When either party involved in the agreement breaches the lease contract, it leads to legal disputes, and the relationship becomes complicated and strained. For example, if a tenant is a defaulter and has not paid the rent for a couple of months, the landlord shall not proceed to sign a deed of surrender. By executing the deed of surrender, the landlord loses the right to collect the outstanding rent from the tenant. A deed of surrender lays down the conditions to be followed by the tenant who lives in the particular property. The conditions include the cleanliness of the property, whether or not nails are being hammered on the wall, whether or not electrical fixtures are being mounted on the wall, whether or not any appliances should be removed by the tenants who are of the landlord. The date on which the tenant can occupy the property and the tentative date when the tenant should vacate the property is listed on the deed of surrender.
Similarly, when a tenant from a leased property vacates as per the agreement, all the signage boards, wooden racks, shelves, and equipment of the retailer ownership are to be removed from the property’s premises. The deed of surrender shall specify if any of the light fixtures, air conditioning system and amenities of the landlord ownership can remain at the place. The tenant must complete cleaning of the property after removing the belongings as per the agreement laid down in the deed of surrender. All the financial obligations between the landlord and tenant must be fulfilled as per the deed of surrender. The deed of surrender is signed by the landlord, the tenant, and any witness if required.
Conditions in Deed of Surrender
Deed of surrender is also called the end of a tenancy agreement. If the landlord and the tenant mutually accept to end the lease agreement early than the actual period, the deed of surrender is used. The responsibilities which both the parties discharge become easier. Both the tenant and landlord must be on good terms for the deed of surrender to happen. Complications are added when the contract is breached. The person who rents the property and the landlord is resigned from the lease agreement through the deed of the surrender agreement. With the execution of the deed of surrender, the mutual acceptance between the parties involved in the lease agreement ends early than the period mentioned in the tenancy agreement. The rights and responsibilities required to be followed by the tenant and landlord are mentioned in the deed of surrender. Certain conditions allow the tenant and the landlord to be released from the lease obligations. A lease lawyer can be approached to confirm equitable conditions for the tenant and the landlord. The common conditions in the deed of surrender include:
The tenant will have to pay the whole rent amount up to a certain date as mentioned and accepted in the contract.
The tenant will have to return the property in a good state without damages.
Tenant and landlord are released from any claims arising out of the lease agreement after the date mentioned in the contract.
If the agreement is a registered lease, there lies a responsibility for removing the registered lease.
All the associated legal costs are to be paid off.
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