The Utility Addendum To Lease is a crucial supplementary document used in Philippine real estate transactions to clarify and formalize arrangements regarding utility services in leased properties. This document becomes necessary when there's a need to establish specific terms for utility management that may not be fully covered in the main lease agreement. It addresses various aspects including responsibility for utility connections, payment structures, maintenance obligations, and compliance with Philippine utility regulations. The addendum is particularly important given the complex utility infrastructure in the Philippines and the need to clearly delineate responsibilities between parties. It helps prevent disputes by providing clear guidelines on utility-related matters while ensuring compliance with local regulations, including the Civil Code of the Philippines, consumer protection laws, and specific utility service regulations.
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1. Parties: Identification of the landlord and tenant, with reference to the main lease agreement
2. Background: Reference to the main lease agreement and purpose of this utility addendum
3. Definitions: Key terms used in the addendum including types of utilities, billing periods, and related terminology
4. Utilities Covered: Specification of which utilities are covered by the addendum (electricity, water, gas, etc.)
5. Responsibility for Utilities: Clear designation of which party is responsible for each utility's connection, payment, and maintenance
6. Billing and Payment Procedures: Details of how utility bills will be calculated, presented, and paid
7. Due Dates and Late Payments: Timeframes for utility payments and consequences of late payment
8. Utility Deposits: Requirements for any utility-specific deposits and conditions for their return
9. Meter Reading and Documentation: Procedures for reading meters and maintaining records of utility usage
10. Maintenance and Repairs: Responsibilities for maintaining utility infrastructure and handling repairs
11. Default and Remedies: Consequences of failing to comply with utility obligations and available remedies
12. Term and Termination: Duration of the utility arrangements and procedures for termination
13. Governing Law: Confirmation that the addendum is governed by Philippine law
1. Utility Allocation Method: For properties with shared meters, details the method of calculating individual tenant shares
2. Sub-metering Provisions: Required when individual sub-meters are installed for the premises
3. Green Energy Provisions: For properties with solar panels or other alternative energy sources
4. Common Area Utilities: Required for multi-tenant buildings with shared spaces
5. Utility Company Changes: Procedures for handling changes in utility providers or service arrangements
6. Internet and Telecommunications: When these services are included in the utility arrangements
7. Generator Usage: For properties with backup power systems
8. Water Tank/Storage Provisions: For properties with water storage systems or special water arrangements
1. Schedule A - Current Utility Providers: List of current utility companies and their contact information
2. Schedule B - Utility Rates and Charges: Current utility rates, administrative fees, and other related charges
3. Schedule C - Meter Information: Details of all relevant utility meters including identification numbers and locations
4. Schedule D - Payment Processing Details: Information about payment methods and processing procedures
5. Appendix 1 - Utility Reading Form: Standard form for recording utility meter readings
6. Appendix 2 - Utility Transfer Procedures: Steps for transferring utilities at the beginning and end of tenancy
Relevant legal definitions
Clauses
Relevant Industries
Commercial Real Estate
Residential Real Estate
Retail
Industrial
Office Space
Mixed-Use Development
Shopping Centers
Warehousing
Manufacturing
Hospitality
Healthcare Facilities
Educational Institutions
Relevant Teams
Legal
Real Estate
Facilities Management
Operations
Property Management
Asset Management
Compliance
Contract Administration
Building Services
Tenant Relations
Relevant Roles
Property Manager
Facility Manager
Real Estate Attorney
Leasing Manager
Building Administrator
Asset Manager
Legal Counsel
Operations Manager
Property Administrator
Compliance Officer
Real Estate Manager
Tenant Relations Manager
Building Services Manager
Contract Administrator
Utilities Coordinator
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