lease assignment agreement template ontario

Free Lease Assignment Agreement Template for Microsoft Word

Download this free Lease Assignment Agreement template as a Word document to easily assign a lease to another party with consent from the landlord.

Lease Assignment Agreement

THIS ASSIGNMENT OF TENANCY AGREEMENT dated this [Insert date]

[Insert name] (the “Assignor”)

– AND-

[Insert name] (the “Assignee”)

A. This is an agreement (the “Assignment”) to assign a residential tenancy agreement in real property according to the terms specified below.

B. The Assignor wishes to assign and transfer to the Assignee that tenancy agreement (the “Tenancy Agreement”) dated June 11, 2020, and executed by the Assignor as tenant and by _________________________ as landlord (the “Landlord”).

IN CONSIDERATION OF the Assignor agreeing to assign and the Assignee agreeing to assume the Tenancy Agreement for the Premises, and other valuable consideration, the receipt and sufficiency of which is hereby acknowledged, both parties agree to keep, perform and fulfill the promises, conditions and agreements below:

1. The Tenancy Agreement governs the rental of the following described premises (the “Premises”) to the Assignor: ______________________________________________

Assigned Tenancy Agreement

2. The Assignor assigns and transfers to the Assignee all of the Assignor’s right, title, and interest in and to the Tenancy Agreement and the Premises, subject to all the conditions and terms contained in the Tenancy Agreement.

Effective Date

3. This Assignment takes effect on June 11, 2020 (the “Effective Date”), and continues until the present term of the Tenancy Agreement expires on June 11, 2020.

Assignor’s Interest

4. The Assignor covenants that:

a. the Assignor is the lawful and sole owner of the interest assigned under this Assignment; b. this interest is free from all encumbrances; and c. the Assignor has performed all duties and obligations and made all payments required under the terms and conditions of the Tenancy Agreement.

Breach of Tenancy Agreement by Assignee

5. Consent to this Assignment will not discharge the Assignor of its obligations under the Tenancy Agreement in the event of a breach by the Assignee.

6. In the event of a breach by the Assignee, the Landlord will provide the Assignor with written notice of this breach and the Assignor will have full rights to commence all actions to recover possession of the Premises (in the name of the Landlord, if necessary) and retain all rights for the duration of the Tenancy Agreement provided the Assignor will pay all accrued rents and cure any other default.

Governing Law

7. It is the intention of the parties that this Assignment, and all suits and special proceedings under this Assignment, be construed in accordance with and governed, to the exclusion of the law of any other forum, by the laws of the State of New South Wales, without regard to the jurisdiction in which any action or special proceeding may be instituted.

Miscellaneous Provisions

8. This Assignment incorporates and is subject to the Tenancy Agreement, a copy of which is attached hereto, and which is hereby referred to and incorporated as if it were set out here at length. The Assignee agrees to assume all of the obligations and responsibilities of the Assignor under the Tenancy Agreement.

9. This Assignment will be binding upon and inure to the benefit of the parties, their successors, assigns, personal representatives, beneficiaries, executors, administrators, and heirs, as the case may be.

10. All rents and other charges accrued under the Tenancy Agreement prior to the Effective Date will be fully paid by the Assignor, and by the Assignee after the Effective Date. The Assignee will also be responsible for assuming and performing all other duties and obligations required under the terms and conditions of the Tenancy Agreement after the Effective Date.

11. There will be no further assignment of the Tenancy Agreement without the prior written consent of the Landlord.

IN WITNESS WHEREOF the Assignor and Assignee have duly affixed their signatures under hand and seal on this [Insert date]

SIGNED BY THE ASSIGNOR

_____________________________ Assignor: _________________________

in the presence of (Name of witness) _______________________

(Signature of witness) _____________________________

SIGNED BY THE ASSIGNEE _____________________________ Assignee: _______________________

in the presence of (Name of witness) ___________________

(Signature of witness) _______________________________

CONSENT OF LANDLORD

The Landlord in the above Assignment of Tenancy Agreement executed on [Insert date] consents to that Assignment. The Landlord also agrees to the Assignee assuming after [Insert date] the payment of rent and performance of all duties and obligations as provided in the Tenancy Agreement. Dated: [Insert date]

Landlord: _________________________

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Free Lease Assignment Agreement Template

Last Updated August 13, 2024

A Lease Assignment Agreement or Assignment of Lease is a legally binding contract between a lessee (assignor) and a new tenant (assignee). It can be used for commercial or residential properties. Tenants use this document to pass their contract obligations to a third party if they need to exit a lease early. Such a situation may occur if a tenant must relocate or shut down a business before the lease ends.

