The Property Licence Agreement is essential for situations where temporary or flexible property use is required without establishing a formal landlord-tenant relationship. Common in England and Wales, it's particularly useful for short-term arrangements, shared spaces, or when the licensor needs to maintain significant control over the property. The agreement covers critical aspects such as access rights, permitted activities, payment terms, and termination provisions while ensuring compliance with relevant property and safety legislation. It's distinct from a lease and typically offers less security of tenure, making it suitable for pop-up venues, desk space licensing, or temporary business premises.
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1. Parties: Full details of licensor and licensee, including registration/company numbers if applicable
2. Background/Recitals: Context of the license, property description, and purpose of the license
3. Definitions: Key terms used throughout agreement, including property definition and permitted use definition
4. Grant of License: Scope of permission, duration, and nature of rights granted
5. Licensee Obligations: Payment terms, conduct requirements, maintenance responsibilities, and insurance requirements
6. Licensor Obligations: Access provisions, maintenance responsibilities, and insurance obligations
7. Termination: Notice periods, grounds for termination, and consequences of termination
8. General Provisions: Governing law, notices, entire agreement, and third party rights
1. Service Levels: Used for managed properties where specific services are included in the license arrangement
2. Security Provisions: Used when valuable assets are involved, detailing access control requirements and security measures
3. Environmental Provisions: Used when environmental concerns exist, including waste management requirements
4. Alterations: Used for longer-term licenses where modifications to the property might be needed
1. Schedule 1: Property Description: Detailed description of licensed area including plans and drawings
2. Schedule 2: Payment Schedule: Fee structure, payment dates, and review mechanisms
3. Schedule 3: Services: List of provided services and service standards
4. Schedule 4: House Rules/Regulations: Operational rules, access times, and conduct requirements
5. Schedule 5: Inventory: List of included items/equipment and condition report
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