License To Sublet for Malaysia

License To Sublet Template for Malaysia

A License to Sublet is a legal document used in Malaysia that grants permission for an existing tenant to sublet all or part of their rented property to another party (subtenant). This document is governed by Malaysian law, particularly the National Land Code 1965 and the Contracts Act 1950, and establishes the terms and conditions under which the subletting arrangement will operate. It details the rights and obligations of both the original tenant and the subtenant, including rental payments, duration, permitted use of the property, and compliance requirements with the master lease.

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What is a License To Sublet?

The License to Sublet is a crucial document in Malaysian property law that facilitates secondary letting arrangements. It is typically used when an existing tenant wishes to transfer their leasehold rights partially or wholly to another party while maintaining their obligations under the original lease. This document ensures compliance with Malaysian legal requirements, including the National Land Code 1965 and relevant tenancy laws. It's particularly important in commercial and residential contexts where flexible letting arrangements are needed. The license should clearly outline the relationship between all parties, specify the terms of the subletting arrangement, and ensure that the subletting doesn't violate any terms of the master lease. This document is essential for protecting the interests of all parties involved and maintaining legal clarity in subletting arrangements.

What sections should be included in a License To Sublet?

1. Parties: Identification of the original tenant (licensee) and the subtenant (sublicensee), including full legal names and addresses

2. Background: Context of the agreement, including reference to the master lease and the tenant's right to sublet

3. Definitions: Definitions of key terms used throughout the agreement

4. Grant of License: Explicit permission to sublet and the scope of the subletting arrangement

5. Term and Renewal: Duration of the subletting arrangement and any renewal provisions

6. Rent and Payment Terms: Amount of rent, payment schedule, and method of payment

7. Security Deposit: Amount, terms, and conditions for the security deposit

8. Use of Premises: Permitted use of the property and any restrictions

9. Maintenance and Repairs: Responsibilities for maintaining and repairing the property

10. Compliance with Master Lease: Obligation to comply with the terms of the original lease

11. Termination: Circumstances and procedures for ending the agreement

12. Governing Law: Specification that Malaysian law governs the agreement

What sections are optional to include in a License To Sublet?

1. Utilities and Services: Details of responsibility for utilities and services, if not included in rent

2. Insurance Requirements: Specific insurance obligations, if required

3. Alterations and Improvements: Permission and conditions for making changes to the property

4. Sublicensee's Additional Obligations: Any special conditions or requirements specific to the sublicensee

5. Access Rights: Conditions under which the licensee or landlord may access the property

6. Assignment Prohibition: Prohibition on further subletting or assignment

7. Quiet Enjoyment: Guarantee of peaceful possession of the property

8. Force Majeure: Provisions for unforeseen circumstances affecting the agreement

What schedules should be included in a License To Sublet?

1. Schedule 1 - Property Details: Detailed description of the property being sublet, including floor plan and fixtures

2. Schedule 2 - Master Lease Extract: Relevant excerpts from the master lease that affect the subletting arrangement

3. Schedule 3 - Inventory List: List of furniture, fixtures, and equipment included in the sublet

4. Schedule 4 - House Rules: Building or property rules that must be followed

5. Appendix A - Condition Report: Detailed report on the condition of the property at the start of the sublease

6. Appendix B - Payment Schedule: Detailed breakdown of rent, deposit, and other financial obligations

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

Malaysia

Publisher

Genie AI

Document Type

License Agreement

Sector

IP

Cost

Free to use
Relevant Industries

Real Estate

Commercial Property

Residential Property

Retail

Office Space

Industrial

Hospitality

Education

Healthcare

Coworking Spaces

Relevant Teams

Legal

Real Estate

Property Management

Facilities Management

Operations

Compliance

Asset Management

Contract Administration

Risk Management

Tenant Relations

Relevant Roles

Property Manager

Real Estate Manager

Legal Counsel

Lease Administrator

Facilities Manager

Asset Manager

Property Operations Director

Tenant Relations Manager

Real Estate Contract Specialist

Compliance Officer

Property Administrator

Real Estate Coordinator

Industries
Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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