Leave & License Agreement
What is a Leave and License Agreement?
A Leave and License Agreement is a legal document that allows a person (called a Licensee) to use and occupy a property for a specific period, without giving them ownership or tenancy rights. This agreement is commonly used when the owner (called a Licensor) wants to let someone stay in their flat, office, or shop temporarily, while keeping full control over the property.
Who Needs This?
- Homeowners who want to rent out their property for a short period
- Tenants looking for flexible, short-term accommodation
- Business owners who need temporary commercial space (offices, shops)
- NRI property owners who want legal protection while letting out property
- Anyone who wants to avoid long-term commitments or tenancy complications
Difference Between Leave & License vs Rent/Lease Agreement
Factors | Leave & License Agreement | Rent/Lease Agreement |
Legal Right | Gives only permission to use the property | Transfers tenancy rights to the tenant |
Ownership | Owner keeps full control of the property | Tenant gets legal possession during the agreement period |
Eviction | Owner can easily remove the licensee | Requires proper legal process to evict the tenant |
Duration | Usually for short term (up to 11 months) | Generally, for a longer duration (1 year or more) |
Registration | Mandatory in some states like Maharashtra | Must be registered if the term is over 12 months |
Usage | Best for temporary stays or short-term commercial use | Suitable for long-term residential or commercial purposes |
Governing Law | This is governed by the Easement Act and is not protected by rental laws | Rights of parties are protected under Rent Control Acts |
Benefits of a Leave and License Agreement
- No tenancy rights to the occupant- The owner remains in full control of the property.
- Easier and quicker eviction- The licensee can be asked to vacate without lengthy legal steps.
- Ideal for short durations- Commonly used for stays up to 11 months.
- Clear terms and conditions- Reduce chances of misunderstanding or disputes.
- Lower legal risks for the owner- The law favors the licensor in such agreements.
- Easily renewable or terminable- Can be extended or ended by mutual agreement.
- Best suited for high-demand cities- Works well in places like Mumbai and Pune where short-term rentals are common.
- Eliminates the risk of illegal possession – Prevents the occupant from claiming tenancy rights or refusing to vacate.
What’s Included in Our Draft?
- Details of the owner and licensee- Names, addresses, and ID info
- Description of the property- What part of the property is being given on license
- Purpose of use- Whether it's for residential or commercial use
- License period- Start and end date of the agreement
- License fee- Monthly amount to be paid and mode of payment
- Security deposit- Refundable deposit amount, if any
- Maintenance and utility charges- Who pays for what (electricity, water, etc.)
- Rules and restrictions- What the licensee can or cannot do in the property
- Termination clause- How the agreement can be ended early
- Signature and witnesses- Signatures of both parties and witnesses
How to Register Leave and License Agreement Online (Step by Step)
Here’s the simple process you need to follow to register your leave and license agreement online -
- Visit the online registration portal that’s provided by the concerned state registration and stamp department.
The process for registering the rental agreement varies from state to state.
But in Maharashtra, the registration process can be done online or offline.
The table below shows the list of websites you need to visit if your property is located in any of these states -
State | Website Link | Mode of Registration |
Maharashtra | Fully online: Draft, e-sign, biometrics via webcam/thumb scanner, Aadhar mandatory, 1-3 days | |
Delhi | Partial online for deeds; Physical SRO visit needed, Stamp through SHCIL e-stamp, 3-7 days | |
Karnataka | Partial online (e-stamp, pre-registration), SRO visit for execution, 2-5 days | |
Tamil Nadu | Digital draft + SRO visit, Aadhar for e-sign, 3-7 days | |
Telangana | Online upload, Aadhar (yes), 3-5 days | |
Uttar Pradesh | Online form, SRO visit required, 4-7 days | |
Gujarat | Mostly physical, optional online, 3-7 days | |
Kerala | Online route through Aadhar, SRO optional, 3-6 days | |
West Bengal | Physical submission primary, 5-10 days | |
Andhra Pradesh | Similar to Telangana, check local SRO, Hybrid process | |
Haryana | Partial online via revenue department, SRO visit |
- Select the district where your property is located.
- Enter the document to be registered (select Leave and license agreement), and then you’d be asked to generate and confirm the password.
- Provide details about the property, such as the taluka, property area, unit type, etc.
- Once you fill in the above information, a token number will be generated. Don’t forget to copy the token number, as you'll need it to log in again.
- Enter the licensor and licensee details, such as age, Aadhar, PAN, address, and contact information.
- If there are 2 owners of the property, you need to add details of both licensors.
- Enter details for witnesses and terms and conditions, including the owner's and tenant's basic terms and conditions, such as the start and end dates of the license, the refundable deposit, and the average monthly rent.
- Capture the photo and do the biometric verification of both parties (licensor, licensee, and witnesses)
- Once it’s submitted, check the status on the home page and enter the token number to view the document.
- In some states, stamp duty payment and registration are entirely online. However, in other states, applicants must visit the sub-registrar’s office after completing the online biometrics and KYC process.
Note: Once the document is registered, you cannot edit the details.
FAQ's Related to Leave & License Agreement
It is usually valid for up to 11 months or more, depending upon the requirement, but can be renewed if needed.
Yes, it can be renewed with the mutual consent of both parties.
Registration is required if it exceeds 12 months. In others, it’s optional for 11-month terms.
A lease gives tenancy rights, while a license only gives permission to use the property without legal possession.
Yes, it is suitable for both residential and commercial purposes.
Yes, the entire process including drafting, e-stamping, and registration can be done online in many states.
Notarization is optional, but registration is preferred for better legal validity.
Basic documents like ID proof, address proof, property documents, and passport-size photos of both parties.
Usually, the draft can be prepared within 24 to 48 hours after receiving details but with DigiLawyer, it can be drafted for you in just 15 minutes.
Yes, e-stamping is available in most states and can be arranged online.
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