Overview of Consent to Assignment of Lease and Amendment of Lease

What is this document?

The Consent to Assignment of Lease and Amendment of Lease is an agreement between a landlord, a tenant, and the person to whom the tenant wishes to assign the lease.

When would I use this document?

This document would be used when the tenant of a commercial property wishes to assign the lease to another person. For example, if a business operating in a leased property is sold, the new owner of the business will want to take an assignment of the lease. The new owner would then replace the previous owner and become the tenant of the leased property. This is not the same as subletting, where the original tenant is still the tenant under the lease.

Who signs this document?

The original tenant (now the assignor), the new tenant (called the assignee) and the landlord all sign the document. The landlord may also require any guarantor to sign this document.

More details about this document

The purpose of this document is permit the tenant to assign the commercial lease with the landlord’s consent in such a way that the assignee becomes the tenant under the lease. Because there is a new tenant the terms of the lease will be amended and included in this document.

Amendments may include changes to the rent, the term of the lease, and alterations or renovations of the leased property. The agreement will also include clauses in which the landlord confirms that the lease is in good standing, and that the assignee acknowledges that it has received and read a copy of the lease. The lease may or may not contain a release of the tenant (assignor) from all liabilities under the lease.

What are the core elements of this document?

The core elements include the Parties, Landlord’s Consent to Assign, Assignment of Lease, Covenants, Description of Leased Property, Amendments, Rent, Deposit, Term.The document could also contain clauses dealing with Indemnity and Release.

Related Documents

  • Sublease - an agreement between a tenant and a subtenant (and sometimes the landlord), where the subtenant will be liable to the tenant for obligations under the will. However, the tenant will still be liable to the landlord.
  • Offer to Lease - an offer to lease a property between landlord and potential tenant. This will outline the material points of the lease. This can be binding or not binding.
  • Commercial Lease - lease between a landlord and tenant for a commercial property.

Written by Rajah. Rajah Lehal is Founder and CEO of Clausehound.com. Rajah is a legal technologist and technology lawyer who is, together with the Clausehound team, capturing and sharing lawyer expertise, building deal negotiation libraries, teaching negotiation in classrooms, and automating negotiation with software.