What is Zuripeshgi Lease
Zunpeshgi Lease bears a close resemblance to a usufructuary mortgage. A Zuripeshgi lease means a lease for a lump sum of money paid in advance.
What is Usufructuary Mortgage -
Transfer of Property Act Defines a Usufructuary Mortgage, Where the mortgagor delivers possession [or expressly or by implication binds himself to deliver possession] of the mortgaged property to the mortgagee, and authorizes him to retain such possession until payment of the mortgage money and to receive the rents and profits accruing from the property [or any part of such rents and profits and to appropriate the same] in lieu of interest, or in payment of the mortgage-money, or partly in lieu of interest [or] partly in payment of the mortgage-money, the transaction is called a usufructuary mortgage and the mortgagee a usufructuary mortgagee.
Read in Detail: Usufructuary Mortgage: What is Usufructuary Mortgage and Characteristics of Usufructuary Mortgage?
Distinction Between Zuripeshgi Lease and Usufructuary Mortgage.
The points distinction between the Zuripeshgi Lease and Usufructuary Mortgage are as follows -
(1) In a usufructuary mortgage the relationship of debtor and creditor subsists whereas in Zuripeshgi lease this relationship does not exist
(2) In a usufructuary mortgage, the mortgage is entitled to retain possession of the mortgaged property until the mortgage money is satisfied While in a Zuripesshgi lease, the lessee remains in possession for a fixed time
(3) The delivery of possession is essential in both cases but in the usufructuary mortgage, the mortgagee sometimes executes a lease in favor of the mortgagor who retains possession and agrees to pay rents generally equivalent to the interest of the amount advanced This is not so in Zuripeshgi lease.