Before signing a Leave & Licence agreement for a shop one should check the related documents –

a) As to whether the premises have been allowed for commercial use because change of user is not allowed by the law, unless it is permitted by the authority concerned.

b) As to whether the title of the premises is clear.

c) As to whether the person who is going to sign the agreement and one who is the owner (the title holder or the licensor) are one and the same.

d) If they are different, one should see whether the signing person has got power of attorney to sign the agreement.

Also see: Online registration of leave and license agreement

e) If attorney is going to sign the one has to see whether he has got right to sign the agreement only or he will be acting as the agent for the owner/licensor and as such has been authorised to accept/collect the licence fee also.

–Advocate Avinash Chafekar

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