The Lease Assumption Agreement is a crucial document used in Singapore when an existing tenant needs to transfer their lease obligations to another party before the original lease expires. This agreement, governed by Singapore property and contract law, establishes the terms under which the new tenant assumes all rights and responsibilities under the existing lease. It requires the landlord's explicit consent and typically includes provisions for security deposit transfers, outstanding payments, and liability allocation. The document must comply with Singapore's strict property regulations, including those under the Civil Law Act and Conveyancing and Law of Property Act.
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Key Requirements PROMPT example:
Lease Assumption Agreement
"Need a Lease Assumption Agreement for our retail space at Orchard Gateway, where our current tenant ABC Retail Pte Ltd wants to transfer their lease to XYZ Fashion Pte Ltd effective March 1, 2025, with all existing terms to remain unchanged."
1. Parties: Identifies original tenant, new tenant, and landlord
2. Background: Details of original lease and reason for assumption
3. Definitions: Key terms used throughout the agreement
4. Assumption of Lease: Core provisions regarding transfer of rights and obligations
5. Effective Date: When the assumption takes effect
6. Consent of Landlord: Landlord's formal approval of the assumption
7. Liabilities and Obligations: Distribution of responsibilities between parties
1. Security Deposit Transfer: Terms for transferring existing security deposit between original tenant and new tenant
2. Outstanding Payments: Handling of any arrears or prepaid rent between parties
3. Renovation/Alterations: Treatment of existing improvements and modifications to the premises
4. Assignment Restrictions: Limitations on further assignment of the lease
1. Schedule 1 - Original Lease Agreement: Copy of the lease being assumed
2. Schedule 2 - Property Details: Description and address of leased premises
3. Schedule 3 - Condition Report: Current state of premises at assumption
4. Schedule 4 - Outstanding Payments Schedule: List of any pending payments or credits
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