The Lifetime Lease Agreement (Leibrente) is a specialized legal instrument used in German real estate transactions where long-term housing security is desired, typically in retirement planning contexts. This document is essential when parties wish to establish a permanent living arrangement that combines elements of property lease with lifetime rights of residence. It's particularly relevant for elderly individuals seeking housing security or property owners looking to monetize their real estate while retaining ownership. The agreement must comply with German Civil Code requirements, including notarization and registration in the Land Registry (Grundbuch). It contains comprehensive provisions covering payment terms, maintenance responsibilities, succession restrictions, and specific clauses addressing the lifetime nature of the arrangement. The document is frequently used in retirement planning, estate management, and as an alternative to traditional property sales or rental arrangements.

1. Parties: Identification and details of the lessor and lessee, including full legal names, addresses, and birth dates (particularly important for lifetime agreements)

2. Background: Context of the agreement, including description of the property and the parties' intention to enter into a lifetime lease arrangement

3. Definitions: Definitions of key terms used throughout the agreement, including technical and legal terms

4. Property Description: Detailed description of the leased property, including address, land register details, and exact specifications of the premises

5. Duration and Nature of Lease: Specification of the lifetime nature of the lease and conditions regarding termination or transfer

6. Lease Payments and Terms: Structure and amount of lease payments, payment schedule, and any adjustment mechanisms

7. Rights and Obligations of the Lessor: Detailed outline of the lessor's responsibilities, including maintenance obligations and reserved rights

8. Rights and Obligations of the Lessee: Comprehensive description of the lessee's rights and responsibilities, including usage restrictions and maintenance duties

9. Utilities and Operating Costs: Allocation of responsibility for utilities, operating costs, and other ongoing expenses

10. Insurance and Liability: Required insurance coverage and allocation of liability between parties

11. Registration and Land Register: Provisions regarding the registration of the lifetime lease rights in the land register (Grundbuch)

12. Succession and Transfer Restrictions: Rules regarding the personal nature of the agreement and any transfer restrictions

13. Termination Provisions: Circumstances under which the agreement may be terminated, if any

14. Governing Law and Jurisdiction: Specification of German law as governing law and competent courts

15. Final Provisions: Severability clause, entire agreement clause, and formal requirements for modifications