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How to proceed with leave and license agreement for a business?


31-May-2023 (In Civil Law)
Hello I'm going to engage in a business relationship with a landlord who is eager to lease his apartment for commercial purpose under: Leave and License agreement with a clause "THAT the licensee shall use the flat for residential purpose and shall not be used for commercial purpose exclusively" The landlord is ready to give NOC.My question is that Can I successfully run a business with such agreement.What are the problems that might come in the future with such agreement?
Answers (3)

Answer #1
956 votes
As you say that in your Agreement there was a Clause " That the licensee shall use the flat for residential purpose and shall not be used for commercial purpose exclusively". Then in this clause it is very much clear that, the Flat only use for residential purpose, Here if the Landlord issue NOC, which is absolutely contradictory against the said Agreement. Therefore, my opinion is to change the Clause first and then work on it.
Answer #2
606 votes
MY OPINION THAT i have follow your clause in the leave and license agreement ,which is totally contradict your purpose ,may be the landlord is released the agreement , and give you NOC , but the clause is contradict your purpose of business, you should challenge in various legal ways.
Answer #3
882 votes
Your query is not very clear for a clear opinion you should have a full consultation with a legal professional although if you are taking LEASE for commercial purpose it should by way of a lease agreement because there is a great difference between lease and leave & license in leave and license you will only have the right to use that too for 11 months. Have assistance of a legal professional before setting up your business.

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