Commercial Lease Assignment

When it comes to leasing assignments, the new tenant takes on the rights and responsibilities of the assigning tenant.

That means the original tenant is not liable anymore if the new tenant breaches the lease.

The odds usually aren’t stacked in the tenant’s favour when it comes to breaking a commercial lease.

However, if you used a tenant representation specialist before signing your contract, you should have received the right advice to protect yourself.

With an assignment, if the assignee breaches, the landlord has the right to enforce the terms of the lease against the assigning tenant or the assignee tenant. A sublease is a separate contract between the transferring tenant and the subtenant.

The sublease may transfer all or a part of the leased premises, for all or a part of the lease term, and under terms that are similar or materially different from the lease.

As with an assignment, the tenant remains liable to the landlord on the original commercial lease.

With a sublet, the landlord does not have a legal right to enforce the terms of the original lease or sublease against the subtenant in the event of breach.

It may also suit if a tenant needs to rent out the entire property for a period within their fixed-term lease.

If there is no prohibiting or limiting clause, a tenant does not need the landlord’s permission to do so.

SHOW COMMENTS

Comments Commercial Lease Assignment

The Latest from zavod-tt.ru ©