Commercial Lease Agreement
Before considering the commercial lease agreement, think about if you have ever signed a lease for an apartment or a for a car. If you have, you probably remember how tempted you were to skip reading this lengthy document. Even if you did read it, its technical legal verbage was probably difficult to understand.
A commercial lease, like any other contract, is a legally binding document, and as a tenant you are bound to these terms. And like on your apartment lease, you may be tempted to gloss over the lease and focus squarely on particular parts that may impact you, such as the lease term, rent amount, any deposit to be paid, possible pass throughs, etc. And unlike an apartment lease, commercial leases are usually anywhere between 3 and 10 years, with 5 years as the most common. It is more important than ever to review every aspect of the lease to ensure you are prepared for all possible expenses. Reviewing and understanding the terms and conditions of your commercial lease can mean the difference between a successful budget and paying unexpected expenses.
If you need assistance reviewing all the facets of your commercial lease, we can help explain the terms and conditions in language you can understand. Give us a call today!
Please review this sample commercial lease, or click here to read other sample legal documents.
As you review this sample lease, take note of the following; you may find them in your own commercial lease! In this example:
- The Landlord can stipulate particular uses allowed or disallowed on their leased property.
- The Tenant can be responsible for certain repairs and maintenance up to a certain agreed upon amount, after which the landlord is responsible.
- Allowed alterations to the property by the tenant become property of the landlord upon expiration of the lease.
- Tenants must sometimes have certain insurance policies in compliance with the landlord’s terms and must name the landlord as an additional insured.
- When due to the tenant’s use or neglect of the leased premises, any claim, loss, expense, or damage to persons or property cannot harm the landlord, who the tenant must defend.
- The landlord has reentry and tenant removal rights after an agreed upon time limit after which the tenant was notified of a breach of the contract and did not respond properly. The landlord is then able to terminate the contract and lease the property to another tenant.
- However, as long as the terms of the lease are upheld dutifully, the tenant will enjoy the property without invasion by the landlord (other than at reasonable times to inspect or show the property to future potential tenants).
- The discovery of one part of the lease agreement as unenforceable or invalid does not invalidate the rest of the agreement.
- Tenants and landlords often have to waive their right to a jury trial concerning matters contained in the lease agreement.
- Negligence regarding any of the terms in the agreement does not constitute an invalidation of those terms.
- The Guarantee portion contains situational guidelines. Read these!
If you have questions about commercial lease agreements, Business Legal Services can help! Contact us at (703) 486-0700 or firstname.lastname@example.org!