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Guarantor Lease Agreement

Guarantor Lease Agreement Template for Philippines

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Key Requirements PROMPT example:

Guarantor Lease Agreement

"I need a Guarantor Lease Agreement for a commercial retail space in Manila, Philippines, with two corporate guarantors, starting March 1, 2025, with specific provisions for quarterly rent reviews and an option for a 5-year extension."

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Document background
The Guarantor Lease Agreement is essential in situations where additional security is required beyond a standard lease agreement in the Philippines. This document is commonly used when tenants may not meet certain financial criteria independently, such as students, new businesses, or individuals with limited credit history. The agreement combines elements of both a standard lease and a guaranty contract, complying with the Civil Code of the Philippines, particularly Book IV on Obligations and Contracts, and Title XV on Guaranty. It includes comprehensive details about the property, rental terms, maintenance obligations, and specifically outlines the scope and extent of the guarantor's liability. The document is structured to protect all parties' interests while ensuring enforceability under Philippine law, incorporating relevant provisions from the Rent Control Act of 2020 for residential properties and applicable commercial regulations for business premises.
Suggested Sections

1. Parties: Identifies and provides full details of the Landlord, Tenant, and Guarantor

2. Background: Explains the context of the agreement, including the property being leased and the requirement for a guarantor

3. Definitions: Defines key terms used throughout the agreement

4. The Property: Detailed description of the leased property and any included fixtures and fittings

5. Lease Terms: Core terms of the lease including duration, rent amount, and payment terms

6. Tenant's Obligations: Comprehensive list of tenant's responsibilities and commitments

7. Landlord's Obligations: Details of the landlord's duties and responsibilities

8. Guarantor's Obligations: Scope and extent of the guarantor's liability and responsibilities

9. Security Deposit: Terms regarding the security deposit, including amount, maintenance, and conditions for return

10. Insurance Requirements: Required insurance coverage for both property and liability

11. Maintenance and Repairs: Responsibilities for property maintenance and repair procedures

12. Default and Remedies: Consequences of default by any party and available remedies

13. Termination: Conditions and procedures for terminating the agreement

14. Notices: How formal communications between parties should be made

15. Governing Law: Specifies Philippine law as governing law and jurisdiction

16. Execution: Signature blocks for all three parties and witnesses

Optional Sections

1. Utilities and Services: Include when there are specific arrangements for utility payments or provided services

2. Subletting and Assignment: Include when subletting or assignment needs to be specifically addressed

3. Property Management: Include when a property manager is involved

4. Force Majeure: Include when specific provisions for unforeseen circumstances are needed

5. Pet Provisions: Include when pets are allowed with specific conditions

6. Fit-out Works: Include for commercial properties requiring tenant improvements

7. Option to Renew: Include when offering lease renewal options

8. Multiple Guarantors: Include when there is more than one guarantor to specify joint and several liability

Suggested Schedules

1. Schedule 1 - Property Description: Detailed description of the property including floor plans and photographs

2. Schedule 2 - Inventory and Condition Report: Detailed list of fixtures, fittings, and their condition at lease start

3. Schedule 3 - Rent Payment Schedule: Detailed breakdown of rent payments, including escalation if applicable

4. Schedule 4 - House Rules: Building or development rules and regulations

5. Schedule 5 - Guarantor's Financial Statement: Financial information provided by guarantor to demonstrate capacity

6. Schedule 6 - Maintenance Schedule: Detailed breakdown of maintenance responsibilities

7. Appendix A - Required Insurance Certificates: Copies of insurance policies required under the agreement

8. Appendix B - Utilities Transfer Forms: Forms for transferring or establishing utility services

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

Linkedin in social icon imageX social icon image
alex.den.21@genieai.co
Clauses
Parties and Property
Lease Grant
Term and Renewal
Rent and Payment
Security Deposit
Guarantee Obligations
Use of Premises
Utilities and Services
Maintenance and Repairs
Alterations and Improvements
Insurance
Assignment and Subletting
Default and Remedies
Termination
Property Access
Quiet Enjoyment
Liability and Indemnification
Force Majeure
Notices
Dispute Resolution
Governing Law
Severability
Entire Agreement
Amendment
Waiver
Registration
Costs and Expenses
Representations and Warranties
Compliance with Laws
Environmental Matters
Relevant Industries

Real Estate

Residential Property

Commercial Property

Retail

Office Space

Industrial

Student Housing

Healthcare Facilities

Hospitality

Mixed-Use Development

Relevant Teams

Legal

Real Estate

Property Management

Facilities Management

Risk & Compliance

Corporate Services

Operations

Administrative Services

Tenant Relations

Contract Administration

Relevant Roles

Property Manager

Real Estate Agent

Leasing Manager

Legal Counsel

Property Administrator

Facilities Manager

Asset Manager

Compliance Officer

Contract Administrator

Real Estate Director

Tenant Relations Manager

Risk Manager

Corporate Services Manager

Student Housing Coordinator

Industries
Civil Code of the Philippines (Republic Act No. 386): Primary law governing contracts, obligations, and property relations. Specifically, Book IV covers Obligations and Contracts, while Title VIII Chapter 2 covers Contracts of Lease and Title XV covers Guaranty
Rent Control Act of 2020 (Republic Act No. 11494): Regulates rental of certain residential units, setting guidelines for rental increases, requirements for lease agreements, and rights and obligations of lessors and lessees
Maceda Law (Republic Act No. 6552): Provides protection to buyers/lessees of real estate on installment payments, including provisions for grace periods and refunds
Electronic Commerce Act (Republic Act No. 8792): Relevant if the lease agreement will be executed electronically or if digital signatures will be used
Local Government Code (Republic Act No. 7160): Contains provisions regarding local government regulations affecting property rental and use, including zoning laws and local permits
National Building Code (Republic Act No. 6541): Establishes standards for building safety and maintenance, which may affect lease terms regarding property maintenance and repairs
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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