Leave and License Agreement in Andhra Pradesh: Everything You Need to Know

A leave and license agreement is a legal document that allows a property owner to give someone else temporary possession of their property in exchange for payment. The agreement enables the licensee to use the property for a specific period, usually 11 months, and is commonly used by landlords to rent their properties.

If you are a property owner or intending to rent a property in Andhra Pradesh, it is essential to understand the legalities involved in a leave and license agreement. This article provides a comprehensive guide on everything you need to know about leave and license agreements in Andhra Pradesh.

Key Provisions in Leave and License Agreements in Andhra Pradesh

A leave and license agreement is a legally binding document, which must include the following provisions:

1. License Fees: This provision sets out the amount payable as license fees by the licensee to the licensor for the use of the property.

2. Duration of License: This provision specifies the period covered by the leave and license agreement. The agreement`s term is usually for 11 months, but it can be extended by mutual consent.

3. Maintenance: This provision outlines the responsibilities of the licensee and the licensor concerning the maintenance of the property during the term of the agreement.

4. Security Deposit: This provision requires the licensee to pay a security deposit to the licensor. The security deposit is refundable at the end of the agreement period.

5. Termination: This provision sets out the circumstances that can lead to the termination of the license agreement. It may include the violation of the agreement`s terms and conditions by either party.

Legal Requirements for Leave and License Agreements in Andhra Pradesh

For the leave and license agreement to be valid in Andhra Pradesh, it must comply with the following legal requirements:

1. Registration: The agreement must be registered at the local Sub-Registrar`s office, and the licensor must pay the necessary stamp duty and registration charges.

2. Identification Documents: Both the licensee and the licensor must provide their identification documents, such as Aadhaar card or passport, to be attached to the agreement.

3. Witnesses: The agreement should be signed by the parties involved in the presence of two witnesses who also provide their identification documents.

4. Address Proof: The agreement must include the address proof of the property and the licensee.

Conclusion

A leave and license agreement is a crucial document for both property owners and tenants in Andhra Pradesh. The agreement protects the interests of both parties and ensures that they uphold their rights and responsibilities. As a property owner, ensure that you comply with the legal requirements and include all necessary provisions in the agreement to avoid legal issues in the future.