Lease Guarantees - The Essentials
When a lease contains a guarantee, perhaps from a parent company or a director, it may give rise to a false sense of confidence with the landlord believing that payment of the rent and performance of the tenant's other obligations is 'guaranteed'.
The reality can be quite different and this webinar will consider the essentials of a reliable lease guarantee - and the potential pitfalls.
What You Will Learn
This webinar will cover the following:
- Assessing the financial strength of a guarantor
- Avoiding the risk of a guarantee being set aside for undue influence
- The content of a well-drafted guarantee clause
- Ensuring that any new lease taken by a guarantor is contracted-out
- Avoiding inadvertent release of guarantors including hidden traps on rent review and alterations
- Retention of guarantee upon lease assignment
- Lease guarantees and tenant insolvency