Renewing leave and license agreement on sudden demise of the flat owner
Kapil Tiwari
(Querist) 22 March 2014
This query is : Resolved
My close relative had given her flat on leave and license for a period of 22 months. The license will expire in June 2014.
The relative had duly nominated her two sons, to the flat, in the housing society. However, she suddenly expired in March 2014.
Can the two nominees now renew the leave and license agreement after the current lease expires?
The transfer of ownership of the flat to the two sons by the society can take a long time. Hence, in the meantime, can the two sons (as nominees) renew the leave and license agreement? Kindly advise.
Devajyoti Barman
(Expert) 22 March 2014
Yes, they can renew the agreement in the meantime. No problem in it.
Kapil Tiwari
(Querist) 23 March 2014
Dear Sir, will the lessees issue the rental cheques in the names of both the nominees? But the nominees will hold the cheques in a special bank account and then the money will be handed over to the "owners" (that is, when the nominees are registered as "owners" in the housing society records). Sir, have I understood correctly? I believe the nominees have to approach only the housing society and obtain their permission. Am I right, dear Sir, Thanks
Dr J C Vashista
(Expert) 23 March 2014
The agreement can be renewed by either of them and pay the rent to both the nominees collectively
Rajendra K Goyal
(Expert) 23 March 2014
YES, If it is not possible to renew the agreement by both let it be renewed by any one. You should pay rent in the name of both even the lease is renewed by one.
V R SHROFF
(Expert) 23 March 2014
yes, any one can renew LL Agr.
can pay amt by cheque in jt name
ajay sethi
(Expert) 23 March 2014
agree with experts .
Kapil Tiwari
(Querist) 24 March 2014
Thank you very much, dear Sirs.
Kapil Tiwari
(Querist) 03 April 2014
Dear Sirs, these are the facts:
1) The rental agreement was between a mother and two doctors. The rental agreement with one of the doctors finished (expired) on 25/11/2013. The agreement could not be renewed because the mother was hospitalised by then.
2) The mother has nominated her 2 sons to the property. However, the society share certificate is still in the mother's name.
3) The mother expired on March 4, 2014. The society share certificate continues in the name of the dead mother and has still not been transferred to the two nominees (the death certificate is still to be submitted to the society).
4) Under these circumstances, can one of the two nominees execute a new rental agreement with the doctor and continue to accept monthly rental cheques in the nominee's name? This will ensure that the rental income does not come to a standstill which will lead to financial strain to the family.
5) The next action on the agenda would be to submit the death certificate of the mother to the society so that they are informed. Even if they take time to transfer the share certificate in the name of both the nominees, the monthly rental income will not be stopped.
6) Hence my query, whether one of the 2 nominees can immediately execute a rental agreement with the doctor and start immediately collecting rental cheques in the name of one of the nominees. Is this rental agreement between a nominee (a son) and the doctor, legally valid and can stand in a court of law (even prior to transfer of the society share certificate from the deceased mother to the names of the nominees)? Thanks.
Dr J C Vashista
(Expert) 03 April 2014
Very well advised by experts, now it is your turn to act/proceed.
Engage a local lawyer for your benefit and in your interest
Rajendra K Goyal
(Expert) 03 April 2014
When both are nominee for the property, why only one want to renew the lease?
Kapil Tiwari
(Querist) 03 April 2014
Dear Rajendra Goyalji, Sir, one nominee will sign the lease renewal agreement and the amount will be deposited in a specifically identified bank account (so that the money is segregated). This has already been suggested by most of the experts above. Both nominees do not have to execute the rental agreement. This is what I understood from the discussion. So, this single nominee will take the cheque in his name and deposit it in a specific bank account. Once the legal heirs have been established (who are none other but the same two nominees mentioned above, the amount collected can be distributed among the legal heirs). I sincerely hope this is in order. Thanks.
Kapil Tiwari
(Querist) 03 April 2014
Dear Rajendra Goyalji, Sir, one nominee will sign the lease renewal agreement and the amount will be deposited in a specifically identified bank account (so that the money is segregated). This has already been suggested by most of the experts above. Both nominees do not have to execute the rental agreement. This is what I understood from the discussion. So, this single nominee will take the cheque in his name and deposit it in a specific bank account. Once the legal heirs have been established (who are none other but the same two nominees mentioned above), the amount collected can be distributed among the legal heirs equally). I sincerely hope this is in order. Thanks.
Kapil Tiwari
(Querist) 03 April 2014
Dear Dr JC Vashista, Sir, many thanks for sparing a little time for me, although you were in the court, and I apologise for disturbing you. Thanks.
Kapil Tiwari
(Querist) 04 April 2014
Dear Sirs, someone advised that while the rental agreement will be between the nominee and the tenant, the old cheques which were issued in the mother's name can continue to be used and deposited in bank. The name of the mother has still not been deleted from the bank. I found this arrangement rather senseless and request your opinion as to which is the right way out. I would like to add that I am based in Mumbai and request suitable reply for residents in Maharashtra. Thanks.