Assignment Subletting and Financing Clause Samples
The "Assignment, Subletting and Financing" clause governs whether and how a party to an agreement—typically a tenant in a lease—can transfer their rights or obligations to another party, sublease the property, or use their interest as collateral for financing. This clause often sets conditions such as requiring the landlord's written consent before any assignment or subletting can occur, and may outline restrictions or procedures for obtaining approval. Its core function is to give the original contracting party, usually the landlord, control over who occupies or has an interest in the property, thereby protecting their interests and ensuring responsible use of the premises.
Assignment Subletting and Financing. 7.1 Lessee shall not assign, transfer, or otherwise encumber (collectively, "assign") this Lease or all or any of ▇▇▇▇▇▇'s rights hereunder or interests herein, or sublet or permit anyone to use or occupy (collectively, "sublet") the Leased Premises or any part thereof, without prior written approval from Agrarian. Such approval shall not be withheld provided that the Lessee can demonstrate that the requested approval will further agricultural and economic collaboration across lands and farmers and that such collaboration or activity will be consistent with Agrarian’s goals. If Agrarian permits subleasing, the sublessee shall agree in writing to be subject to all terms of this Agreement.
7.2 Except as allowed in the Preamble, any event (whether voluntary, concurrent, or related) resulting in a dissolution, merger, consolidation, or other reorganization of Lessee, or the sale or transfer or relinquishment of the interest of shareholders who, as of the date of this Lease, own a controlling interest of the capital stock of Lessee, shall be deemed an assignment of this Lease subject to the provisions of this Article. In addition, a transfer of all or substantially all of the assets of Lessee, either by merger, consolidation, or otherwise shall be deemed to be an assignment. This Lease does recognize, and Agrarian does recognize, and consent to allow ▇▇▇▇▇▇ to reorganize and transfer the Lease, in full.
7.3 Notwithstanding the foregoing Lessor may assign, pledge, or otherwise encumber its interest in this Lease for financing purposes with the written consent of the Lessor as long as the lender subordinates its financing to this Lease Agreement.
Assignment Subletting and Financing. (a) Tenant may sublease all or a portion of the Premises or assign this Lease with prior consent of Landlord, which shall not be unreasonably withheld by Landlord if such use is reasonably compatible and complementary with the other occupants of the Building. Assignees and Subtenants shall not have the right to exercise any option to extend the Lease Term for any Renewal Option Term. Tenant shall notify Landlord in writing of any proposed assignment or sublease at least thirty (30) days prior to its proposed effective date. The notice shall include the name and address of the proposed assignee or subtenant, a copy of the proposed assignment or sublease document, and sufficient information to permit Landlord to determine the financial responsibility and character of the proposed assignee or subtenant. Landlord shall notify Tenant in writing within twenty (20) days after receipt of ▇▇▇▇▇▇’s notice whether Landlord consents to any such proposed assignment or sublease (and, if not, such notice shall include Landlord’s reasons for not consenting). In the event Landlord fails to respond within such 20-day period, such assignment or sublease shall be deemed approved.
(b) Upon written notice to Tenant, Landlord shall have the right to assign this Lease, collaterally or otherwise, without Tenant’s consent. If Landlord transfers or assigns its interest in this Lease to a person or entity expressly assuming the Landlord’s obligations hereunder, Landlord shall thereby be released from any further responsibility hereunder arising from and after the date of said assignment, and ▇▇▇▇▇▇ agrees to look solely to such successor in interest of the Landlord for performance of such obligations.
Assignment Subletting and Financing