Business Lease Agreement - Template, Sample Form Online

This Agreement is a legally binding document. Please read it carefully and ensure that it includes everything required by both parties and nothing that either party is not prepared to agree. Where a party to this Agreement is unsure of their obligations and responsibilities under this Agreement then it is advised they seek independent legal advice before signing.

BUSINESS LEASE

("the Lease")

for the Private Sector in England and Wales

DEFINITIONS AND INTERPRETATIONS

1. DATE OF LEASE:

________

2. TITLE NUMBER:

Property is unregistered.

3. OTHER RELEVANT TITLE NUMBERS:

There are no other title numbers which shall be affected by the Lease.

4. PARTIES TO THE LEASE:

A. Landlord:

________

("the Landlord")

The Landlord's address for service of proceedings and notices under the Lease is:

________

B. Tenant:

________

("The Tenant")

The Tenant's address for service of proceedings and notices under the Lease is:

________

5. THE PROPERTY

The property means the building and any land known as:

________

with the rights for the Tenant set out in schedule 1 THE RIGHTS GRANTED and with the rights for the Landlord set out in schedule 2 THE RIGHTS RETAINED.

6. INTEREST RATE:

The rate of any interest under this agreement is 4% (four percent) a year above the base lending rate of the Bank of England.

7. RENT:

The rate of Rent and the Schedule for Payment is £________ (________) a month.

8. DEPOSIT

The Deposit is the sum of £________ (________).

9. THE TERM

The Term of the Lease is ________ year from and including ________ together with any subsequent period when the Tenant remains in the Property.

10. TERMINATION

Termination shall mean the legal end to the Lease, howsoever caused.

TERMS OF THE LEASE:

1. LETTING

a. The Landlord lets the Property to the Tenant for the Term.

b. The Landlord grants the rights set out in schedule 1 THE RIGHTS GRANTED to the Tenant and excepts and reserves the rights set out in schedule 2 THE RIGHTS RETAINED.

c. Both the Landlord and the Tenant agree to comply with their obligations as set out in the Lease.

2. RENT AND INTEREST

a. The Tenant must pay the Rent to the Landlord during the Term under the Schedule for Payment.

b. The days (the Rent Days) for the payment of Rent shall be:

________

c. The first Rent Day is: ________.

d. The Rent must be paid by the Tenant without any deductions or set-offs (whether legal or equitable).

e. The method for the payment of rent to the Landlord is: ________.

f. Interest is payable for any sums due by the Tenant to the Landlord where they are unpaid after the relevant due date.

g. All sums due to be paid by the Tenant under this lease are expressed exclusive of VAT and the Tenant must in addition pay the full amount of any VAT or other similar tax on those sums for which the Landlord or other person entitled to the payments is from time to time accountable.

3. OUTGOINGS

a. The Tenant is solely responsible for the payment of all outgoings relating to the property including:

________

b. The Tenant indemnifies the Landlord against any loss arising from the Tenant's failure to pay rates payable for the above outgoings in respect of the Property.

4. STATE AND CONDITION

a. The Tenant must keep the Property in good repair and condition, properly maintained and decorated and reasonably clean and tidy and free from rubbish although this obligation does not extend to keeping the Property in any better state of repair and condition than it is at the date of this lease.

b. The Tenant must keep the service media that are contained in and only serve the Property free from obstruction and in working order.

c. The Tenant must take all necessary precautions against frost damage to the pipes, sewers, drains, mains, ducts, conduits, gutters, watercourses, wires, cables, laser optical fibres, data or impulse transmission, communication or reception systems, channels, flues and other conducting media.

d. The Tenant must take all necessary care and precautions to avoid water damage to any other part of the Property caused by the bursting or overflowing of any pipe or water apparatus in the Property.

e. The Tenant must not damage or injure the Property, make any alteration to the Property, unite the Property with any adjoining premises or make any alteration to the Property or to the services or service media in the Property.

f. The Tenant must not erect any pole or mast or display any sign on the Property or install any cable or wire outside it except with the Landlord's consent which is not to be unreasonably withheld or delayed.

5. RIGHTS OF ENTRY

The Tenant must allow the Landlord, (together with any necessary contractors and workmen) to enter the Property where:

I. the landlord has provided reasonable notice during normal business hours, or in the event of emergency at any time without notice, causing as little inconvenience to the Tenant as reasonably practicable; and

II. where it is necessary for the Landlord to gain such entry in order to comply with any legal requirement and/or its legal obligations as a Landlord.

6. DEALINGS

This lease is personal to the Tenant and the Tenant must not assign, sublet, charge or part with possession of the Property or any part of it and must not hold the Property on trust for another.

7. USE AND NUISANCE

a. The Tenant must only use the Property as the following type of property:

________

b. The Tenant must not use the Property for any auction sale, any dangerous, noxious, noisy or offensive trade, business, manufacture or occupation or any illegal or immoral act or purpose.

c.The Tenant must not use the Property as sleeping accommodation or for residential purposes.

d. The Tenant must comply with all the requirements of any legislation (and any other obligations imposed by law or by any bye-laws) applicable to the Property or the trade or business for the time being carried on there.

e. The Tenant must comply with the provisions and requirements of all planning legislation affecting the Property. If the Tenant breaches any planning controls he must bear all the consequences of doing so whether they arise during the Term or after the end of it.

f. The Tenant must not make any application for planning permission without the consent of the Landlord whose consent may not be unreasonably withheld or delayed.

g. The Tenant must not do anything on the Property that may be reasonably considered to be a nuisance or annoyance to the Landlord or the owners or occupiers of neighbouring property.

