Lease deed, Leave and License Agreement

Every student who has rented a room in Navi Mumbai has seen two kinds of paper: a long lease deed for a shop or office, and an eleven-month Leave and Licence agreement for a flat. Landlords prefer the second and tenants often do not know why. Is the difference only in the name, or does the law treat the occupier differently? And what must the drafter put in each document so that it means what the client wants?

In two minutes

A lease is a transfer of a right to enjoy immovable property for a certain time in return for rent or premium, while a licence is only a permission to do something on another's property that would otherwise be unlawful and creates no interest in it; the drafter chooses between them by the client's intention, and the document must fit the statutory form for the one chosen.

The rest of this chapter

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