Unstamped agreement

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Shivam Gharat (Querist)

01 June 2016 dear experts,

M/s.abc ltd entered into a lease agreement with Mr.xyz.
Agreement is duly executed by both the parties.
both the parties mutually decided to execute document without getting it stamped to avoid the stamp duty payment.

In the above case, can this agreement is enforceable in the court?
can any party seek legal remedy if any dispute arises through this unstamped agreement?
Can this agreement is called as Illegal agreement though the purpose and object of this agreement is legal?

kindly advice me on these issues??

Amol S Joglekar

Amol S Joglekar (Expert)

01 June 2016 you need to pay the stamp duty along with penalty, if any, NOW. And then it can be made enforceable

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Shivam Gharat

Shivam Gharat (Querist)

01 June 2016 Ok.

so if stamp duty is not paid, Can this agreement be called as an illeagal agreement?

Amol S Joglekar

Amol S Joglekar (Expert)

01 June 2016 No. Please dont stretch it too far. See try to realise that LEASE is a REGISTERABLE document under Indian Registration Act. On top of it, the agreement needs to be duly stamped. Absence of both viz registration and stamp can NOT make it ILLEGAL. It becomes VOIDABLE.

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Shivam Gharat

Shivam Gharat (Querist)

01 June 2016 thanks a lot for your kind attention and suggessions.

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