Hire-Purchase Agreement In India

Hire-Purchase Agreement In India

It is the terms of the agreement that determine the real nature of the agreement. In addition, unless the law is prohibited, the court may go behind the document to determine the true nature of the documents. The possibilities with which the lease can be terminated 12. The tenant keeps the aforementioned machines and equipment, insured on behalf of the company, with a recognized insurance company and pays the premium as soon as it is due and payable regularly. The insurance policy will be given to the company and the tenant will provide the company with the premium certificate or Xerox copy of the company from time to time. If the tenant does not insure these machines and facilities or pays the premium at any time, the company has the right to insure the same insurance or pay the premium (without prejudice to its other rights under this agreement), as the case may be, and the costs incurred by the business are paid by the tenant upon request to the company. Lease agreement requires a stamp duty like any other ordinary agreement under the Indian Stamp Act to pay. However, registration of a lease-sale agreement is not necessary, as it generally does not involve real estate assets. 6. If the tenant does not pay a monthly rental fee on the due date, the tenant is required to pay interest of ……. to pay. From the date of delay to payment per year.

However, this applies without prejudice to the company`s right to terminate the contract due to a delay in payment of monthly payments, as provided below. A lease is roughly similar to the concept of an asset lease that gives the buyer a fair chance to purchase the item whenever he can, as long as the agreement is in effect. Similarly, the rental purchase provides an advantage to the buyer by granting him less credits, by diverting the cost of expensive items that he could not have afforded over a certain period of time. However, the buyer is not entitled to be the owner of the item, unless he has paid the entire item, which means that he is not bound to the extension of the credit.


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