What is the difference between a license and a lease of property?

Answer 1

A license is a contractual right to do something on a property, whereas a lease is a property interest that includes possession of the property, often containing the right to sub-license specified uses of the property.

For example, you could lease a warehouse from someone and have a license to use it as a public storage facility, provided you paid a percentage of the generated income to the landlord.

Answer 2

A lease is a temporary property right (possession for a term) and a license is a right to do something otherwise prohibited. A lease or license for more than one year must usually be in writing to be enforceable. Oral licenses are very common ("you can ride your bike in my driveway") and can often be revoked at will ("stay off my property").

AnswerThough a license is similar to a lease in the sense that it allows a right to enjoy the immovable property of the grantor yet it does not create any interest in the property.

In order to determine whether a transaction is a lease or a license, the substance of the document should be preferred to the form and importance should also be given to the intention of the parties. Intention of parties is very important to determine whether a particular transaction is lease or licence.

It is a lease only if it creates an interest in the property. If it merely permits another to make use of the property, it is a license

Answer 3

A mortgage is a loan used to purchase real property.

A lease is an agreement signed by an owner and a tenant that allows the tenant to use real property for a fixed period and a fixed amount of monthly rent: residential and commercial.

Answer 4

A lease agreement is the contractual intermediary necessary for establishing a lease. Whereas, a lease is the established contract as set in motion, however hypothetical or actual.

Answer 5

A lease allows you to inhabit a commercial, residential or industrial property. A permit allows you to do something legally.