Concerning Leases Generally Clause Samples
The "Concerning Leases Generally" clause establishes the general principles and terms that apply to all leases referenced in the agreement. It typically outlines the basic rights and obligations of both landlords and tenants, such as payment of rent, maintenance responsibilities, and compliance with applicable laws. By setting these foundational rules, the clause ensures consistency and clarity across all lease arrangements covered by the contract, helping to prevent misunderstandings and disputes.
Concerning Leases Generally. Except in the ordinary course of business and provided such action is prudent in the circumstances, none of the Obligors shall accept or require payment of rent or other moneys payable by a tenant under any Lease that would result in more than three months of such rent or other moneys being prepaid under such Lease other than:
a. prepaid rent or deposits on account of rent which represent the portion of the cost of construction of the relevant demised premises which exceeds the portion of such cost which was used as the basis for determining the basic rental otherwise payable under such Lease; or
b. amounts representing a bona fide pre‐calculation of any amount (which is required to be paid under such Lease) in addition to basic rent, including amounts payable with respect to taxes and maintenance of the applicable Property and overage and percentage rents; or
c. lease surrender payments made by the tenant under such Lease; and
d. except for any renewals or extensions of existing Leases pursuant to the terms thereof, each of the Obligors shall not hereafter enter or purport to enter into or suffer to exist any Lease in respect of any Project except if the Security shall have priority over such Lease and such Lease shall provide that such Lease is subordinated to the Security and contain a covenant of the tenant thereunder obligating such tenant if and whenever required by the Lender to attorn to and become the tenant of the Lenders or any purchaser from the Lenders in the event of an exercise by the Lenders of their remedies under the Documents, for the then unexpired residue of the term of, and upon all of the terms and conditions of such Lease.
Concerning Leases Generally. Accept or require payment of Rent in respect of the Secured Properties that would result in, the aggregate of, more than $500,000 of such Rent being prepaid under the Leases (excluding, for purposes of such calculation, Lease surrender payments and security deposits made by tenants under the Leases, which are expressly permitted).