Document background
The Attornment And Non Disturbance Agreement is a crucial document in Indian real estate and financing transactions where mortgaged properties are leased to tenants. It becomes particularly relevant when a property owner has both mortgaged their property to a lender and leased it to a tenant, creating a complex three-way relationship that needs careful regulation. The agreement addresses potential conflicts that might arise if the lender forecloses on the property, ensuring the tenant's rights are protected while also securing the lender's interests. It includes specific provisions about the continuation of the lease, recognition of new ownership, and maintenance of existing lease terms. Under Indian law, this agreement may need to be registered under the Registration Act, 1908, if it creates or modifies property rights, and must comply with the Transfer of Property Act, 1882, and the Indian Contract Act, 1872.