The landlord (lessor) is typically not a party to this new contract. However, the assignee must meet the terms of the original lease. In specific cases, the landlord must sign a consent to allow a tenant to assign the lease, and some may want to vet the assignee before consenting.

The Lease Assignment Agreement outlines the terms of the agreement, assigns responsibilities for breaches, and documents each party’s acceptance.

Let’s discuss how this document works and how you can create yours.

Who Needs A Lease Assignment?

Lease assignments are used by commercial or residential tenants to “sell” a lease to another person. If they cannot assign the lease, the tenant must pay rent for a space they aren’t using until the agreed-upon period is complete. However, they may pass the lease if they find a willing tenant.

The new tenant is known legally as the assignee, and the original tenant is the assignor. Assigning a lease frees you to a great extent because the landlord knows someone else has taken your place.

Lease Assignment is different from subletting a premise. In a sublease, the tenant creates a different contract, which may include a different rent amount. However, the relationship between the tenant and landlord remains the same as in the signed lease. The tenant is responsible for collecting and remitting payment to the landlord and ensuring no breaches occur.

The Role of the Landlord in a Lease Assignment

The landlord rightly expects that a tenant stays responsible for their lease until it expires. However, because of constant changes, they may anticipate a tenant wanting to exit a lease early. Therefore, many lease agreements include provisions for possible assignments.

Even when a lease agreement does not have such a provision, the tenant can negotiate a deal with the landlord. Depending on your jurisdiction, the original lease sometimes contains language requiring that the landlord not unreasonably object to a lease assignment.

Still, some landlords may want to vet the new tenant like they did the first. If your landlord decides to screen the new tenant as they did with you, they may review the following information:

• Financial status: This is especially important to the landlord if you pass on rent responsibility to the new tenant. The landlord will want proof that the assignee will make on-time payments. Checking the new tenant’s finances works in your favor because most leases will hold you accountable for missed and late payments even after you assign the contract to another person.
• Restrictions on modifications and activity: The landlord may need to know beforehand if the new tenant intends to make significant alterations to the property. If they think the proposed changes are too extensive, they may deny you permission to assign the lease. The same applies to changes in use.
• Likelihood of compliance: To determine whether the assignee will comply with the lease, a landlord may require references by former landlords.

Many landlords avoid the extra work, preferring that you remain liable. Therefore, you need to choose a trustworthy tenant and ensure they understand their obligations and responsibilities regarding the lease.

Information to Include in a Lease Assignment Agreement

Ensure your lease assignment agreement contains all necessary information so that it releases you of as much responsibility as possible.

The Type of Lease

State whether the lease is for a commercial or residential property.

Personal Information

The lease should have the names, addresses, and other information about the assignor, assignee, and landlord.

Include the physical address of the property to identify it. You may also include the size and other descriptions.

Length of the Assignment

The length of the assignment is the time left on the lease. Afterward, the new tenant may enter into a new contract with the landlord to continue using the premises. Include the effective and end dates of the assignment.

Liabilities

Outline your liabilities. Although you are exiting, your name stays on the original lease. Discuss with the assignee and the landlord to determine which liabilities you are keeping and how breaches will be resolved.

Date When You Signed the Original Lease

It’s essential to include the date the original lease took effect. Remember that the terms and conditions of that lease apply to the assignment.

Landlord’s Consent

Sometimes, the landlord’s permission to assign a lease is included as a section in the assignment agreement. However, many use a separate document to obtain the landlord’s consent and then attach it to the assignment agreement.

Unless both parties sign the contract in agreement, it remains void.

You generally do not need to include the details of the lease agreement, but the new tenant needs a copy to determine whether they agree to its terms before signing the assignment.

Easy Legal Docs has created an adaptable Lease Assignment Agreement template to get you started. Landlords, tenants, and other businesses find our collection of legal documents versatile and easy to download for free when they need them.

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Lease Assignment Agreement Template

Below you can see a sample of the Lease Assignment Agreement template:

Lease Assignment Agreement FAQs

What is a lease assignment agreement.

A Lease Assignment Agreement is a legally binding contract between a lessee (assignor) and a new tenant (assignee). It can be used for commercial or residential properties. Tenants use this document to pass their contract obligations to a third party if they need to exit a lease early. Such a situation may occur if a tenant must relocate or shut down a business before the lease ends.

Is the tenant liable for breaches after assigning a lease?

It depends on the terms of the assignment. If the landlord releases you of responsibility, then the assignee is liable. However, if the original lease holds you liable, the landlord may pursue you and the assignee for compensation.

What is the difference between a sublease and a lease assignment?

