LEASE OF LAND ALREADY IN LESSEE'S POSSESSION, WITH RETROSPECTIVE EFFECT

 

THIS DEED OF LEASE("Agreement") is made at .................on this ...................... day .................................. 20……..

BETWEEN

Shri ....................................s/o Shri .........................., resident of .........................................................., hereinafter referred to as "Lessor" which expression shall, unless repugnant to the context or meaning hereof, include his successor, legal representatives and assigns) of ONE PART;

AND

...................................................... (hereinafter referred to as "Lessee" which expression shall, unless repugnant to the context or meaning hereof, include its successors in title, legal representatives, assigns, associates, affiliates, subsidiaries, and other authorized companies) of the SECOND PART;

WHEREAS the Lessor is the absolute and legal owner of the plot of land situated at .............................................................. admeasuring .................. sq. yards.(hereinafter referred to as "Demised Land").

AND WHEREAS the Lessor has represented that he has a clear and unrestricted right to lease out the Demised Land for the purpose of residential/commercial use and is legally competent to enter into the Lease of the Demised Land;

AND WHEREAS the Lessee has approached the Lessor to take on rent the Demised Land for residential purposes;

AND WHERAS the Lessor hereby demises to the Lessee the Demised Land on which the Lessee has built a house and which has been in Lessee's possession since the beginning of the year.

NOW, IT IS HEREBY MUTUALLY AGREED BY AND BETWEEN THE

PARTIES HERETO AS FOLLOWS:

1. In consideration of the agreed terms between the parties hereto and in consideration of the monthly rent and other charges reserved hereinafter, the Lessor hereby irrevocably grants and demises to the Lessee the Demised Land together with rights, easements, appurtenances, etc., for construction and subsequent use for commercial/residential purposes for a minimum period of ........................months from the date of effective occupation of the Demised Land.

2. That the Lessee shall be responsible to comply with all formalities with respect to MCD and other regulatory authorities for the purpose of construction upon the Demised Land as may be applicable to the Demised Land.

3. In consideration of the Lessee's payment of the rent of Rs. ........../- (Rupees ................ only) per month ("Monthly Rent") less applicable Tax Deduction at Source retrospectively from the date of handing over of the physical possession of the Demised Land (the Handing Over Date), the Lessor has agreed to Lease out the Demised Land to the Lessee on the terms and conditions herein contained.

4. That the Lessee agrees to pay at the time of the signing of this Lease Deed, 12 months rent for the period from ........ to .......... ......../- towards monthly rent wherein the Lessee was in occupation of the Demised Land, amounting to Rs. ........../- (Rupees .......... only) less applicable Tax Deduction at source (the receipt of which the Lessor shall separately acknowledge) to be adjusted @ .......... per month. The remaining rent shall be paid every quarter in advance @ Rs. ......../- per month for 24 months i.e Rs. ......../- per Quarter less applicable Tax Deduction at source in advance, on the Lessor issuing pre-receipt rent bill to the Lessee at least 15 days prior to the date the rent falls due.

5. That besides the rent herein above reserved, the charges for consumption of electricity and water, if any, in the Demised Land from the date of retrospective handing over of the vacant physical possession of the Demised Land shall also be paid and/or borne by the Lessee who shall be duty bound to honour all the bills received in that behalf from the concerned authorities, from time to time.

6. The Lessee shall diligently observe and perform all the terms and conditions and/or covenants of this Lease Deed.

7. The Lessee shall, permit the Lessor and/or his authorized representatives, by prior appointment to inspect and visit the Demised Land, in the presence of Lessee or his authorized representative at all reasonable hours, as and when necessary. The Lessor will ensure that such entry will not disturb the quiet and peaceful possession of the Demised Land by the Lessee or any person claiming through the Lessee, use of the Demised Land.

8. During the subsistence of this Lease, the Lessor shall use his best endeavour to prevent any right or easement belonging to or used with the Demised Land from being obstructed or lost.

