Lease Assignment Agreement FAQ - United States

Lease Assignment Agreement FAQ - United StatesLease Assignment Agreement FAQ - United StatesDefinitionsWho qualifies as an agent?An agent is defined as a person that is licenced by the state in which the property is located to assist real estate transactions such as property sales, leases, and assignments. An agent is typically either a real estate broker/ sales agent, or an attorney.Who is the Assignor?The Assignor is the Tenant from the original lease, who is now transferring his/her entire interest in the lease to someone else.Who is the Assignee?The Assignee is the person who receives the lease interest from the original Tenant (the Assignor), and who becomes the new Tenant.What does the term consideration mean?Consideration refers to what the Assignor received from the Assignee in exchange for transferring the Assignors lease interest to the Assignee. Typically, the consideration will be a specified amount of money.What are encumbrances?Encumbrances are interests held by other p eople that affect the title and potentially the use and possession of the property by the Assignor and Assignee.If the property is a residential unit located above a commercial property, what type of lease is it?This situation would be classified as a residential lease, even though the property is contained within a commercial building.Lease Assignment InformationWhat is the governing law of my Lease Assignment?The governing law will be the jurisdiction in which the leased premises is located, regardless of which jurisdictions the Assignor, Assignee and Landlord reside.Do I need to provide the Assignee with a copy of the Master Lease?Yes, the Assignee is entitled to a copy of the Master Lease. The Assignor can include a copy of the Master Lease with the Lease Assignment, or can deliver a copy directly to the Assignee.What does Release of Assignment mean?This phrase addresses the issue of whether the Assignor is liable for damages if the Assignee breaches the terms of the Master Leas e. If the Assignor is not liable for the conduct of the Assignee, then the Landlord must go after the Assignee if the Assignee causes damages to the property. However, if the Assignor is liable for the Assignees conduct, then the Landlord can seek compensation from both the Assignor and the Assignee for property damage caused by the Assignee.Do I need to provide the Assignee with a Lead Paint disclosure?The Lead Paint Disclosure is only required in the Lease Assignment if the Master Lease did not contain a Lead Paint disclosure.Do I need the consent of the Landlord to assign my lease to another person?Unless the Master Lease explicitly permits the Assignor to assign the lease, without the Landlords consent, the Assignor must obtain the Landlords written consent to assign the lease.Do I need to create the Landlords Consent to Assign as part of the Lease Assignment?The Landlords Consent to Assign should only be included in the Lease Assignment if the Landlord has not previously provid ed a written consent to that assignment. What is the maximum term for which I can make the Lease Assignment?There is no statutory limit, but the assignment cannot exceed the remaining duration of the Master Leases term.As the Assignee, can I assign the lease to someone else?Usually the Assignee cannot further assign the lease without the written consent of the Landlord.Who should sign the Lease Assignment Agreement?Both the Assignor and Assignee must sign the agreement, and it is strongly recommended that at least 2 witnesses also sign it.I do not know when the Lease Assignment will be signed. Can I fill in the date later?Yes, by selecting Unsure as the date the agreement will be signed, a blank line will be inserted into the contract so that you can add the correct date after printing the document.