Renewal of Contract

venkatkrishna (Querist) 17 July 2010 This query is : Resolved
In my experience, I come accross several incidents where the original / main agreemnet is registered one and on every occassion of renewal parties to the contract are exchanging a simple letter aggreeing for further period of years with a condition that " except the changes specified in this letter all other terms and conditions of the main / original agreemnet are valid and binding".

How many times the period of contract can be extended by way of simple letter of extention of the contract or renewal of contract.

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Devajyoti Barman (Expert) 17 July 2010
If the registration for the original agreement is not required then the extensions can also be made with simple offer and acceptance.

venkatkrishna (Querist) 17 July 2010
Thanks Barman. My query is specific. The Registered Agreement on expiry, is required to enter new agreement ?? OR can it be possible to renew by a simple letter of renewal. If, allowed such extention how many times it can be done like this.

Devajyoti Barman (Expert) 17 July 2010
My answer is also specific that if the agreement though registered does not warrant registration for its validity then certainly it can do away with it for its renewal.
For example in west bengal for any lease above 1 year requires registration and if the renewal letter covers period for more than 1 year then certainly it will be of no force.