Default Cancellation Clause in Pune Online Rent/ Leave & License Agreements

ByVikram Jagtap

When you register an online Leave and License agreement in Pune, the e-filling IGR portal requires both parties to accept a standard, non-editable government template. Parties can insert details like name, property details, monthly compensation, deposit details, lock-in period, etc. but can not change the format of the clauses. While this template simplifies the e-filing process, it contains an inherent legal imbalance in the Cancellation Clause that many landlords (Licensors) and investors overlook until a dispute arises.

Understanding how Cancellation Clause functions—and how to legally bypass its restrictions using the portal’s hidden customization feature—is essential to protecting your property rights.

The Cancellation Clause Dilemma: Why the Default Draft Favors the Tenant

If you download the official government template, you will notice that the Cancellation Clause structures termination rights very differently for the property owner (Licensor) versus the Licensee (tenant):

  • The Licensee’s Right: The licensee/tenant can terminate the agreement at any time, for any reason, simply by giving a one-month written notice to the landlord.
  • The Licensor’s Restriction: The landlord cannot terminate the agreement at any time. Under the default clause, the landlord can only issue a one-month termination/cancelation notice if the tenant commits a specific default (such as non-payment of rent), breaches a core covenant, or if a any law prohibits leave and license arrangements entirely.

This means if you are a landlord and suddenly need your property back at any time, the standard template leaves you legally stuck unless the above mentioned situation arises.

The Miscellaneous Clause Workaround

The IGR Maharashtra e-registration system provides a Miscellaneous Section. This section allows parties to insert custom terms and conditions.

By drafting a precise, legally binding miscellaneous clause, you can explicitly supersede the default conditions of Cancellation Clause . Here is a battle-tested draft that fits safely within the system’s character limit:

Sample Custom Clause (To be added in the Miscellaneous Section):

“Notwithstanding anything contained in default Cancellation Clause of this Agreement, it is mutually agreed that the Licensor shall also have the unconditional right to terminate or cancel this Leave and License agreement at any time during the license period, by giving One month’s prior written notice to the Licensee. This clause explicitly supersedes the restrictive termination conditions specified for the Licensor under Cancellation Clause of the standard template.”

Legal Templates: 1-Month Termination Notices

If you need to invoke your termination rights, the notice must be formal, unambiguous, and served properly. Below are the standard legal formats for both parties.

1. Format of Termination Notice from Licensor (Landlord) to Licensee

Date: DD/MM/YYYY

To,

[Licensee’s Full Name]

[Current Address of the Rented Property]

Subject: 1-Month Notice for Termination of Leave and License Agreement

Dear [Licensee’s Name],

This is to inform you that I intend to cancel/terminate the Leave and License Agreement executed between us on [Execution Date], registered vide Registration Number [Registration Number], concerning the property located at [Complete Property Address].

Pursuant to Cancellation Clause mentioned under the Miscellaneous Clause of the said agreement, I hereby give you advanced 1 (One) month’s formal notice of termination of the license granted to you to occupy the scheduled premises.

You are hereby requested to clear all outstanding utility bills, pay the remaining operational dues, and peacefully vacate and hand over the vacant possession of the premises to me on or before [Expiry Date] and vacate the premises.

Please treat this as final and legally binding.

Sincerely,

[Licensor’s Signature]

[Licensor’s Full Name]

[Contact Number]

2. Format of Termination Notice from Licensee (Tenant) to Licensor

Date: DD/MM/YYYY

To,

[Licensor’s Full Name]

[Licensor’s Permanent/Communication Address]

Subject: 1-Month Notice of Intention to Vacate the Licensed Premises

Dear [Licensor’s Name],

This is to inform you that I intend to vacate the premises currently occupied by me as a Licensee, located at [Complete Property Address], under the Leave and License Agreement registered vide Registration Number [Registration Number].

In accordance with the rights granted to the Licensee under Cancelation Clause of our registered agreement, please accept this letter as my official 1 (One) month’s written notice to terminate the license.

I will be ready to hand over the keys and vacant possession of the property to you on [Expiry Date]. I request you to inspect the property on or before this date and arrange for the refund of my security deposit of ₹[Amount] after deducting any valid, mutually agreed operational charges.

Thank you for your cooperation during my tenancy.

Sincerely,

[Licensee’s Signature]

[Licensee’s Full Name]

[Contact Number]

Disclaimer: The content of this post is for educational and informational purposes only and does not constitute any formal legal advice.

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