Assigning a lease transfers ownership of an existing lease. The assignee takes the tenants' place in the lease. Subletting requires creating a separate contract between a tenant (sublessor) and a subtenant (sublessee). In a sublease, the lease agreement with the landlord remains in place, so the tenant is still responsible.

Are there alternatives to lease assignment?

If you don't have the option to assign because your landlord denies it or the lease prohibits it, check whether the contract has a "Break Clause" and the requirements for getting out early. Alternatively, you may sublet the property to another person.

Can an assignee assign a lease?

How many times a lease is assigned depends on the landlord. Leases that span a decade or more may go through several assignments in their lifetime. The conditions set in the first agreement determine whether an assignee may pass responsibilities to a new person.

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Assignment of Lease Agreement Ontario: Legal Process & Requirements

The ins and outs of assignment of lease agreement in ontario.

As a law enthusiast, there`s something fascinating about the intricacies of lease agreements. Assignment of Lease Agreement Ontario, particular, topic piqued interest quite time. Delve details explore complexities subject.

Understanding Assignment of Lease Agreement

In the realm of real estate, a lease agreement plays a crucial role in determining the rights and responsibilities of both landlords and tenants. In the context of Ontario, the assignment of lease agreement refers to the transfer of a tenant`s rights and obligations under the lease to a new tenant.

When it comes to assigning a lease agreement in Ontario, there are specific legal requirements and considerations that must be taken into account. Take closer look key points:

Case Studies and Statistics

To gain deeper understanding topic, examine real-life Case Studies and Statistics related assignment lease agreements Ontario:

According to a study conducted by the Ontario Landlord and Tenant Board, approximately 20% of lease assignments result in disputes between the original and new tenants.

In a notable case in Ontario, a landlord refused to consent to an assignment of lease, leading to a legal battle that lasted over a year and resulted in significant financial implications for all parties involved.

Expert Insights

I had the opportunity to speak with a seasoned real estate lawyer who provided valuable insights into the assignment of lease agreements in Ontario. According to the expert, the key to a successful lease assignment lies in thorough due diligence and clear communication between all parties.

“From a legal standpoint, it`s crucial for tenants to fully understand their rights and obligations before seeking to assign a lease,” the lawyer emphasized. “Likewise, landlords must approach lease assignments with caution and ensure that the process complies with the legal framework.”

Final Thoughts

Exploring nuances Assignment of Lease Agreement Ontario truly enriching experience. From navigating legal requirements to understanding real-world implications, it`s evident that this topic carries significant weight in the realm of real estate law.

As I continue my journey in the field of law, I look forward to delving deeper into complex topics such as this, gaining a deeper understanding of the legal intricacies that shape our society.

Top 10 Legal Questions about Assignment of Lease Agreement in Ontario

Assignment of Lease Agreement Ontario

This Assignment of Lease Agreement (“Agreement”) is entered into on this [Date] by and between the Assignor and the Assignee, collectively referred to as the “Parties.”

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Guide to Ontario’s standard lease

A guide, in multiple languages, to help landlords and tenants understand and complete the Standard Form of Lease (standard lease). It also contains information on rental rules, and rights and responsibilities of landlords and tenants under the Residential Tenancies Act .

On this page Skip this page navigation

About the standard lease.

The standard lease is required for most residential tenancy agreements signed on or after April 30, 2018.

When complete, the standard lease creates a contract between the landlord and tenant. It is also called a residential tenancy agreement.

The standard lease does not apply to care homes, sites in mobile home parks and land lease communities, most social and supportive housing, certain other special tenancies and co-operative housing.

Under the Ontario Human Rights Code , everyone has the right to equal treatment in housing without discrimination or harassment.

A lease cannot take away a right or responsibility under the Residential Tenancies Act (the act)

If you have questions

The Landlord and Tenant Board provides information about landlords and tenants rights and responsibilities under the act (available in English or French). You can contact them Monday to Friday from 8:30 a.m. to 5:00 p.m. by calling:

• Toll-free: 1-888-332-3234
• Tel : 416-645-8080
• Toll-free TTY : 1-800-855-0511

What is in the standard lease

1. parties to the agreement.

This section has the names of the landlord(s) and tenant(s) who are agreeing to the tenancy.

2. Rental unit

This section describes the rental unit that is being rented and address.

The number of parking spaces if any and their location is also described in this section.

If the rental unit is in a condominium:

• it should be indicated in this section
• the tenant is also agreeing to follow the condominium declaration, bylaws, and rules that are provided by the landlord

3. Contact information

This section has the landlord’s address where notices must be sent. If a tenant needs to give a formal notice to the landlord, it should be delivered to this address.

