Permitting/Licensing Contingency (Commercial Lease) (Pro-Landlord) | Practical Law

Permitting/Licensing Contingency (Commercial Lease) (Pro-Landlord) | Practical Law

A Standard Clause for use in a commercial lease giving the tenant a right to terminate the lease if the tenant cannot obtain the government permits, licenses, and approvals necessary to operate its business at the premises. While contingency clauses generally favor tenants, this Standard Clause includes specific protections in favor of the landlord. It contains integrated notes with important explanations and drafting and negotiating tips for both parties. Though leases are primarily governed by state and local laws, this jurisdictionally neutral template is useful and relevant to landlords and tenants in every state.

Permitting/Licensing Contingency (Commercial Lease) (Pro-Landlord)

Practical Law Standard Clauses w-041-4520 (Approx. 9 pages)

Permitting/Licensing Contingency (Commercial Lease) (Pro-Landlord)

by Practical Law Real Estate
MaintainedUSA (National/Federal)
A Standard Clause for use in a commercial lease giving the tenant a right to terminate the lease if the tenant cannot obtain the government permits, licenses, and approvals necessary to operate its business at the premises. While contingency clauses generally favor tenants, this Standard Clause includes specific protections in favor of the landlord. It contains integrated notes with important explanations and drafting and negotiating tips for both parties. Though leases are primarily governed by state and local laws, this jurisdictionally neutral template is useful and relevant to landlords and tenants in every state.