Question
In the context of a lease, what happens if a lessee or
under-lessee remains in possession of the property after the determination of the lease, and the lessor or his legal representative accepts rent or otherwise assents to the lessee's continuing possession?Solution
Transfer of Property Act Section 116. Effect of holding over—If a lessee or under-lessee of property remains in possession thereof after the determination of the lease granted to the lessee, and the lessor or his legal representative accepts rent from the lessee or under-lessee, or otherwise assents to his continuing in possession, the lease is, in the absence of an agreement to the contrary, renewed from year to year, or from month to month, according to the purpose for which the property is leased.
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