Is Registration of Leave and License Agreement Mandatory in Delhi

In Delhi, registering a leave and license agreement is mandatory as per the law. This is because it provides legal validation to the agreement, making it enforceable in court. It also protects the rights of both the landlord and the tenant.

A leave and license agreement is a contract between the landlord and the tenant which allows the tenant to use the property for a specific period of time. This agreement can be for any duration, ranging from a few months to several years. The agreement specifies all the necessary terms and conditions that are agreed upon by both parties, such as the amount of rent to be paid, the duration of the agreement, and the rights and responsibilities of both the landlord and the tenant.

The registration process involves visiting the sub-registrar`s office with the necessary documents, such as the agreement, proof of identity, and proof of residence. The sub-registrar will then verify the documents and register the agreement by stamping it, after which it becomes a legal document. The registration fee is usually 1% of the total value of the rent for the duration of the agreement.

It is important to note that if a leave and license agreement is not registered, it is not legally valid. This means that if any disputes arise between the landlord and the tenant, the agreement cannot be used in court as evidence.

Furthermore, registering the agreement provides additional benefits to both parties. For instance, if the landlord decides to sell the property during the duration of the agreement, the tenant is protected by law and can continue to live in the property until the agreement expires. Similarly, if the tenant wishes to vacate the property before the agreement expires, the landlord is entitled to receive a notice period, which is usually one month.

In conclusion, registering a leave and license agreement is mandatory in Delhi and provides legal validity to the agreement. It is important for both the landlord and the tenant to follow the law and register the agreement to ensure that their rights are protected.