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Assume a valid agricultural lease to which section 106 of the Transfer of Property Act, 1882 applies by…

Section 106(1) supplies the year-to-year default for agricultural leases where the provision applies and there is no contrary contract, local law or usage. Section 117…

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Assume a valid agricultural lease to which section 106 of the Transfer of Property Act, 1882 applies by notification under section 117. In the absence of any contrary contract, local law or usage, how is the lease deemed to run?

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Answer and explanation

Correct answer B

Section 106(1) supplies the year-to-year default for agricultural leases where the provision applies and there is no contrary contract, local law or usage.

Section 117 generally excludes agricultural leases from Chapter V unless the State Government applies the relevant provision by notification.

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Option A

The month-to-month default applies to the other-purpose category under section 106(1).

Option B

When section 106 applies, an agricultural lease has a year-to-year default.

Option C

A yearly periodic lease is different from a lease that expires after one fixed year.

Option D

Section 106 does not provide a quarterly default.

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