A lessee rents a property from a landlord, while a sublease is an agreement between a lessee and a third party. Subleasing is not always allowed and can be complicated legally, especially if there are damages or non-payment issues. Commercial properties and rented items can also be sublet.
A person who rents a property from a landlord or management company is formally known as a lessee. The agreement between these two parties is commonly known as a lease agreement. A sublease is a similar agreement that a lessee enters into with a third party. Such agreements can be made for various types of properties. In many cases, however, such agreements are not permitted.
Jennifer can rent a condo from Tidewater Real Estate. The terms of her contract may be binding for one year. Before the contract period expires, Jennifer may have to move to another city to care for an aging parent. She may decide that since she can’t get out of her contract with Tidewater Real Estate she will rent her vacant apartment to Rodney. This agreement is known as a sublet, and the agreement between Jennifer and Rodney is a sublease.
In many cases, a lease agreement is formally prepared in a similar way to a lease agreement. It will describe the behaviors required and the limits of each party. For example, the lease may require Rodney to pay bank fees for returned checks and may prohibit Jennifer from entering the condo during the lease term. A properly written sublease should outline information such as dates during which the agreement is effective, the amount of rents and deposits, and the burden of liability in the event of damages or necessary repairs.
Subletting is not limited to residential property. Commercial properties can be sublet. This can happen, for example, if a business has a lease on commercial space but decides to close or relocate. Rented items such as furniture and cars can also be sublet. In many cases, when the property is leased to one party, the terms of the agreement expressly prohibit subletting.
There are a number of reasons why sub-leases are commonly prohibited. To begin with, when a landlord rents something to an individual, he often qualifies it in some way. Third parties who then have access to that property may not qualify under the owner’s criteria.
The legal issues that can arise can also become very complicated when numerous parties are involved. This includes situations such as property damage or injury that occurs on or as a result of the property. In case of non-payment, the recovery of the property can be more difficult. This is especially true in the case of a rental vehicle, which the third party may have removed from its vicinity.
Protect your devices with Threat Protection by NordVPN
