Leave and license validity of unregistered deed
Querist :
Anonymous
(Querist) 19 January 2012
This query is : Resolved
sir,
A is a tenant of shop premises belonging to B. They had entered into an un-registered agreement of leave and license redused inti writing in the form of a deed on a Rs.20/- bond paper instead of normal lease deed in the year 2008. Now of course in accordance with the terms and conditions of the deed B wants A to vacate the premises. A is not in a position to vacate as he failed to get suitable place despite of several opportunities given by B. Now in terms of the deed that A is never deemed to be in exclusive possession and B has the right of entry at all times, B threatens to throw out the items of A and enter the premises. What shall A the actually a tenant should do now? can he get any injunction or so? Can he succeed in getting at least an year from now? What about the effect of damages clause in the event of overstay by A as mentioned in the deed? Please advice me sir.
ajay sethi
(Expert) 19 January 2012
leave and licence agreement in mahrashtra is compulsory registerable . where is shop located?
document is under stamped too as on stamp paper of rs 20.
if A files case contact a lawyer . he can take plea that document is under stamped and not registered
without goin through the agreement it would not be prudent to advice further
Raj Kumar Makkad
(Expert) 19 January 2012
In the given case the tenant has every right to get injunction order even if the agreement is not registered and its term has also been expired.
Querist :
Anonymous
(Querist) 20 January 2012
Sir, I am furnishing the terms and conditions as in the deed. I am more worried about the clauses 5,10,11,12 of the same. Please advice.
TERMS AND CONDITIONS
1. That the license shall commence on 01-10-2008 for a period of two years. This deed of license shall never be construed as any tenancy agreement or lease or otherwise creating any other right or interest in the said shop in favour of the Licensee. The license is only on temporary basis and the licensee will try to get other suitable accommodation for his business and will vacate the licensed shop.
2. That the license fee shall be a sum of Rs. 12,000/- (Rupees twelve thousand only) per month and agreed to be enhanced by 10% thereupon after every 11 months during the license period. The licensee shall pay the agreed license fee as consideration for the use of the licensed shop, to the licensor at his residence without any demand by the licensor, within the 5th day of every English calendar month.
3. That the licensee shall pay a sum of Rs. 4,50,000/- (Rupees four lakh and fifty thousand only) to the licensor towards security for proper maintenance of the licensed premises and for compliance of the terms and conditions of the license and on the termination of the license the said security deposit amount will be refunded by the licensor to the licensee without any interest thereon and after deduction of arrears of license fee and damages, if any.
4. That the security deposit amount shall not be refunded under any circumstances before the termination of the license and delivery of vacant possession of the licensed shop by the licensee to the licensor. The licensor hereby acknowledges to have received the security deposit of Rs. 4,50,000/- (Rupees four lakh and fifty thousand only) from the licensee.
5. That the licensed shop is given to the licensee on personal basis and the licensee will have no right to transfer any right conferred under this deed, to any third person. The licensee shall not be deemed to be in exclusive occupation of the licensed property and the licensor will have right to inspect the premises provided under this license at all reasonable times to know regarding the trade or business carried therein.
6. That the Licensee shall not make any structural addition or alteration except wooden partition in the stipulated space which he shall remove at his own cost at the time of surrendering the shop on expiry of the period of license or earlier on revocation thereof.
7. That the licensed shop is installed with a separate electricity connection, the licensee shall lawfully use the same and pay the electricity charges in time.
8. That the licensee shall not use the licensed shop to carry on any illegal activities which are prohibited by any law, for the time being in force in India, and he shall not cause any nuisance or annoyance to the people in the neighbourhood or store any hazardous goods in the licensed shop.
9. That the period of license may be renewed for a further period on the terms and conditions as will be agreed by the parties after expiry of the period of this license.
10. That, notwithstanding anything hereinbefore contained, it is hereby expressly agreed by and between the parties hereto that in default of any payments on the dates hereinbefore mentioned, to the licensor, the licensor shall have right to revoke this license hereunder granted, at his absolute discretion and reoccupy the stipulated space without subjecting himself to any liability on that account. In such event licensee will be bound to vacate the occupied portion of the property and the licensor will refund the security deposit to the licensee after deduction of the dues if any as mentioned above.
11. That though the license is for a period of two years, either party may terminate the same earlier by giving a minimum 3 (three) months prior notice to the other party for the termination of the license.
12. That after expiry of the license by efflux of time or earlier determination of the same due to act of the parties or breach of conditions of the license, the licensee will be bound to deliver vacant possession of the licensed space, to the licensor, failing which the licensee shall be deemed to be a trespasser and will be bound to pay damage @ Rs. 1000/- (Rupee one thousand only) per day to the licensor during the period of unauthorised occupation of the licensed space.
13. That in case of any dispute between the parties in this regard including interpretation of this deed of license and clarification thereof, the decision of licensor shall be final and binding on the licensee.
IN WITNESS WHEREOF the licensor and the licensee have put their signature on this deed acknowledging and confirming the execution of the same after fully knowing and understanding the terms and conditions herein above, in presence of witnesses.
ajay sethi
(Expert) 20 January 2012
under terms of agreement you will be liable to pay damages at rate of rs 1000 per day . however if licensor goes to court you can contest the agreement .
if you can afford to fight and spend on legal fees it is your call .
licensor will not refund your security deposit . better vacate the premises
Deepak Nair
(Expert) 20 January 2012
I agree with the views of Mr.Sethi in his last comment.
In the present case, the best option for you is to vacate the premises.
DEFENSE ADVOCATE.-firmaction@g
(Expert) 20 January 2012
I have a contrary opinion.
1) The agreement is in sided so liable to be set aside since NO AD IDEM.
2) Find out from local bodies if local taxes are paid for lease amount by the landlord, if paid for less amount it is your survival kit.
It is just possible that to avoid payment of local taxes the lease in not shown to local bodies than it will be nemesis for landlord .
Be bold and fight in courts since it is a bottomless pit for the landlord.
girish shringi
(Expert) 20 January 2012
If you want to kill time up to one year,file the suit,and on primary stage only it mat take the time.
prabhakar singh
(Expert) 20 January 2012
It is your call now . Evaluate and act accordingly.
Querist :
Anonymous
(Querist) 20 January 2012
Sri. jsdn Sir,
I have verified from the local municipality, the annual rental value of the shop is just Rs. 18000/- and the property tax is paid at that rate.
But sir how can I go for filing a case. The deed in my possession is strongly loaded against me.
Here my advocate says it is difficult to get exparte order and my security deposite is in landlords hand
