Test For Determination Of Lease For Manufacturing Purpose

My uncle had taken a property on rent where he is carrying on certain manufacturing of goods. The landlord has served a notice for ejectment on the basis that the property was let out for residential and not manufacturing purpose. What is required to be shown by us to prove that the tenancy was for manufacturing purpose ?
Posted 1 year ago  | 

1 Answer(s)

Harshit Bhurani

The tests for determining if a lease is for manufacturing purpose are

(1) that it must be proved that a certain commodity was produced,

(2) that the process of production must involve either labour or machinery,

(3) that the end product which comes into existence after the manufacturing process is complete, should have a different name and should be put to a different use. In other words the commodity so transformed as to lose its original character.

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