How to Evict a Tenant Under a Leave and License Agreement?

In case of non-compliance or dispute, you can file a formal notice against the licensee and ask them to vacate the property within the given time frame.

Investment & Financial Planning

Why Is Licence Agreemnt Better Than Rent Agreement For NRIs

By Manish Prajapat |Last Updated: January 3, 2026

Why Is Licence Agreemnt Better Than Rent Agreement For NRIs

As an NRI who owns a property in India, renting it out can help you generate a steady stream of income. However, managing property and tenants from abroad is not easy, and that's when licenses or rental agreements come into play.

Being a property owner in India, it is crucial to understand the legalities of property leasing. In India, rent agreements are a standard method of renting out property, but leave-and-license agreements are an underexplored option that offers more benefits to NRI property owners than they may realize.

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Frequently Asked Questions

The difference is that under the licensed agreement, the landlord has the right to enter and use the property. In contrast, a rental agreement gives the tenant full possession of the property for the entire duration of the lease.

The main disadvantages of the lease and license agreement include the restricted occupancy rights, no long-term security or ownership interest, being prone to quick termination by the licensor, inability to sublet, and more.

NRIs can enter into a rental or license agreement in India either through a power of attorney or via online platforms for agreement creation and registration.

For a landlord residing abroad, using a registered agreement is the best option, as it offers greater credibility and facilitates smooth conflict resolution.

The maximum duration of a leave and license agreement is generally 11 months.

Why Is Licence Agreemnt Better Than Rent Agreement For NRIs

Frequently Asked Questions

What Is the Difference Between Licensing and Renting?

What Are the Disadvantages of a Leave and License Agreement?

How Can an NRI Make a Rental or a License Agreement in India?

Which Rental Agreement Is Best for Property Owners Living Abroad?

What Is the Maximum Duration of a Leave and License Agreement?

Why Is Licence Agreemnt Better Than Rent Agreement For NRIs

Frequently Asked Questions

What Is the Difference Between Licensing and Renting?

What Are the Disadvantages of a Leave and License Agreement?

How Can an NRI Make a Rental or a License Agreement in India?

Which Rental Agreement Is Best for Property Owners Living Abroad?

What Is the Maximum Duration of a Leave and License Agreement?