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abhishek nagar (student)     11 January 2012

Can employee take any premises on rent on behalf of employer

Hello Friends,

I wish to know that, whether an Employee can take any premises or shop on rent on behalf of his employer? If Yes then, will the words " Mr. X employee of Mr. Y takes this premises on rent for a term of -- months" will work in the agreement? and if yes then who will be set responsible for legal obligations "employee or employer" because the wordings are " Mr. X employee of Mr. Y" and it does not contain word "On Behalf of Mr. Y".

Pls. answer soon, its an urgent issue...

Thanks & Regards


 5 Replies

harpreetdhanvi (Legal Officer)     12 January 2012

i am also intrested in this topic as my company is also telling me to sign on lease documents

DEFENSE ADVOCATE.-firmaction@g (POWER OF DEFENSE IS IMMENSE )     12 January 2012

Employer will not be responsible.

harpreetdhanvi (Legal Officer)     12 January 2012

mr JSDN you mean to say that the employee would be responsible. now my case is such that the company is passing a board resolution in the favour of employee(me) that i can take certain premises on lease and that the company would be responsible. Would this be enough to safegaurd me or even after the resolution i can be held responsible by the landlord.

I am attaching the copy of board resolution.

Attached File : 705014332 l c club.docx downloaded: 97 times

shrikant (LAW OFFICER)     12 January 2012

As per Resolution company is responcible  because company has given you only authority to sigh the deed

sridhar pasumarthy (ADVOCATE)     12 January 2012

An employee cannot enter into a lease deed on behalf of the employer without making him a party to it.  Even if entered, it will not bind the employer/stranger to contract.

A contract between the employer and empoyee does not bind a third party/lessor with respect to the liabilities under the lease deed.

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