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The Lease Assumption Agreement is a crucial document used in the United Arab Emirates when an existing tenant wishes to transfer their lease obligations to a new tenant before the original lease term expires. This document is particularly relevant in the UAE's dynamic business environment where corporate relocations and business transfers are common. The agreement must comply with federal UAE laws and specific emirate-level regulations, particularly in Dubai where RERA registration is mandatory. A properly structured Lease Assumption Agreement protects all parties' interests by clearly defining the transfer of rights, obligations, and liabilities, while ensuring proper landlord consent and regulatory compliance. It includes essential details about the property, remaining lease term, financial obligations, and any specific conditions imposed by the landlord or local authorities.

1. Parties: Identifies all parties to the agreement: Current Tenant (Assignor), New Tenant (Assignee), and Landlord

2. Background: Recitals explaining the existing lease arrangement, reason for assumption, and basic transaction structure

3. Definitions: Defines key terms used throughout the agreement, including 'Existing Lease', 'Effective Date', 'Premises', and other relevant terms

4. Assignment and Assumption: Core provision whereby Assignor transfers and Assignee accepts all rights, obligations, and liabilities under the lease

5. Landlord's Consent: Documents the Landlord's formal consent to the assumption and any conditions attached

6. Effective Date and Term: Specifies when the assumption becomes effective and confirms the remaining lease term

7. Representations and Warranties: Statements by all parties regarding their authority, lease status, and other material facts

8. Security Deposit: Handling of existing security deposit and any additional deposit requirements

9. Rent and Other Payments: Confirmation of rent amounts, payment terms, and allocation of responsibilities

10. Release of Original Tenant: Terms under which the original tenant is released from future obligations

11. Registration and Formalities: Requirements for registering the assumption with relevant UAE authorities

12. Governing Law and Jurisdiction: Specifies UAE law as governing law and relevant courts' jurisdiction

13. Notices: Contact information and procedures for formal communications between parties

14. Execution: Signature blocks and execution requirements