leave and lic agreement

A Leave and License Agreement is a legal document used in India to grant permission to a licensee to use and occupy a property for a specified period, while the ownership remains with the licensor. This agreement is commonly used for residential or commercial properties and is governed by the Indian Easements Act, 1882.

Here are some key points to consider when drafting or reviewing a Leave and License Agreement in India:

1. **Parties involved:**
– **Licensor:** The owner of the property.
– **Licensee:** The person or entity to whom the license is granted.

2. **Property details:**
– Clearly mention the details of the property, including the address, description, and any specific terms regarding the portion of the property being licensed.

3. **Term of the license:**
– Specify the duration for which the license is granted. This can be a fixed term or on a month-to-month basis.

4. **License fee:**
– Outline the amount of license fee to be paid by the licensee. Specify the frequency of payment (monthly, quarterly, etc.).

5. **Security deposit:**
– If applicable, mention the security deposit amount and the conditions for its refund upon the termination of the agreement.

6. **Maintenance and utilities:**
– Clearly define the responsibilities of the licensor and licensee regarding maintenance, repairs, and payment of utility bills.

7. **Termination:**
– Specify the conditions under which either party can terminate the agreement. Common termination conditions include non-payment of license fees, breach of terms, or expiration of the agreed-upon term.

8. **Rights and obligations:**
– Clearly outline the rights and obligations of both parties during the term of the license. This may include restrictions on subletting, alterations to the property, and other relevant matters.

9. **Notice period:**
– Include a notice period required for either party to terminate the agreement. This is typically 30 days but can be negotiated.

10. **Legal compliance:**
– Ensure that the agreement complies with all relevant laws and regulations. It may be advisable to seek legal advice to ensure that the agreement is legally sound.

11. **Stamp duty and registration:**
– In many states in India, Leave and License Agreements need to be stamped and registered. Check the local regulations and adhere to the stamp duty and registration requirements.

12. **Indemnity clause:**
– Include an indemnity clause to protect both parties from any legal claims arising from the use of the property.

It is highly recommended to consult with a legal professional or seek legal advice to ensure that the Leave and License Agreement is legally enforceable and meets the specific requirements of the parties involved. Additionally, local regulations may vary, so it’s essential to be aware of any regional nuances in drafting such agreements.