commercial shops on licence from local authority
Guest
(Querist) 24 April 2011
This query is : Resolved
Dear sir
I took two shops from local development authority on licence for three years to start a government of India company outlet @Rs 282 per month in 1976.The licence thus expired in 1979.But i continued in property doing same busines and neither side approached each other.The rent was being paid regularly for many years.but since last 11 years the local body is not taking rent or depositing cheques as property files are lost inn their office for many properties.I have written to them several times and sent cheques.I also requested them to take conversion charges per sq ft as may be fixed by their committee and issue regular title in my name so i can renovate.but nothing has happened.The property de facto is in my possession for 35 years and for 32 years after expiry of licence first period of 3 years.
1,can rent be increase din licence?
2.Can I be asked to evacuate in any ground?
3.Do I have right on property now specially as it is just like adverse possession for 32 years as authority virtually has abandoned property
4.can I sublet it to someone else
5.can I renovate it completely as it is 42 years old shops constructed by authority.
6.Can i give it on goodwill (pugri) or on partnership agreement to someone else for one time consideration?
H.M.Patnaik
(Expert) 26 April 2011
As regards your, let me make you clear that since the shop space was allotted in your favour by the competent authority, even if the licence could not be renewed due loss of property file, you are not in adverse possession of the property in question . Moreover,the authority concerned have not served you any notice to vacate the premises. Your right of occupation is limited to the original lease agreement executed with the concerned authority. Here are the specific answer to your queries :
1. In case the cocerned authority generally decides to hike the rent for such premises observing relevant procedure, then the same will also applicable in your case also.
2.Since you are in continuous touch with the authority and sending cheques for renewal of licence,without issue of prior notice as laid down in the original allottment letter, you cannot be asked to vacate. However , you have to keep all correspondences (copies) with acknowledgement for production later if any such issue crops up in future.
3.No.
4.Unless, the original letter of allottment allows you to sub- let the shop , you can not do that.
5.You can renovate the property under intimation to the authority in case it is warranted to safeguard the structure without deviating from the approved plan.
6. Same as answer 4.
