lease
ganesh
(Querist) 12 November 2010
This query is : Resolved
whether a lease deed for a period of 12 months should be registered according to sec.17 of registration act?
PALNITKAR V.V.
(Expert) 13 November 2010
Yes. See Sec. 17(d) of the Registration Act. Not only in West Bengal but in all territories to which the Registration Act applies.
R.Ramachandran
(Expert) 13 November 2010
According to Section 17(d)leases of immovable property from year to year, or for any term exceeding one year, or reserving a yearly rent; is compulsorily registrable.
According to you the lease deed is for 12 months. This does not fall under limb 1, Limb2 or limb3 of Section 17(d).
As such the compulsory registration of the said lease deed is not required.
(Only in order to avoid confusion and to be a measure of abundant precaution people enter into lease of 11 months to avoid registration. But a lease for 12 months also is not required to be compulsorily registered.)
Guest
(Expert) 13 November 2010
I do agree with experts.
R.Ramachandran
(Expert) 13 November 2010
Dear Mr. Ajitabh,
You know being a legal practitioner that there are two divergent views emerging here. One saying that compulsory registration is required and the other saying that it is not required.
BUT YOU SIMPLY SAY " I DO AGREE WITH EXPERTS". To me it does not make any sense at all unless you specify as to with which view you agree. Please avoid such unclear replies which is not at all useful to the querist.
DEFENSE ADVOCATE.-firmaction@g
(Expert) 13 November 2010
Please be bold and forthright in instantly checking the vague replies being given as Mr Ramchandran has done.
Some times people just copy paste the provisions without even understanding the provisions.
Regarding rent acts of all the states another important aspect other than registration is that once the lease is less than one year the landlord can get speedy possession but after one year it will take life time.
PALNITKAR V.V.
(Expert) 13 November 2010
With due respect to Mr. Ramchandran what the term year to year means? In my opinion the term year to year includes a lease for 12 months which is for a year. But if the lease for less than one year then it need not be registered unless any other act makes registration compulsory.
R.Ramachandran
(Expert) 13 November 2010
Dear Mr. Palnitkar,
You want to know "what the term year to year means?"
Lease from year to year means it is a tenancy which does not come to an end by the efflux of time for the simple reason that the time is not limited by the original lease itself. It commences with the year and without any further action onthe part either of the lessor or of the lessee continues till either party determines it by iving a proper notice at the end of any year of tenancy.
A tenant from year to year is one who holds under a lease which may be determined at the end of the first or any subsequent year of the tnancy either by the landlord or by the tenant by a notice to quit. If no such notice is given, thetenancy may continue from year to year for any number of years. This is distinguishing feature of a tenancy from year to year. Where, however. the period of tenancy is specified, and under the agreement between the parties the tenant is bound to vacate without notice after the expiry of a specified period, it cannot be regarded as a lease from year to year. Refer Sajit Mia Majumdar v. Abdul Sattar Gani AIR 1954 Assam 102.
It is material to note that the tenancy during the second and third or fifteenth year is not a new tenancy. It is always considered as a part of the original tenancy. It will be wrong tocontend that when the tenancy commenced the term was one or two years, if without any action on the part of any party if the original tenancy continued, say for a number of years, if no one gave a notice terminating the tenancy before that. It may thus continue for an almost indefinite period, but might be brought to an end, by either party without the consent of the other. Refer Sitaram Bhimji Deshpande v. Sadhu Awaji Parit AIR 1914 Bom. 152.
A lease from year to year, however, is a periodic lease which continues from period to period. Refer Bowen v. Anderson (1894) 1 Q.B. 164.
Such a lease is one for uncertain duration which does not purpose to be for any definite period, as the interest of the lessee does not terminate at the end of the period. A tenant from year to year has an interest for one year certain, with a growing interest during every year thereafter, springing out of the original contract and as parcel of it. Refer Ramah Bahadur Kamakshya Narain Singh v. Harku Singh AIR 1959 Patna 265.
In view of the above, I stand by my original view. I rest my case here.
Sri Vijayan.A
(Expert) 13 November 2010
Registration is optional.
As Mr.Ramachandra told, the tenancy/ lease agreement is prepared for a period of 11 months just to avoid NOT only the registration also the confusion
PALNITKAR V.V.
(Expert) 14 November 2010
I think the first ruling cited by Mr. Ramachandra makes the position clear. It says that a lease which can be determined at the end of the first year is also year to year lease. 1st year ends at the end of 12 months. The lease would continue on the principle of holding over unless it is determined and possession is taken. Hence, with due respect I maintain that lease of 12 months requires registration.
R.Ramachandran
(Expert) 14 November 2010
Even according to the first ruling cited by me, Lease from year to year means it is a tenancy which does not come to an end by the efflux of time for the simple reason that the time is not limited by the original lease itself. It commences with the year and without any further action on the part either of the lessor or of the lessee continues till either party determines it by iving a proper notice at the end of any year of tenancy.
Thus, if the lease deed itself says that the lease is for a period of time, the lease will come to an end by efflux of that time. Further such a lease cannot continue further without the action by the parties i.e. either extending or not.
Therefore in a case where the lease period is fixed for 12 months, the said lease cannot at all be called a lease from year to year. It is an ordinary lease for 12 months - and since it does not attract any of the limbs of Sec. 17(d), it is not compulsorily registrable.
Arun Kumar Bhagat
(Expert) 14 November 2010
Specially in civil queries I have observed that Mr.R. Ramchandran's observation are highly commendable and should be followed. We are here to learn also.