Property law Coursework Example | Topics and Well Written Essays - 2000 words

Property law - Coursework Example It is essential that the terms of these contracts must provide for the lease term, annual rent, security deposit, taxes, construction and completion and obligations for repairs. A commercial agreement needs to clearly and unambiguously state the lease term. It must state when the lease begins, when it ends and what the duration of the lease is. The beginning of lease is usually from the same day that the tenant commences to occupy the property. The lease agreement must also define the exact area of land that the landlord is willing to rent. It must also clearly state whether the area to be rented is on the ground floor. If the area in question is on any other floor on a building, the agreement document must also mention the floor. If the landlord has promised to furnish the property in a particular manner before the commencement of the lease, it must also be clearly stated in the lease agreement. These renovations are known as â€Å"Tenant Improvements† and they are usually re quired in a commercial lease for office space. It is imperative that the landlord (the Lessor) must agree to â€Å"reasonable diligence to attempt to complete the Tenant Improvements†. The plan for Tenant Improvements must be certified by an architectural firm and the improvements must be in compliance with the plan. ... If the deficiencies have been properly rectified, the architect must intimate that to the Lessee and provide a certificate. Within 10 days of the certification, the Lessee must occupy the premises. The Lessor and Lessee then must â€Å"execute a memorandum in writing† that specifies the date of occupancy of premises by the Lessee. The annual rent and the amount of security deposit of the lease needs to be determined in advance and be put into writing. Lessee agrees to pay the Lessor a certain amount of monthly rent. It is usually agreed upon to be paid on 1st of each month. An additional charge of a certain amount must be provided for in the terms of agreement which is to be paid if the payment of rent is delayed for more than five days after the first day of any calendar month. The mode of payment of rent must also be provided for. More than one modes of payment can be agreed upon. A cheque that is denied by bank shall not be deemed to have constituted a valid and timely paym ent of rent. Where renting out of an office space is concerned, it must be agreed that the Lessee, its agents, servants, employees, customers, guests, and invitees shall have the exclusive right to park without charge in the parking lot of the premises throughout the lease term. However, the Lessee must also agree that he shall have a limited number of parking spaces and this limit must not be exceeded so that the parking spaces for other tenants of the building are not hindered. Lessor must also agree that he will not attempt to prevent the use of the allotted parking spaces by the Lessee. The Lessor agrees to grant the place in peaceful possession of the Lessee and gets it acknowledged by the Lessee that the place is in an acceptable condition. The Lessor