The Lease and License Agreement is a specialized legal instrument used in the Philippines when parties need to establish both property occupancy rights and specific licensed activities or rights in a single document. This agreement type is particularly relevant for commercial arrangements where the use of property is intrinsically linked to specific licensed activities, such as retail operations, branded outlets, or specialized facilities. The document must comply with Philippine property law, including the Civil Code of the Philippines and relevant local government regulations. It typically includes detailed provisions for both the lease (covering rent, maintenance, and property use) and license aspects (covering permitted activities, intellectual property usage, and operational requirements). This agreement type is commonly used in commercial centers, franchise operations, and specialized business facilities where both property rights and operational licenses need to be clearly defined and regulated.
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1. Parties: Identifies and provides full details of the Lessor/Licensor and Lessee/Licensee, including their legal capacities and addresses
2. Background: Sets out the context of the agreement, including brief description of the property and the purpose of the lease and license arrangement
3. Definitions: Defines key terms used throughout the agreement to ensure clarity and prevent ambiguity
4. Grant of Lease: Specifies the terms of the lease, including precise description of the property and the nature of the leasehold interest being granted
5. Grant of License: Details the specific rights being licensed, including any limitations or restrictions on use
6. Term and Renewal: Specifies the duration of the agreement, commencement date, and any renewal options
7. Rent and License Fees: Details the payment terms, including amounts, payment schedules, and review mechanisms for both lease and license components
8. Security Deposit: Specifies the amount, terms, and conditions for the security deposit and its return
9. Use of Property: Defines permitted and prohibited uses of the property and licensed rights
10. Maintenance and Repairs: Outlines responsibilities for property maintenance, repairs, and improvements
11. Utilities and Outgoings: Specifies responsibility for utility payments and other operating expenses
12. Insurance and Liability: Details insurance requirements and allocation of risks between parties
13. Assignment and Subletting: States conditions under which the agreement may be assigned or the property sublet
14. Default and Remedies: Specifies events of default and corresponding remedies available to either party
15. Termination: Details circumstances and procedures for termination of the agreement
16. Governing Law and Dispute Resolution: Specifies applicable law and methods for resolving disputes
1. Fit-out Works: Include when the property requires initial renovation or modification before occupation
2. Operating Hours: Include for commercial properties with specific operating time restrictions
3. Common Areas: Include when the property is part of a larger complex with shared facilities
4. Environmental Obligations: Include when specific environmental compliance requirements apply
5. Option to Purchase: Include when giving the lessee an option to buy the property
6. Intellectual Property Rights: Include when the license includes use of trademarks or other IP
7. Force Majeure: Include when parties want specific provisions for unforeseen circumstances
8. Marketing and Signage: Include for commercial properties requiring specific provisions about external advertising
9. Security and Access: Include when specific security arrangements or access restrictions apply
1. Property Description: Detailed description of the property including floor plans and boundaries
2. Rent and Payment Schedule: Detailed breakdown of rent, license fees, and payment schedules
3. Condition Report: Detailed report on the condition of the property at commencement
4. House Rules: Building or complex rules and regulations if applicable
5. Fit-out Specifications: Detailed specifications for any approved modifications or improvements
6. Licensed Rights: Detailed description of licensed rights, including any intellectual property
7. Insurance Requirements: Specific insurance requirements and minimum coverage levels
8. Service Level Agreement: Details of any services to be provided as part of the agreement
9. Utilities and Services: List of utilities and services and responsibility for each
Relevant legal definitions
Clauses
Relevant Industries
Real Estate
Retail
Commercial Property
Industrial
Hospitality
Food and Beverage
Technology
Healthcare
Education
Manufacturing
Entertainment
Professional Services
Logistics
Telecommunications
Relevant Teams
Legal
Real Estate
Facilities Management
Operations
Finance
Compliance
Risk Management
Commercial
Property Management
Business Development
Asset Management
Relevant Roles
Real Estate Manager
Property Manager
Facilities Manager
Legal Counsel
Commercial Director
Operations Manager
Business Development Manager
Franchise Manager
Asset Manager
Leasing Manager
Compliance Officer
Contract Administrator
Chief Financial Officer
Risk Manager
General Manager
Store Manager
Branch Manager
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