Rental agreement for commercial activity
JOY EDICULA
(Querist) 28 October 2013
This query is : Resolved
Sir/s,
In our Apartment Complex, some portion in the basement is given to a telecom company on rental to put up their exchange. The agreement though executed on Rs.100/- stamp paper it was not registered. It was entered about 4 years back for a period of 5 years, still valid for an year. The rent was too low and most of its terms are one sided. We would like to revise the agreement to the clauses and the rent part, but the termination clause says "Notwithstanding any of the terms and conditions stipulated herein, it shall be open only for the LESSEE to terminate this lease agreement by giving one month notice in writing to the other party". Please advise us whether this agreement has any validity in the court of law? We would like to terminate it if they do not enter into a fresh agreement with acceptable terms and rent.
ajay sethi
(Expert) 28 October 2013
wait for agreement to expire . you have entered into agreement for period of 5 years . 4 years have elapsed . no sense in rocking the boat now . dont renew the agreement unless clauses are revised to your satisfaction
JOY EDICULA
(Querist) 28 October 2013
Sir, can't we treat the unregistered agreement as invalid and terminate with 15 days notice if there is a provision?
JOY EDICULA
(Querist) 28 October 2013
Sir, can't we treat the unregistered agreement as invalid and terminate with 15 days notice if there is a provision?
ajay sethi
(Expert) 28 October 2013
your contract provides that lease agreement can only be terminated by lessee . you have willingly signed the said document . if you terminate the agreement telecom provider will move court and seek injunction against you restraining you from terminating said agreement . in addition claim damages
telecom company have deep pockets . they can afford to engage top lawyers . one year would have passed by time interim reliefs application would be decided . hence better to wait for lease term to expire
Rajendra K Goyal
(Expert) 28 October 2013
Wait for one year, don't renew the agreement on their terms.