8. COSTS OF ENFORCEMENT

The Tenant must pay the Landlord's reasonable costs, fees, charges, disbursements and expenses properly incurred in relation to or incidental to the recovery or attempted recovery of arrears of rent or other sums due under this lease or any other steps taken in contemplation of or in direct connection with enforcement of the obligations on the part of the Tenant under this lease.

9. NOTICES AND INFORMATION

The Tenant must give notice to the Landlord as soon as reasonably practicable of:

I. any disrepair of or damage to the Property;

II. any notice or order he receives from a local or statutory authority in respect of the Property; and

III. any act by a tenant or occupant of any neighboring property or a third party that might adversely affect the Landlord's interest in the Property.

10. SECURITY AND KEYHOLDERS

The Tenant must keep the Property secure and must ensure that at all times the Landlord has written notice of the name, home address and home telephone number of at least one key holder of the Property.

11. YIELDING UP

At the end of the Term the Tenant must return the Property to the Landlord with vacant possession in the state and condition required by this lease and must remove all of the Tenant's fixtures, fittings, furniture, equipment and other belongings from the Property.

The Tenant must make good any damage caused to the Property by such removal to the reasonable satisfaction of the Landlord.

12. QUIET ENJOYMENT

The Landlord covenants that the Tenant may peaceably and quietly hold and enjoy the Property during the Term without any lawful interruption or disturbance from or by the Landlord or any person lawfully claiming through, under or in trust for the Landlord, provided the Tenant complies with the obligations on its part contained in this lease.

13. INSURANCE

a. It is the Landlord's obligation to insure the Property against damage or destruction by fire and other usual risks for the full cost of rebuilding and reinstating the Property unless the insurance is rendered void or made invalid by any deliberate act of the Tenant or by anyone under his control.

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d. The Tenant must not do anything or fail to comply with any requirement as a result of which the policy of insurance taken out by the Landlord in relation to the Property may become void or voidable or invalidated or by which the rate of premium on the policy may be increased.

e. The Landlord must provide the Tenant with a summary of the risks covered by the policy of insurance and of any requirements of the insurers of which the Tenant needs to be aware and the Landlord must notify the Tenant of any material change in those risks or requirements from time to time.

14. RECOVERY OF POSSESSION

The Lease shall be lawfully terminated and the Landlord may recover possession of the Property where any of the following apply:

a. the Rent is unpaid for fourteen days after becoming due as per the terms of the Lease, whether formally demanded or not; or

b. there is a breach by the Tenant of any obligation or other term of the Lease; or

c. where the Tenant:

I) is unable to or ceases to pay its debts (under the definition provided by section 123 of the Insolvency Act 1986); or

II) has obtained a moratorium under Part A1 of the Insolvency Act 1986; or

III) becomes the subject of a Company Voluntary Arrangement under the Insolvency Act 1986; or

IV) becomes the subject of a scheme arrangement under Part 26 of the Companies Act 2006; or

V) becomes the subject of a restructuring plan under Part 26A of the Companies Act 2006; or

VI) passes a resolution, or has an order made for, the appointment of a receiver; or

VII) passes a resolution, or an order made for, its winding up.

15. EXCLUSION OF THE LANDLORD AND TENANT ACT

The Landlord has served notice on the Tenant pursuant to the provisions of the Landlord and Tenant Act 1954 section 38A(3) and on the Tenant has made a declaration, either simple or statutory as required, pursuant to Schedule 2 of the Regulatory Reform (Business Tenancies) (England and Wales) Order 2003. The relevant notice and declaration are attached to this lease.

16. THE DEPOSIT

a. The Tenant must pay the full Deposit to the Landlord on or before the date of the Lease commencing.

b. The Landlord may retain from the Deposit any sums necessary to reimburse the Landlord for any losses suffered (and any interest owed) as a result of any Breach of the Lease by the Tenant.

c. Subject to any deductions in accordance with the above clause, the Landlord must return the Deposit to the Tenant within fourteen days of the end of the Term.

17. JURISDICTION

The Lease and all disputes in respect of it shall be governed by the jurisdiction of England and Wales.

18. THIRD PARTY RIGHTS

There shall be no rights in respect of the Lease under the Contracts (Rights of Third Parties) Act 1999.

SCHEDULE 1: THE RIGHTS GRANTED

No further rights are granted.

SCHEDULE 2: THE RIGHTS RETAINED

No rights are retained.

Landlord

THIS DOCUMENT HAS BEEN DULY EXECUTED AND DELIVERED AS A DEED BY

________ acting by the authorised signature of:

(1) Name of signatory:

Signature:

Title (Director/Secretary):

Date:

witnessed by:

Name:

Signature:

Date:

Address:

Tenant

THIS DOCUMENT HAS BEEN DULY EXECUTED AND DELIVERED AS A DEED BY

________ acting by the authorised signature of:

(1) Name of signatory:

Signature:

Title (Director/Secretary):

Date:

witnessed by:

Name:

Signature:

Date:

Address: