Arbitration clause in leave & license

1. Can arbitration clauses be included in every contracts ?

2. I have heard that arbitration is invalid in 'leave & license' agreements. Is it true?

Dear Anand

There is no hard and fast rule to include or not the arbitration clause in any contract. Its a tool for alternate dispute resolution system rather approaching to court for any dispute arising out of a contract. There is no bar for arbitration clause to be included in Leave & License agreement.

Rightly  explined by Mr Mahapatra.

The issue with respect to Arbitration Clause in a Leave and Licence Agreement is decided against the validity of clause by the Hon'ble Supreme Court in the year 1981.

Thanks for your answer Mr Thakkar.  Is it possible to get the referernce to that judgement . Would be grateful.

In Maharashtra in a properly drafted and registered  Leave and License Agreement, the competent authority can decide the dispute summarily hence insertion of an arbitration clause will certainly be a misfit and not at all in favour of licensor.

Ibrahim Deshmukh
Legal Consultant
ibdesh@gmail.com
 

Thank you very much Mr Deshmukh for your reply. 

Which is the competant authority to decide leave & license matters in Maharashtra ?

Which act governs leave and license matters in Maharashtra?

You are landlord or tenant.

landlord

leave and license agreement is governed under Mah Rent Control Act. In Mumbai Competnent authority is in Mhada buiding, wherein licensor can make application for eviction of licensee.   every dist. has one competent authority which deals with proceeding regarding leave and license agreement.  however, agreement is to be registered.