Case Note & Summary
The plaintiff-respondent, owner of Shop No. 8, filed a suit for possession against the defendant-appellant, who was inducted as a licensee in 2007 under a leave and license agreement for 11 months. The license was renewed in 2008 and 2009 for similar periods. After the license expired on 17th August 2010, the plaintiff issued a notice on 3rd September 2010 demanding possession and outstanding license fees. The defendant refused, claiming he was a lessee under an oral lease for seven years. The trial court and first appellate court both found the defendant to be a licensee and decreed possession in favor of the plaintiff. In this second appeal, the High Court examined the evidence, including three leave and license agreements (Exhibits 40, 41, 42) which were not disputed by the defendant. The court noted that the agreements clearly indicated a license, not a lease, and the defendant failed to prove the alleged oral lease. The court held that no substantial question of law arose and dismissed the appeal, affirming the concurrent findings of the courts below.
Headnote
A) Property Law - License vs. Lease - Distinction - Leave and License Agreements - The court examined whether the defendant was a licensee or a lessee based on written agreements and oral evidence. The court held that the written leave and license agreements clearly showed an intention to grant only a license, not a lease, and the defendant's plea of an oral lease was not substantiated. (Paras 5-7)
Issue of Consideration
Whether the defendant was a licensee or a lessee in respect of the suit property, and whether the courts below were justified in upholding the plaintiff's case for possession.
Final Decision
Second Appeal dismissed. The judgment and decree of the first appellate court in Regular Civil Appeal No. 98 of 2014 are confirmed. No order as to costs.
Law Points
- Leave and license agreement creates no interest in property
- Licensee cannot claim tenancy rights
- Oral lease cannot override written agreements
- Burden of proof on party asserting oral lease
