• Wakf board renewal of lease

My questions are while renewal of lease for wakf property according to Wakf property Lease Rule 2014 
Rules 18 . A)Can Outsiders i.e (Other than present lease holders )participate in the bid?. AND B) Is Rule 7 applicable while renewal of lease for present lease holders i.e(Highest bid in no case less than the reserve price )
Asked 6 years ago in Property Law
Religion: Hindu

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8 Answers

Rule 6 provides that competitive bids would be invited in all cases where lease rent is more than one thousand and lease should’ve given to highest bidder .

2) under rule 18 preference would be given for present lease holder if he matches bid of the highest bidder

3) bid should not be less than reserve price

4)rule 7 would be applicable for renewal of lease

Ajay Sethi
Advocate, Mumbai
94720 Answers
7532 Consultations

5.0 on 5.0

Rule 18 reads as follow:

Renewal of lease.-(1) No lease agreement shall contain a clause providing for automatic renewal.

(2) The Board shall, while renewing the lease, give preference to the present lessee if such lessee participates in the bid and matches the highest bid.

A. Clause 2 clearly says 'give preference to present lessee', which means that an outsider can participate in the Bid.

B. Yes that rule will apply.

Regards

Anilesh Tewari
Advocate, New Delhi
18078 Answers
377 Consultations

5.0 on 5.0

Dear Client,

Whats the nature of lease ? Short term or more than a year.

Any person can participate except close relatives of member of managing committee in the renewal process,

Present Lease holder will get the preference but his bid matches to highest bidding.

Yogendra Singh Rajawat
Advocate, Jaipur
22636 Answers
31 Consultations

4.4 on 5.0

Hi, the outsider bidders can also participate in the bidding process

Hemant Chaudhary
Advocate, Gurgaon
4630 Answers
67 Consultations

4.9 on 5.0

Rule 6 is not applicable as rental income is less than Rs 1000 per month

2) in your case as present lease holder you would get preference for renewal of lease

Ajay Sethi
Advocate, Mumbai
94720 Answers
7532 Consultations

5.0 on 5.0

In case lease rent is less than 1000rs. renewal process shall initiate by inviting application done by distributing pamphlets, drum beating, notice etc in local area, no need of paper publication/bidding.

Reserve price is application where rent is more than rs. 1000 and renewal done by open bidding.

As it is not the seen in the present case, so the lease will be executed in favor of highest offerer.

Yogendra Singh Rajawat
Advocate, Jaipur
22636 Answers
31 Consultations

4.4 on 5.0

Rules 18 . A)Can Outsiders i.e (Other than present lease holders )participate in the bid?.

There is no restriction that only the present lease holders shall participate in the bidding, even outsiders can participate in the lease bidding, but the current lease holders shall be given preference as per the referred rule.

AND B) Is Rule 7 applicable while renewal of lease for present lease holders i.e(Highest bid in no case less than the reserve price )

The Board shall, while renewing the lease, give preference to the present lessee if such lessee participates in the bid and matches the highest bid.

T Kalaiselvan
Advocate, Vellore
84921 Answers
2195 Consultations

5.0 on 5.0

The Rental income from the leased property is Rs 200 per month.A) So what will be the renewal procedure as Rule 6 is not applicable in this case?

No lease agreement shall contain a clause providing for automatic renewal.

Save as provided in rule 4 relating to short duration lease, the mutawali or Board, as the case may be, shall in all cases where lease of waqf property is required to be given for a period of more than one year but not exceeding thirty years, publish the invitation of bids in at least one leading national (Hindi, Urdu or English) newspaper and one regional or local newspaper

B) It is not mentioned in Rule 18 Renewal of lease that highest bid should not be less than reserve price so what applies in our case ?

Provided that no such advertisement in newspaper shall be required for lease of waqf property whose lease rental income is less than Rs.1000/-(Rupees One Thousand) per month and the mutawalli or Board shall invite applications from persons desiring to take the property on lease and execute the lease by following the procedure specified in sub-rules (2) and (3) of rule 4:

Provided further that the mutawalli, Board or any member of the managing committee of a

waqf, including their spouse, parents, children, brothers, sisters, spouses of brothers and sisters or children of brothe rs and sisters, shall not be eligible to apply for lease under this rule.

T Kalaiselvan
Advocate, Vellore
84921 Answers
2195 Consultations

5.0 on 5.0

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