Leave and License Agreement Registration

Can you explain leave and license agreement meaning?

​

When owner of property grants or allows licensee(tenant) to use and occupy licensed premises without transfer of interest to licensee, such grant is termed as leave and license and such agreement between owner and licensee is referred to as leave and license agreement. There exists vital difference between rent agreement vs leave and license agreement with respect to transfer of interest. You may read this article to understand the difference between rent agreement vs leave and license agreement.

​

What are benefits of leave and license agreement registration?

​

• It makes you legally compliant as Maharashtra Rent Control Act mandates the registration of rent or leave and license agreement

• It is considered as valid address proof.

• It is legally enforceable and is considered as valid proof in the court of law which eases to large extent, the recovery of unpaid license fee, damages and recovery of vacant property from licensee on expiry or determination of leave and license as per terms specified in agreement

 

What are basic requirements for leave and license agreement online registration?

​

• All parties(each owner and tenant) including 2 witnesses must have valid Aadhaar card

• Two witnesses are compulsorily required for leave and license agreement registration

• Licensor must have valid proof of ownership e.g. Index II, Electricity Bill

• Licensor should have PAN card

• Power of attorney, if used, should preferably be registered and should be in force

 

What are leave and license agreement online registration charges?

​

• Government Charges:

  • Stamp Duty Charges: This is variable component as it depends on total license fee, number of months, refundable and non-refundable deposit amount.

  • Registration Charges: This amount depends on whether your property is in rural or urban area. For urban area, Rs. 1000/- is charged as registration charges whereas for rural area this amount reduces to Rs. 500/-

• Legal First Services Charges: Rs. 1300/- which only include drafting and one visit for capturing bio-metrics and photo. If for any reason additional visit is required then it will be charged extra at Rs. 500/- per additional visit. Additionally GST @18% would be applicable on Legal First Charges including additional visit charges.

 

How can NRI make a rental agreement?

​

We make leave and license agreement registration and/or rental agreement registration hassle free and cost effective for NRI residing out of India with our unique service. Generally it is most cost effective when NRI has granted registered Power of Attorney(PoA) in favor of relative or close friend to carry out agreement registration process specifically rental agreement registration and/or leave and license agreement registration. With the help of PoA, the PoA holder can represent NRI and complete the registration process without needing NRI to travel to India. If PoA is not available then you may call us or WhatsApp us to check availability of our service in the area where NRI resides.

​

Can you provide agreement registration if licensor and/or licensee are available at different places in India?

​

Yes we provide agreement registration service all over India and abroad through our partners hence we can make it available for you irrespective of licensor and/or licensee location. This, being premium service, will be slightly costlier but definitely it will be less costlier than their overall travel cost!! 

 

Which clauses should leave and license agreement format include?

​

• It should clearly set the agreed period of license including start and end date

• It should clearly set out license fee and interest free deposit amount that licensee is required to pay to licensor as per agreed schedule

• It should mention no tenancy and no sub-licensing clause thereby prohibiting licensee from sub-licensing the licensed premises.

• It should clearly mention the usage, no alteration and inspection clause

• It should have cancellation clause that should describe the notice period and recovery of possession clause mentioning damages to be recovered on licensee failing to vacate the licensed premises on expiry or determination of license

 

What is the online leave and license agreement registration procedure?

​

1. Customer need to book an appointment with Legal First Services for availing the service by selecting available time slot. The selected time slot is expected to be at least 4 days in advance for hassle free service. Please mention accurate email id and phone number along with correct address while booking appointment to enable us to reach your place without any hassle for capturing photo and thumb impression

2. Our support team will connect with customer and gather more details about the customer requirement. You will have the opportunity to convey detailed requirements at this stage as these details will help us to provide cost estimates.

3. Subsequently, you will be provided with total cost involved for availing the service.

4. Once you agree to opt for the service considering the provided cost estimates, you will be required to pay the agreed cost online and email us payment screenshot on our email id support@legalfirstservices.com.

5. Once the payment is confirmed, our support team will approve your appointment and our support team member will visit to capture photo and thumb impression of all parties including witnesses as per previously approved appointment timing and place

6. Subsequently our support team will submit the agreement for final approval by concerned Government registrar office.

7. Once concerned Registrar approves and registers the agreement, we will be able to provide the soft copy to customer over registered email address. In case concerned Registrar finds any issue and raises any query, then we may contact customer again and request additional details as per query raised by Registrar and customer will need to provide the requested documents/details as per stipulated timeline without fail.

​

What are important Terms and Conditions for leave and license agreement online registration?

​

1. All parties including witnesses must have Aadhaar card

2. As per Government Rules for online leave and license agreement, it is must to verify each party's and witness' bio-metric details with their own Aadhaar data on e-registration module. Without completing such online verification, we can not proceed with e-registration of agreement hence in worst case if some person's bio-metric data does not get verified with Aadhaar details then we might have to cancel the online agreement and we may provide you an assistance with offline registration of leave and license agreement at additional cost on case to case basis.

3. All parties including witnesses must be available at designated place at least 15 mins prior to appointment start time so as to avoid rush and enable hassle free e-registration process.

4. Generally leave and license agreement is registered within 48 hours but sometimes it may take longer time depending on concerned Registrar and sometimes it may get delayed beyond usual 48 hours in case Registrar is on leave or there is too much of workload. Hence we advise to not apply for online leave and license at the last minute. Once online registration of leave and license agreement is completed by concerned Registrar, we will provide the soft copy of registered agreement over email.

​

Does notarized rental agreement work?

​

As per Sec.55 of Maharashtra Rent Control Act, any agreement for leave and license or letting of any premises, entered into between the landlord and the tenant or the licensee, as the case may be, after the commencement of this Act, shall be in writing and shall be registered hence it is very much important to get your leave and license agreement and/or rent agreement registered to be compliant with aforesaid provisions. ​

 

Which document/details I will need to provide for agreement registration?

​

You will need to either submit Leave and License agreement details form or provide following documents/details which will enable us to feed your data in the e-registration system:

​

1. Soft copy of Aadhaar card of Owner(s), Tenant(s), and 2 Witnesses. Soft copy is needed for name, age, address and adhaar number so these details should be clearly visible in soft copy. 

2. Total tenure of agreement and start date of tenure

3. Amount of Refundable deposit and Amount of Non-refundable deposit, if any

4. Monthly rent/license fee amount

5. PAN card of Owner(s) and optionally Tenant(s)

6. Professions of Owner(s), Tenant(s) and 2 Witnesses

7. Index II of premises/flat to be licensed/rented

8. Who will pay society maintenance and other taxes related to premises/flat to be rented, Owner(s) OR Tenant(s)?

9. Do you have any furniture or appliances in property to be  rented like fan, tube, Geyser, etc. If so let us know the name of such article and it's quantity like Fans - 2 , Tubes - 3 etc.

10. Details of security deposit payment like Payment date, Amount paid, Payment mode (Cash OR Cheque OR NEFT). 
    If by Cheque, then provide cheque details like cheque no.,date, bank name,branch name etc. 
    If by NEFT or Online, then provide Transaction number, Bank name, Branch name, Amount paid, Transaction date, etc.
    In case security deposit is paid in parts, then provide above details for each part transaction

​

What is offline Leave and License Agreement Registration?

​

Offline Leave and License agreement registration refers to traditional method of registering agreement which involves preparing hard copy of draft, fixing appointment with concerned sub-registrar office and then all parties including witnesses need to visit the sub-registrar office at the time of pre-book appointment to finish the registration process.