Have your commercial lease agreement reviewed: A must for tenants and landlords
Commercial leases often contain complex and disadvantageous provisions that are not apparent at first glance. Legal laymen in particular have difficulty identifying unfavorable clauses. It is therefore advisable to have a commercial lease reviewed by a lawyer both before signing the contract and before moving out. This helps to strengthen your legal position and identify potentially invalid clauses in good time. A frequent point of contention, especially before moving out, is so-called cosmetic repairs. The question often arises as to whether tenants are obliged to renovate or whether corresponding clauses are invalid. This applies from the perspective of both the tenant and the landlord.
Have it checked in good time and avoid risks
Before renting a commercial unit, you should have the contract checked in detail. This is especially important if you intend to use the commercial premises for a longer period of time. Lawyers can help you review the contract for balanced clauses and identify possible room for negotiation. Once the lease agreement has been signed, subsequent changes are difficult to implement, as landlords rarely agree to changes that are to their disadvantage. It is therefore crucial to have the agreement reviewed in good time to avoid problems later on.
Have your rental agreement checked before terminating it
If you are planning to move out or have already given notice, you should also have your commercial lease agreement checked to ensure that it complies with the current legal situation. Many older agreements contain clauses that may be invalid under the new ruling of the Federal Court of Justice (BGH). For example, in some cases, tenants are no longer required to carry out cosmetic repairs, but only to return the premises in a clean and tidy condition. An early review can help you defend yourself against unjustified claims by your landlord.
Protect your business location with a good lease agreement
The importance of a well-drafted commercial lease agreement
Commercial tenants do not enjoy the same legal protection as residential tenants. Therefore, the terms of the commercial lease agreement play a crucial role in securing your business location in the long term. Unlike residential leases, there are no legal provisions regarding tenant protection or rent caps. This means that commercial leases should be carefully negotiated and regularly reviewed to protect your rights as a tenant and minimize financial risks.
What you should pay attention to in a commercial lease agreement
A commercial lease often includes provisions that are of great importance for the continued existence of your business. These include the determination of the lease term, options for extension, and agreements on notice periods. It is particularly important that the lease clearly specifies the purpose for which the premises are to be used and whether they meet the official requirements for your business operations. It is also essential to set out the rental conditions in writing. If this is not done in writing, the contract could be terminated at short notice despite a long term – a risk that must be avoided at all costs.
Forward-looking contract design secures the location
A well-thought-out lease agreement can give you long-term planning security. In particular, the regulation of ancillary costs, adjustment clauses such as graduated rents, or the agreement of an index-linked rent should be clearly defined in order to avoid uncertainties later on. Possible renovations or subletting should also be regulated in the contract. This not only ensures the continued existence of your company, but also protects you from unforeseeable costs or unexpected terminations.