We will briefly discuss the differences between the two: – b) A licensee may under no circumstances rent the premises to third parties. On the other hand, a tenant may sublet the premises to a third party, unless the rental agreement expressly stipulates otherwise. `If a person grants another person or a number of other persons the right to do or continue to do something in or on the licensor`s immovable property, which would be unlawful without those rights, and that right does not amount to an easement or interest in the immovable property, the right is called a license. 5) Therefore, you can take out either a holiday and license agreement or a lease. You need to make sure that the project is properly reviewed by a good lawyer and that your interests are protected. 1. A rental agreement is a transfer of a share in a given asset, while the license is a simple authorization without any interest being transferred. 2. A rental agreement shall establish an interest in favour of the leassee in respect of the property, but a licence shall not justify such an interest. 3. A lease agreement is both transferable and hereditary, a sublease agreement can be drawn up by the tenant and, after the death of the tenant, the lease agreement can be inherited from his legal heir, while the license is neither transferable nor hereditary. 4. A licence terminates on the death of the licensor or the guarantee, since it is a personal contract, but a lease does not end either with the death of the licensor or with the death of the licensor or the scholarship holder.
5. A licence may be revoked at any time at the request of the licensor, but the lease may be concluded only under the conditions laid down in the lease agreement. 6. A lease shall not be affected by the transfer of the property by sale to a third party. It continues and the buyer must wait until the period for which the lease was created is over before being able to acquire the property, whereas in the case of a license, if the property is sold to a third party, it ends immediately. 7. The tenant has the right to protect the property himself. A licensee cannot defend his property in his own name, because he has no ownership rights in the property. 8. A tenant who owns the property is entitled to improvement or access to the property, while a licensee is not.
The amount to be paid for stamp duty is higher in the case of a rental agreement compared to a holiday and licence agreement. But for a period of more than three years, the stamp duty to be paid is the same for both. . . .