• Late registration of rent/lease deed one year after its commencement

I have entered into a lease deed for area of 2600 sq feet commercial office space with a builder X (say) of Noida ,who has further subleased the space to a company. I don’t have space registration in my name, since the builder X has to pay NOIDA authority some dues. I only have allotment letter.
The lease deed is dated 1-4-2017 for 3 years lock on a Rs.100 non judicial stamp paper of Noida , Uttar Pradesh. I have only a photocopy of lease agreement on which the builder X has given his original signatures. I am getting regular rent from builder X who might be getting higher rentals from the sub-lessee company. We have not got this lease registered with the registrar. 
1) Can we get the same registered now after a lapse of 15 months from commencement ? Who will bear the charges ?
2) Will I be able sell this unit on the basis of builder transfer & non-registered lease agreement lease agreement ?
Asked 5 years ago in Property Law
Religion: Hindu

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8 Answers

Recharge for registration of please is born by both the parties equally as it involves 4% of the annual rent I will stamp duty during the can currency of lease agreement you can get it registered. A lease deed must be registered as it can not be enforced without registration.

Vimlesh Prasad Mishra
Advocate, Lucknow
6852 Answers
23 Consultations

4.9 on 5.0

You have to pay stamp duty and registration charges

2) you don’t have clear and marketable title to the property

3) unregistered lease agreement is in admissible in evidence

4) registration has to be done be within maximum period of 8 months from date of execution

Ajay Sethi
Advocate, Mumbai
94405 Answers
7468 Consultations

5.0 on 5.0

1) Can we get the same registered now after a lapse of 15 months from commencement ? Who will bear the charges ?

Answer: You will need to execute a Deed of confirmation and then only you can register it. The registration should have been done within 4 months, but you can also do it now after executing a Deed of Confirmation;

2) Will I be able sell this unit on the basis of builder transfer & non-registered lease agreement lease agreement ?

Answer: Once you register the Deed then you can easily sell it. Since usually buyers would want to purchase a property only if there is a registered document.

Gowaal Padavi
Advocate, Mumbai
1920 Answers
5 Consultations

5.0 on 5.0

Hello,

On what terms have you leased the property to X. Was he allowed to sub lease the same?

If he hassub leased the same then it will be his duty to get a rent agreement or lease. Till the time he is complying with the condition of lease, you can not raise any objections.

It is not advised to sell the property during the tenure of the lease.

Regards

Anilesh Tewari
Advocate, New Delhi
18074 Answers
377 Consultations

5.0 on 5.0

1. it is not clear from your query as to who leased the property to whom?

2. are you the owner of the property and have leased it to the builder?

3. or is the builder the owner and has leased it to you?

4. i am asking because, assuming that you are a lessee, then how can builder sub-lease the area leased to you?

5. if you are the owner and have leased the property to builder, then ofcourse the builder can sub-lease the leased premises under authority from you

6. so kindly first clear the above

7. a document which is compulsorily required to be registered like a lease deed, has to be registered with the registration office within a period of months from the date of signing the agreement which period can be further extended to another 4 months by the registrar provided sufficient cause is shown by the party for delay in registration

8. in your case the period of 8 months has already lapsed.

9.therefore both parties can sign a confirmation deed confirming the lease transaction and attach the lease deed to the confirmation deed and register the confirmation deed by paying the stamp duty with penalty if any and also registration fee. But you need to check first if this procedure is permissible in your state. In Maharashtra this procedure used to be there but presently it is not allwed.

Yusuf Rampurawala
Advocate, Mumbai
7467 Answers
79 Consultations

5.0 on 5.0

1. No, you cannot get the current agreement registered after such a long delay.

However, you can get a fresh agreement made identical to the original one and get it registered subject to the following:

- First, you will need to have the necessary title documents in your favour.

- Secondly, if you have the above then purchase stamp paper as applicable.

- Thirdly, change the execution date & term of the agreement to coincide with the date of purchase of stamp paper.

Charges can be borne as per mutual consent.

2. No. You can sell it only if you have a title document in your favour. Lease deed is not a proof of ownership. You will have to go through the allotment letter in detail before considering a sale.

Shekhar Banerjee
Advocate, Delhi
156 Answers
1 Consultation

5.0 on 5.0

Dear Client,

Lease deed above 11 months requires compulsory registration, unregistered lease deed has no value.

The lease deed can be registered, however the lessee shall have to pay additional fee by way of penalty for delay in registration.

After 4 months of its execution penalty shall be on payment of a fine not exceeding ten times the amount of the proper registration-fee.

Both will bear or acc. to their settlement.

Sub letting valid ground for eviction and end of lease. Your property , you can sell it while subsistence of lease deed,

Yogendra Singh Rajawat
Advocate, Jaipur
22576 Answers
31 Consultations

4.4 on 5.0

1. A fresh lease agreement only can be registered at this stage i.e., after 15 months of its execution.

The lessee only has to bear the expenses for registration.

2.Unregistered lease agreement is not valid in law, hence any legal claim on this is not maintainable

T Kalaiselvan
Advocate, Vellore
84604 Answers
2156 Consultations

5.0 on 5.0

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