Eviction under a leave and license agreement - mumbai

self employed

Sir,

I have registered on the 15th of January 2013, a leave and license agreement signed by both parties on the 11th of January 2013 for residential purpose for a period of thirty six months, from 15th of Jan 2013 to 14th of Jan 2016.

The license agreement states "The said License fee/ compensation shall be paud by the LICENSEE to the LICENSORS on or before 06th day of every month".

It further states "The LICENSEE to the intent that the obligtions shall continue throughout the term hereby created do hereby expressly covenant with the LICENSORS as follows: (1) To pay punctually to the LICENSORS the compensation/ license fee hereby agreed to be paid on the day and in manner mentioned herein above.... (j) That he will not make any alterations, modifications or changes of whatsoever nature and kind in the said licenced premises"

.It further states "Either party may terminate this Agreement by giving in writing to the other party, a notice of two months in advance of their intention to do so and after expiry of the period of two months, this Agreement shall stand cancelled and accounts between the parties shall be settled immediately, as agreed. It is further agreed that in the event of termination/ cancellation of this Agreement before its maturity period, all charges such as stamp duty, registration fee and other incidental expenses payable for the earlier termination/ cancellation of this Agreement shall be borne and paid by the party terminating this Agreement. It shall be binding on both parties herein to register the Cancellation Deed with the concerned registration office."

It further states" In case of default in payment of monthly compensation/ license fee or any breach of any terms and conditions of this agreement committed by the LICENSEE, shall notwithstanding anything stated in this agreement, entitle the LICENSORS to terminate this agreement by giving one month notice in writing of his intention to do so. In such event, LICENSORS shall be entitled to take charge of the said Lcensed Premises and the LICENSEE shall immediately evict himself from the said licensed permises without any excuse".

It states that the Mumbai courts have jurisdiction over any disputes and that the license is specifically covered under section 24 of Maharashtra Rent Control Act, 1999, Act 18 of 2000 with special reference to subsection 2 and 3 of section 24 thereof.

The current situation is that the licensee has not paid any license fee till date. We did not collect PDCs at the start of theagreement. During registration, we had given him our account number on a piece of paper to which he was supposed to transfer the license fee. On seeing that we hadn't received the licensee fee by the 6th, I had again emailed him the bank account details requesting him to deposit the amount. He has not done till date.

He had put a stickon flooring without consulting us, expense of which he claims to be Rs. 34,000 and he expects us to pay the same, though we have never agreed to do so. 

My queries are as below

1. By not paying the license fee, is he in breach of the agreement and if so, if the agreement null and void? If tehre is a breach, can i issue a notice of a month for eviction? In such a case, the agreement got cancelled because of the LICENSEE's breach of terms, So will he be responsible for bearing the cancellation deed registration and associated expenses?

2. Is the agreement is still valid? If so, can i issue an eviction notice with a notice period of two months? In this case I will have to bear the cancellation deed registration and associated expenses.

3. After the notice period of evication is over, if he refuses to get the cancellation deed registered or refuses to vacate the premises, what can i do? Can the police help? or will i need to approach a court?

Thanks for taking time to reply to my query. I appreciate the same.

Regards,

Vinod Subramanian.

 
Reply   
 
Assistant Manager (Legal)

As per the terms and conditionss incorporated in your L & L, Licensee has defaulted by not paying the license fee, hence under that clause, Licensor has right to terminate the agreement by issuing him a one month notice. As this agreement is binding on both i.e. Licensee and Licensor and hence after issuing one month notice, licensee has to act as per agreement, if not again he is further amounting to breach of it and liable to evict from the said premises.

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self employed

Mr. Patil,

Thank you for your reply and for confirming the breach of clause occurance.

 

In this case, as per the terms in the agreement, would the LICENSEE be liable to pay the cancellation of agreement registration fee and other associated expenditure? I ask this because, as per my understanding, the contract has been terminated because of action from the LICENSEE's side (default in payment of license fee).Or will it be that, since I am issuing the 1 month notice, will I be liable to pay the costs?

 

Regards,

Vinod Subramanian.

 

relevant clause below

It further states "It is further agreed that in the event of termination/ cancellation of this Agreement before its maturity period, all charges such as stamp duty, registration fee and other incidental expenses payable for the earlier termination/ cancellation of this Agreement shall be borne and paid by the party terminating this Agreement. It shall be binding on both parties herein to register the Cancellation Deed with the concerned registration office."

 
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Assistant Manager (Legal)

Mr. Vinod, In your agreement , it is seen that, licensee is a defaulter and he caused to invite termination hence the cancellation/termination expenses shall be paid by licensee.

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self employed

Thank you Mr. Patil,

 

You have clarified my doubts. We will be taking an appropriate action in the coming days. I will update the same on this forum.

 

Regards,

Vinod Subramanian.

 
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The law has been changed a lot for the license agrrement issue. I have read an article on this issue which was published by the bestessays au. I think the legal issues should be solved in a short time so that people would not suffer.

 
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Hi, I am also in same situation. My tenant is not vacating flat. He has not given us rent from last 3 to 4 months and we have given him notice by email and by registered post. Pl guide me what should be my next step, so he vacate my flat without going to court.
 
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Further to above my query I want to add below points. We have already done Leave and License Agreement and it was clearly mention that failure to pay rent on time Owner can terminate Leave and License agreement by giving 1 month notice to tenant. We have guven him notice by email as well as by Registered Post. But still he is not vacating the flat. Pl guide me what should I do next.
 
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i had d same problem and it was a registered agreement. my personal as well as advocates notices  and after completion of the agreement period the licencee did not vacate.  payments of more than a years rent remained upaid, the agreement was for 22 months.  the electricity bill also was pending for rs. 36000/-I had to approach the competent authority at Bandra after more than a year a got a favourable judgement.  D party on hearing the news of the judgement left the flat hurriedly and the flat was dirty and messy when given it was in tip top condition. 

Now to get recovery I had to find the address where the party had fled . Ultimately after much search was able to locate her new address on ll.  This person turned out to be a habitual offender and did the same to the previous lessor and left the flat,  A hardcore scoundrel and defaulter who knows too well about the proceedings in court and delay and time lag. 

Says I get scared of no one except god and her husband is also a bigger scoundrel.

 

I ultimately after much search was able to trace her new whereABOUTS and with the baliff slapped her the courts order to appear in court.

 

now what is the next step 

 

Please help

 

 
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