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anand das (service)     12 August 2011

Sub-lease permission

Is prior permission of "Lessor" mandatory for giving a portion of the the leased property on sub-lease by a "Lessee" to "a Sub-Lessee"?


 9 Replies

adv. rajeev ( rajoo ) (practicing advocate)     13 August 2011

If there is a condition in the lease agreement to sub lease then only you can sub lease the property.

anand das (service)     13 August 2011

The main lease deed is silent on this point. So can lessee sublease and whether permission of lessor is mandatory?

Is there any provision in some act ?

pervez (adviser)     13 August 2011

I have seen few cases where the lessee has granted license instead of sub-lease... You would appreciate that a lease for a year or more than one year would require compulsory registration.... while  license neither require registration nor creates any interest in the property.. you may decided depending upon facts & circumstances of the case.

adv. rajeev ( rajoo ) (practicing advocate)     13 August 2011

When the lease deed is silent about the sub lease it is better to take the permission from the owner to sub lease, because it can be interpreated like anything.  

If you said there is no condition of not to sub lease in the lease deed so I have given it on sub lease, then owner can say when there is no condition it can be presumed that it should not be sub lease.  

anand das (service)     13 August 2011

In Maharashtra "Leave and License" is mandatory to be registered. There is a latest amendment in this regard.

However, my point is- whether permission of lessor is mandatory to give sublease by lessee to sub-lesseee.

DEFENSE ADVOCATE.-firmaction@g (POWER OF DEFENSE IS IMMENSE )     13 August 2011

Sub lease without the permission of landlord is illegal and a ground for eviction under Maharashtra rent control act 1999.

Madhur Jain (AM (CS & LEGAL))     16 August 2011

Hi Anand

In Lease Agreement the tenant has inherent right to sub lease the property unless and untill it is barred by the Agreement. But in Leave & License Agreement prior permission from landlord is required before sub letting the property.

This is also one of the main difference between Lease and Leave & License Agreements. 

anand das (service)     16 August 2011

I have just come across the following-

 Section 108 of Transfer of Property Act 1882

Rights and liabilities of lessor and lessee.-

(B) Rights and Liabilities of the Lessee

J) the lessee may transfer absolutely or by way of mortgage or sub-lease the whole or any part of his interest in the property, and any transferee of such interest or part may again transfer it. The lessee shall not, by reason only of such transfer, cease to be subject to any of the liabilities attaching to the lease;

 Nothing in this clause shall be deemed to authorise a tenant having an untransferable right of occupancy, the farmer of an estate in respect of which default has been made in paying revenue, or the lessee of an estate under the management of a Court of Wards, to assign his interest as such tenant, farmer or lessee;

DEFENSE ADVOCATE.-firmaction@g (POWER OF DEFENSE IS IMMENSE )     16 August 2011

It will depend on the type of property on lease.

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