The Commercial Property Licence Agreement is a crucial document in German commercial real estate transactions, designed to establish a formal arrangement for the temporary use of business premises. It differs from a traditional lease by offering more flexibility while maintaining compliance with German property law and commercial regulations. This agreement is particularly suitable for businesses seeking shorter-term occupancy rights, shared workspace arrangements, or specific-use permissions without the full commitment of a commercial lease. The document addresses essential aspects including property access, usage terms, fee structures, maintenance responsibilities, and compliance requirements under German law, while incorporating necessary protections for both the property owner and the business user.
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1. Parties: Identification and details of the Licensor and Licensee, including registered addresses and registration numbers
2. Background: Context of the agreement and brief description of the property and intended use
3. Definitions: Definitions of key terms used throughout the agreement
4. Grant of Licence: Specific terms of the licence grant, including premises description and permitted use
5. Licence Period: Duration of the licence, including start date, end date, and any renewal options
6. Licence Fee: Payment terms, including amount, frequency, and method of payment
7. Operating Costs and Utilities: Responsibility for utilities, maintenance, and additional costs
8. Use of Licensed Area: Permitted uses, restrictions, and compliance requirements
9. Licensee's Obligations: Key responsibilities and obligations of the Licensee
10. Licensor's Obligations: Key responsibilities and obligations of the Licensor
11. Insurance and Liability: Insurance requirements and allocation of risks
12. Termination: Grounds for termination and termination process
13. Consequences of Termination: Rights and obligations upon termination
14. Notices: Communication procedures and contact details
15. Governing Law and Jurisdiction: Confirmation of German law application and jurisdiction
1. Security Deposit: Terms for security deposit if required - include when Licensor requires financial security
2. Alterations and Improvements: Rules regarding modifications to the premises - include when alterations might be necessary
3. Sublicensing and Assignment: Rights and restrictions regarding transfer of licence - include when sublicensing might be permitted
4. Force Majeure: Provisions for unforeseen circumstances - include when specific risks need to be addressed
5. Environmental Compliance: Specific environmental obligations - include for properties with environmental sensitivity
6. Data Protection: GDPR compliance provisions - include when personal data processing is involved
7. Building Rules: Specific building regulations and requirements - include for multi-tenant buildings
8. Parking: Parking rights and restrictions - include when parking facilities are part of the licence
9. Signage Rights: Rules regarding external and internal signage - include when signage is relevant to the business
1. Schedule 1 - Property Plan: Detailed plan and measurements of the licensed premises
2. Schedule 2 - Inventory: List of any furniture, fixtures, or equipment included in the licence
3. Schedule 3 - Service Charges: Breakdown of service charges and operating costs
4. Schedule 4 - Building Rules: Detailed building regulations and operational procedures
5. Schedule 5 - Condition Report: Initial condition of the premises with photographs
6. Schedule 6 - Permitted Alterations: Pre-approved alterations or improvements if any
7. Appendix A - Insurance Requirements: Detailed insurance specifications and minimum coverage
8. Appendix B - Utility Agreements: Specific arrangements for utilities and services
9. Appendix C - Emergency Procedures: Emergency protocols and contact information
Authors
Relevant legal definitions
Clauses
Relevant Industries
Retail
Office Space
Hospitality
Manufacturing
Logistics
Technology
Healthcare
Education
Financial Services
Professional Services
Entertainment
Food and Beverage
Coworking Spaces
Research and Development
Relevant Teams
Legal
Real Estate
Operations
Finance
Facilities Management
Risk and Compliance
Property Management
Business Development
Asset Management
Corporate Services
Relevant Roles
Real Estate Manager
Property Manager
Facilities Director
Legal Counsel
Commercial Director
Operations Manager
Chief Financial Officer
Business Development Manager
Risk Manager
Compliance Officer
Asset Manager
Space Planning Manager
Corporate Real Estate Manager
General Counsel
Finance Director
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