Any agreement for leave and license has to be in writing and it is mandatory to register the agreement. The responsibility of getting such an agreement registered shall be on the licensor. Any licensor who contravenes these provisions is liable to be punished with imprisonment of up to three months or with a fine of up to Rs. five thousand or both.
The section relating to this provision in The Maharashtra Rent Control Act _ 1999 reads as follows: Sec.55
(1) Notwithstanding anything contained in this Act or any other law for the time being in force, any agreement for leave and license or letting of any premises entered into between the landlord and the tenant or the licensee, as the case may be after the commencement this Act shall be in writing and shall be registered under the Registration Act 1908.
Also see: Government-appointed Competent Authority for conflict resolution in Leave and License Sec., 55
(2) The responsibility of getting such agreement registered shall be on the landlord and in the absence of the written registered agreement the contention of the tenant about the terms and conditions subject to which premises have been given to him by the landlord on leave and license or have been let to him, shall prevail, unless proved otherwise. Sec.55(3)Any landlord who contravenes the provisions of this section shall, on conviction be punished with imprisonment which may extend to three months or with a fine not exceeding Rs.5000/- or with both. Considering these provisions it is advisable to register a leave and license agreement.
The summary of the provisions
(1) Registration of leave and license agreement is mandatory
(2) The unregistered document has no legal value, and as such, in case of a dispute going to the court of law, it will not be taken as evidence.
(3) Notarization of the documents which is mandatory to be registered has also no legal value and therefore they are not admissible in evidence.
(4) the licensor may have to face a criminal case if he does not register the leave license