[ON LETTER HEAD]

Lahore,
21.11.2015
A. Head Legal
ABC

Subject: LEGAL OPINION – CONSTRUCTION OF SHOPS AT HARAPPA GODOWN (LEASEHOLD)

Dear Sir,

1. Please refer to your letter vide No. Legal/592-93, dated 15.10.2015, regarding the
captioned subject.

2. Your good office has informed us that the ABC (the “Bank”) received an application from
Mr. Zia ur Rehman who is the tenant of shop No. 21 and he requested to extend his
shop towards back using the Bank’s land (godowns) on following terms and conditions:

a. He is agreed to extend his shop 20 ft to backwards with 10 ft front and total area of
shop approximately 200 sq feet.
b. He will construct shop from his own pocket without any claim and right.
c. Construction cost will not be paid back to him.
d. He is agreed to pay rent Rs. 4000/- per month.
e. These shops may be rented out to him for six years.
f. No advance rent will be paid by the tenant.
g. After three years 25% rent may be enhanced.
h. Remaining all terms and conditions will also be applicable as per policy of the Bank.
3. You have solicited our legal opinion regarding any legal implications/hindrance in
renting out the Property of the Bank to Mr. Zia ur Rehman.
Legal Opinion:

4. It is opined that there are no legal bars in renting out the Bank’s property to Mr. Zia ur
Rehman, however, the Bank before entering into the Tenancy Agreement with Mr. Zia
ur Rehman, should ensure the following precautions:
i. Financial capabilities, track record and reputation of Mr. Zia ur Rehman.
ii. A clearance certificate from the regional police station.
iii. Statement of Accounts of Mr. Zia ur Rehman’s business to ensure that whether
he is earning enough to pay the rental charges regularly.

Moreover, the Bank should incorporate all the above terms which have been agreed
between Mr. Zia ur Rehman and the Bank, in the Tenancy Agreement positively.

Hope the above is of some assistance to you.

With Best Regards,