9. The Lessee shall be at liberty to have the house and belongings kept in the Demised Land insured at its own cost from any loss due to theft or against damage by fire or other natural calamities. The Lessor shall, however, maintain with a reputable insurance company comprehensive and adequate insurance for the Demised Land. In the event of any loss, destruction or damage to the Demised Land arising out of any cause beyond the reasonable control of the Lessee or due to Acts of God such that the Demised Land are rendered unusable, then this Lease shall be terminable forthwith with intimation to the Lessor and the Lessor shall forthwith refund to the Lessee all unadjusted payments lying with the Lessor against delivery of the vacant physical possession of the Demised Land by the Lessee.

10. The Lessee shall not sublet, assign, or otherwise part with the possession of the Demised Land, or any part thereof to any third Party except with prior written consent of the Lessor.

11. On the expiry of the term of this Lease, or its earlier termination in accordance with the terms of this Lease Deed, whichever be earlier, the Lessee shall immediately surrender the actual vacant physical peaceful possession of the Demised Land to the Lessee after removing his building materials therefrom unless the Lessor within three months preceding such expiry or within 15 days of such determination notifies his intention of purchasing the same at a cost to be mutually determined. In case of earlier termination of the Lease, refund of all previously paid and unadjusted amounts under this Lease Deed, and any prepaid portions of rent to the Lessee shall be a condition precedent to the surrender of the actual vacant physical peaceful possession of the Demised Land by the Lessee.

12. The Lessee shall not without the consent in writing of the Lessor construct any new building or buildings on the Demised Land or make any alterations in the buildings now standing thereon.

13. The Lessee will not use the said land and buildings otherwise than for residential purpose.

14. That the Lessor may at any time after six months' previous notice in writing to the Lessee determine the tenancy hereby created and shall in such case pay to the Lessee such cost of any building or buildings standing on the Demised Land on the date of such determination as may be mutually agreed upon or in case of disagreement as may be determined by a reasonable deduction for depreciation and on such payment being made such buildings shall vest in the Lessor.

15. In the event of any dispute or differences between the parties relating to this Lease Deed or any part thereof the same shall be referred to arbitration and shall be governed by the Arbitration and Conciliation Act, 1996.

16. "Event of Force Majeure" means an event beyond the control of a party, as a result of which the party is unable to perform its obligations under this Lease. An event of Force Majeure includes, but is not limited to prohibition or acts by government or public agency, riot, war, hostility, public disturbance, epidemic, fire, flood, earthquake, storm, or other acts of nature. If one party has been prevented from performing its responsibilities stipulated in this Lease because of an Event of Force Majeure, it shall notify the other party in writing within fourteen (14) days after the occurrence of such Event of Force Majeure, and both parties shall use reasonable endeavours to mitigate damages, to the extent possible. If an Event of Force Majeure occurs, no party shall be responsible for any damage, increased costs or loss which the other party may sustain by reason of such a failure or delay of performance, and such failure or delay shall not be deemed a breach of this Lease. A party claiming inability to perform due to an Event of Force Majeure shall take appropriate means to minimize or remove an Event of Force Majeure and, within the shortest possible time, attempt to resume performance of the obligation affected by the Event of Force Majeure.

17. Failure or delay on the part of any party hereto to exercise any right, power or privilege under this Lease shall not operate as a waiver thereof, nor shall any single or partial exercise of any right, power or privilege preclude any other future exercise thereof.

18. Notices or other communications required to be given by any party pursuant to this Agreement shall be given in English and may be delivered personally, sent in letter form by registered mail with postage prepaid or by facsimile transmission to the address of the other party set forth below or to such other address as may from time to time be designated by any party through notification to the other party. The dates on which notices shall be deemed to have been effectively given shall be determined as follows:

(a) Notices given by personal delivery shall be deemed effectively given on the date of personal delivery;

(b) Notices given in letter form shall be deemed effectively given on the seventh day after the date on which they were mailed (as indicated by the postmark) by registered airmail, postage prepaid, or on the third day after they were sent by recognised courier service.

(c) Notices given by facsimile shall be deemed effectively given on the first business day following the date of transmission.

LESSOR:

LESSEE:

IN WITNESS WHEREOF, the parties hereto have executed this presents on the day, month and year above written.

SIGNED AND DELIVERED by the Lessor

SIGNED AND DELIVERED by the Lessee

WITNESSES:

1.

2.