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Guarantee Lease Agreement

Guarantee Lease Agreement Template for India

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Key Requirements PROMPT example:

Guarantee Lease Agreement

"I need a Guarantee Lease Agreement for a commercial office space in Mumbai, where a parent company will act as guarantor for its subsidiary's 5-year lease starting March 2025, with quarterly rent reviews and specific provisions for IT infrastructure modifications."

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Document background
The Guarantee Lease Agreement serves as a crucial legal instrument in the Indian real estate sector, providing enhanced security for landlords while facilitating property leasing for tenants who may require additional financial backing. This document becomes particularly relevant when a landlord requires additional security beyond the standard lease deposit, or when dealing with corporate leases where parent company guarantees are needed. The agreement complies with Indian legal requirements, including the Transfer of Property Act, Indian Contract Act, and relevant state-specific regulations. It combines standard lease provisions with comprehensive guarantee clauses, making it suitable for both commercial and residential properties. The document typically includes detailed sections on the guarantor's obligations, enforcement mechanisms, and the extent of liability, while also incorporating standard lease terms regarding property usage, maintenance, and termination.
Suggested Sections

1. Parties: Identifies and defines the Landlord, Tenant, and Guarantor with their full legal names and addresses

2. Background: Explains the context of the agreement, including the property letting and the requirement for a guarantee

3. Definitions: Defines key terms used throughout the agreement including Property, Lease, Guarantee Period, Rent, etc.

4. Lease Terms: Specifies the fundamental terms of the lease including duration, rent amount, and payment terms

5. Guarantee Provisions: Details the scope and extent of the guarantee, including the guarantor's obligations and liabilities

6. Guarantor's Covenants: Specific promises made by the guarantor regarding the tenant's obligations

7. Landlord's Rights and Remedies: Outlines the landlord's rights in case of default by either tenant or guarantor

8. Tenant's Obligations: Lists all key responsibilities and obligations of the tenant

9. Property Usage and Maintenance: Specifies permitted use of property and maintenance responsibilities

10. Termination Provisions: Conditions and procedures for terminating the agreement

11. Governing Law: Specifies that Indian law governs the agreement and relevant jurisdiction

Optional Sections

1. Security Deposit Guarantee: Used when the guarantor is specifically guaranteeing the security deposit

2. Multiple Guarantors Provisions: Required when there is more than one guarantor, defining joint and several liability

3. Property Management: Included when a property management company is involved

4. Subletting Provisions: Required if subletting is permitted under specific conditions

5. Guarantee Limitation: Used when the guarantee is limited to specific obligations or amounts

6. Break Clause: Optional provision allowing early termination under specific circumstances

7. Force Majeure: Included to address unforeseen circumstances affecting contract performance

Suggested Schedules

1. Schedule 1 - Property Description: Detailed description of the property including boundaries and included fixtures/fittings

2. Schedule 2 - Rent and Payment Terms: Detailed breakdown of rent, payment dates, and methods of payment

3. Schedule 3 - Guarantor's Details: Complete information about guarantor including financial status and relationship to tenant

4. Schedule 4 - Property Inventory: Detailed list of all items included in the property

5. Schedule 5 - Special Conditions: Any specific conditions or requirements unique to this agreement

6. Appendix A - Property Photos: Photographic evidence of property condition at lease start

7. Appendix B - Guarantor's Financial Documentation: Required financial proof from guarantor

Authors

Alex Denne

Head of Growth (Open Source Law) @ ¶¶Òõ¶ÌÊÓƵ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

alex.den.21@genieai.co
Relevant legal definitions



































Clauses






























Relevant Industries

Real Estate

Commercial Property

Residential Property

Retail

Office Space

Industrial

Hospitality

Education

Healthcare

Manufacturing

Relevant Teams

Legal

Real Estate

Facilities Management

Risk Management

Compliance

Finance

Operations

Administration

Corporate Secretariat

Property Management

Relevant Roles

Real Estate Manager

Property Manager

Legal Counsel

Corporate Lawyer

Leasing Manager

Facilities Manager

Risk Manager

Contract Administrator

Company Secretary

Commercial Director

Chief Financial Officer

Real Estate Director

Compliance Officer

Property Administrator

Industries






Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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