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The License Agreement Before Settlement is a crucial document in New Zealand property transactions where circumstances necessitate early occupation of a property before the settlement date. This arrangement might be required when purchasers need to move in before settlement due to lease expiry, settlement delays, or other practical considerations. The agreement provides a legal framework under New Zealand law for managing this interim period, protecting both parties' interests while maintaining the distinction between a license and a lease. It typically includes detailed provisions for payment of license fees, utilities, maintenance obligations, insurance requirements, and access rights. The document ensures compliance with New Zealand property law while facilitating practical solutions for property transactions where traditional settlement timing doesn't align with occupancy needs.
