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What distinguishes a lease under Section 105 of the Transfer of Property Act, 1882 from a bare licence under Section 52 of the Indian Easements Act, 1882?

Question and options

What distinguishes a lease under Section 105 of the Transfer of Property Act, 1882 from a bare licence under Section 52 of the Indian Easements Act, 1882?

  1. A lease transfers an interest in the property; a bare licence does not.

  2. Both a lease and a bare licence necessarily create an interest in the property.

  3. A bare licence transfers ownership, while a lease transfers only possession.

  4. A lease is revocable at will, while a bare licence is irrevocable.

Answer and explanation

Correct answer: A - A lease transfers an interest in the property; a bare licence does not.

Under section 105 of the Transfer of Property Act, 1882 a lease is a transfer of a right to enjoy immovable property, so the lessee takes an interest in it. Under section 52 of the Indian Easements Act, 1882 a licence is only a right to do something on the land that would otherwise be unlawful, and it “does not amount to an easement or an interest in the property”. A licence transfers neither ownership nor an interest, and under section 60 it is generally revocable unless it is coupled with a transfer of property or the licensee has executed permanent work on it, so it is not always irrevocable.

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