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Police can check if a license plate is valid or active or car is stolen, delinquent on traffic tickets etc

this territory is moderated

All of that is immaterial. There is no law being broken if you have a car in your driveway and claim to have lost your license, or claim its your cousins car, etc.

None of that even has any relation to holding a rental agreement....

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It has nothing to do with rental agreement

But running plates can yield useful information about the credibility of tenant or squatter

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Why would that tell them anything about whether the person is a tenant or not?

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It would not verify tenancy

It would only check the status of a vehicle.

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