Is my agreement a Leave and License agreement or Rent agreement
Earlier last year, my parents had given out our ground floor on 11 month’s leave and licence to an individual. The leave and licence expired on 30th November, 2016. On, 19th December, 2016 a notice under section 106 of TP Act was sent to him giving him 15 days’ time. That period is also over. Now my parents (licensors) are preparing to file an eviction suite. It is at this critical juncture, I noticed something amiss in the agreement.
A. Although, the agreement says ‘Leave and Licence’ agreement, nowhere in the agreement is there any mention that the ownership and possession of the ground floor shall remain with my parents, (the licensors) during the tenure of ‘leave and licence’. I am given to understand that words to that effect make an agreement a ‘leave and licence agreement’. Neither does it say that possession would pass over to the Licensee. Nevertheless, I am told that it will be treated as rent agreement.
Additionally, one condition states that in case of breech of agreement and etc. the licensors shall ‘take possession’ of the ground floor. My lawyer is saying that it implies ‘repossession’ of licenced property, which further implies that the agreement had legally transferred ‘possession’ to the licensee. And since there is implied transfer of ‘possession’, it is no longer a ‘Leave and Licence’ agreement.
B. Although, the document is signed by both the parties (i.e. licencors and licensee), and 2 withnesses, and notorised, all the other pages of the agreement have remained unsigned. The agreement consists of 3 pages, 1st page being the stamp paper and then 2 dammy pages. The 1st two pages are unsigned and only the last page, is signed.
My queries are:
1. Is the agreement still a ‘Leave and Licence’ agreement or is it a rent agreement. If it is still a ‘Leave and Licence’ agreement, under which Act will it be covered. Or will it be covered by West Bengal Tenancy Act.
2. Is the agreement still valid at all, considering that it is not initialed on all pages.
PS: My parents live in Kolkata, West Bengal.
Asked 7 years ago in Property Law
Religion: Hindu
Thank you gentlemen, for your replies.
To clarify, Mr Barman, the licence fee is Rs 6,500/- pm. Also, Mr Ganguly, the agreement is notarized with a notary certificate sewed into it.
1. So, under what Act, shall we be filing our eviction suite, TP Act or West Bengal Premises Tenancy Act? From my layman reading of WBPT Act, it appears that it defines ‘tenant’ in such a way that it leaves no scope for ‘leave and license’ agreements. However, I am not sure about lease agreements. This is extremely confusing and frustrating.
2. If, it is under WBPT Act, what grounds can we take for eviction? Note here, that the tenant hasn’t paid rent for the last 5 months. And in one moment of weakness, he gave my parents in writing that he would vacate their premises by 30th September, 2016, which, of course, he hasn’t done.
3. Regarding water supply, can we stop supplying him pumped water, considering that the water pump runs on our electric meter and he doesn’t pay any rent? Since as landlord we can’t deprive him of water supply, what if we make a separate arrangement of tap, connected to the main municipal water line.
Asked 7 years ago