercise this termination clause and request that this express agreement of leave and license be terminated. Illegal resolutions. Many cooperative housing organizations have special resolutions: • The types of tenants the owners must introduce. These resolutions are illegal and can be challenged in a court of law using the proper legal procedure. • Bachelors cannot be inducted • People of a specific religion or caste cannot be admitted
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