I am taking 5 acres on lease for two years. The owner wants only a verbal deal. I want something in writing to be safe. How should a farming lease be made?
3 Answers
A written lease protects both sides and is much better than a verbal deal, especially if you want to claim crop loss, insurance or scheme benefits. A good farming lease should clearly state: names and addresses of owner and tenant, exact survey or khasra numbers and area, the lease period with start and end dates, the rent amount and how and when it is paid (fixed cash, fixed grain, or a crop share like batai), who pays for inputs, electricity and water, who bears crop loss, the right to renew, and how either side can end the agreement. Get it written on stamp paper of the value your state prescribes for lease deeds and have it signed by both parties with two witnesses. For longer leases many states require the agreement to be registered, and registration gives it much stronger legal value. A few cautions: in some states there are old tenancy laws that can give a long-term tenant special rights, so many owners are cautious, and some states like Maharashtra have model land leasing rules that protect both sides without the tenant gaining permanent rights. Confirm the stamp duty, whether registration is needed, and the tenancy law position for your state at the sub-registrar or tehsil office, and ideally get the deed drafted or checked by a local lawyer. This is general information, not legal advice.
Always put the survey numbers and exact area in writing. I once had a dispute because the owner claimed I had taken less land than I actually farmed.
Add a clause about who keeps the crop residue and who pays the electricity bill for the tubewell. These small things cause the biggest fights at the end of the lease.