Early Lease Termination Agreement for Nigeria

Early Lease Termination Agreement Template for Nigeria

A comprehensive legal document governed by Nigerian property law that facilitates the mutually agreed early termination of a lease agreement between a landlord and tenant. This agreement outlines the terms and conditions for ending the lease before its original expiration date, including specific provisions for property handover, financial settlements, and mutual release of obligations. The document ensures compliance with Nigerian property legislation, including state-specific requirements, and provides legal protection for all parties involved in the early termination process.

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What is a Early Lease Termination Agreement?

The Early Lease Termination Agreement is a crucial legal instrument used in Nigerian property law when both landlord and tenant agree to end a lease before its natural expiration. This document becomes necessary in various situations, such as tenant relocation, property sale, or mutual agreement to end the tenancy early. It must comply with Nigerian federal property laws and state-specific regulations, particularly the Recovery of Premises Act and relevant state tenancy laws. The agreement typically includes detailed provisions for property handover, security deposit handling, utility settlements, and mutual releases, protecting both parties' interests during the termination process. This document is particularly important in Nigeria's dynamic property market, where both residential and commercial lease terminations need to be handled with careful attention to legal requirements and local property practices.

What sections should be included in a Early Lease Termination Agreement?

1. Parties: Identification of the Landlord and Tenant with their full legal names, addresses, and contact information

2. Background: Recitals explaining the existing lease agreement details, property description, and parties' desire to terminate early

3. Definitions: Key terms used throughout the agreement including 'Termination Date', 'Property', 'Original Lease', and 'Settlement Amount' if applicable

4. Termination Agreement: Core agreement to terminate the lease, stating the specific termination date and mutual agreement of both parties

5. Financial Settlement: Details of any payment arrangements, including return of security deposit, rent adjustments, or termination fees

6. Handover Requirements: Specific conditions for returning the property, including cleaning, repairs, and inspection requirements

7. Release of Obligations: Mutual release of future obligations under the original lease, subject to specified conditions

8. Keys and Property Return: Process and timeline for returning keys and vacating the property

9. Governing Law: Specification that the agreement is governed by Nigerian law and the relevant state jurisdiction

10. Execution: Signature blocks for all parties, including witnesses as required under Nigerian law

What sections are optional to include in a Early Lease Termination Agreement?

1. Outstanding Utilities: Include when there are specific arrangements needed for transfer or payment of utility bills

2. Abandoned Property: Include when there's a need to address how any abandoned property will be handled after tenant vacation

3. Forwarding Address: Include when specific arrangements are needed for future communications or return of deposit

4. Third-Party Guarantors: Include when the original lease involved guarantors who need to be released

5. Dispute Resolution: Include when parties want to specify mediation or arbitration procedures for any future disputes

6. Confidentiality: Include when parties wish to keep the terms of the early termination private

7. Insurance Requirements: Include when specific insurance must be maintained until the final vacancy date

What schedules should be included in a Early Lease Termination Agreement?

1. Schedule A - Property Description: Detailed description of the property including address and any included fixtures or fittings

2. Schedule B - Original Lease Details: Key details from the original lease agreement including date, term, and rent amount

3. Schedule C - Settlement Calculation: Detailed breakdown of any financial settlements, including security deposit deductions if applicable

4. Schedule D - Property Condition Report: Current condition of the property and any agreed repairs or maintenance requirements

5. Schedule E - Handover Checklist: Detailed list of items to be checked during the final property inspection

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

Nigeria

Publisher

Genie AI

Cost

Free to use
Clauses
Relevant Industries

Real Estate

Residential Property

Commercial Property

Retail

Hospitality

Industrial

Office Space

Healthcare

Education

Banking and Financial Services

Professional Services

Relevant Teams

Legal

Real Estate

Property Management

Operations

Facilities Management

Compliance

Administrative

Asset Management

Tenant Relations

Contract Management

Relevant Roles

Property Manager

Real Estate Manager

Facilities Manager

Legal Counsel

Property Administrator

Leasing Manager

Asset Manager

Operations Manager

Compliance Officer

Real Estate Agent

Housing Officer

Tenant Relations Manager

Property Portfolio Manager

Contract Administrator

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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