Subletting and Assignments Print E-mail

SublettingIf you’re baffled by the technicalities of subleases and assignments, you are not alone. I often hear from landlords that they find the language of these documents confusing.

By definition, both a sublease and an assignment are simply a legal transfer of the tenant’s right to occupy the rented premises to someone else.

A sublease can cover all or part of the rental property, such as the second story of a town home. The tenant remains obligated under the lease agreement for rent if the sublessee fails to pay. Under a sublease, the tenant has the right to reoccupy the premises, taking it back from the person to whom it was subleased.

An assignment, like a sublease, transfers tenancy rights to another occupant. The distinction between the two is unlike a sublease, an assignment does not allow the original tenant to retake the premises. Under this arrangement, the new tenant gains sole responsibility for the terms of the original lease, releasing the original tenant from all obligations.

Subleases and assignments are commonly prohibited in lease agreements. Standard lease forms usually allow subletting only when the landlord agrees in writing. However, a tenant does have a right to sublease or assign a lease if there is nothing in the lease agreement or a law that prohibits it. Generally, laws require the prior consent of the landlord if the tenant wants to assign or sublet a lease.




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