This section also allows the landlord and tenant to agree to receive formal notices by e-mail, and includes a space for both the landlord and the tenant e-mail addresses. Formal notices can only be given by e-mail where allowed by the Landlord and Tenant Board’s rules. You can contact the Landlord and Tenant Board to find out which notices can be sent electronically.

This section also includes a place for the landlord to provide additional contact information for emergencies or day-to-day communication.

4. Term of tenancy agreement

This section has the date that the tenant will have the right to move into the rental unit and the length of time (term) of the tenancy.

The end of an agreement does not mean the tenant has to move out or sign a renewal or new agreement in order to stay. The rules of the agreement will still apply and the tenant still has the right to stay:

• as a monthly tenant, if the agreement was for a fixed term or monthly tenancy,
• as a weekly tenant, if the agreement was for a weekly tenancy, or
• as a daily tenant, if the agreement was for daily tenancy.

This section sets out the total rent (also called the lawful rent).

The total rent is the total of the amounts listed in sub-section 5(b) which includes:

• the base rent for the rental unit
• any separate charges for parking or other services, such as a storage locker or air conditioning, that the landlord provides to the tenant

Any future rent increase will be based on the total rent in sub-section 5(b).

This section also includes when rent must be paid, to whom it must be paid, what methods will be used for payment, and any administrative charges for cheques returned by a financial institution.

6. Services and utilities

This section sets out what services are included or not included in the total rent (lawful rent). This includes both services that are included in the base rent in sub-section 5(a), and services for which the landlord has set out a separate charge in sub-section 5(b) of the standard lease.

In some cases, a landlord and tenant can later agree to add other services in exchange for a rent increase. For example, a landlord and tenant may agree to a seasonal rent increase for additional services of air conditioning or a block heater plug-in, so the tenant can heat up their car engine on cold winter days.

In this section, the landlord and tenant also agree on who is responsible for utilities (electricity, heat, water) at the rental unit.

7. Rent discounts

This section allows a landlord to offer a rent discount.

After the rent discount ends, the tenant must pay the total rent (lawful rent) agreed to in section 5, plus any lawful increases.

8. Rent deposit

In this section, the landlord and tenant agree whether a rent deposit is required, and the amount. The law limits the amount  and how it is to be treated. A rent deposit cannot be used as a damage deposit.

9. Key deposit

In this section, the landlord and tenant agree whether a key deposit is required, and the amount. The law limits the amount and how it is to be treated.

10. Smoking

Under provincial law, smoking is not allowed in any indoor common areas of the building outside of the rental unit. In this section, a landlord and tenant can agree to rules about smoking in the rental unit.

11. Tenants insurance

In this section, a landlord and tenant can agree whether the tenant must have liability insurance. If the landlord asks for proof of coverage, the tenant must provide it.

It is up to the tenant to get contents insurance if they want it.

12. Changes to the rental unit

This section explains that the tenant can install decorative items, such as pictures or window coverings, but that they must have the landlord’s permission to make other changes to the rental unit.

This section cannot be changed. If the landlord and tenant wish to agree to additional details, these can be written out as additional terms in section 15.

13. Maintenance and repairs

This section explains that the landlord must maintain the rental unit and property, but the tenant must repair or pay for any undue damage caused by the tenant or their guests.

The tenant is responsible for keeping the unit clean, unless the landlord agreed to do so.

14. Assignment and subletting

This section explains that the tenant needs the landlord’s permission to assign or sublet the unit to someone else, and that the landlord cannot arbitrarily or unreasonably withhold consent.

15. Additional terms

The landlord and tenant can agree to additional terms that are specific to the tenancy. If agreed to, these additional rules or terms must be attached to the lease agreement.

These additional terms should be written in plain language and clearly set out what the landlord or tenant must or must not do to comply with the term. If typed, the additional terms should be in a font size that is at least 10 points.

Additional terms may set out rules that are very specific to the rental unit or property, such as rules about the use of common spaces or amenities.

Any extra term which attempts to take away a right or responsibility under the act is void (not valid or legally binding) and cannot be enforced. Some examples of void and unenforceable terms include those that:

• do not allow pets (however, the landlord can require the tenant to comply with condominium rules, which may prohibit certain pets)
• do not allow guests, roommates, any additional occupants
• require the tenant to pay deposits, fees or penalties that are not permitted under the act ( e.g. , damage or pet deposits, interest on rent arrears)
• require the tenant to pay for all or part of the repairs that are the responsibility of the landlord

The landlord and tenant may want to get legal advice before agreeing to any additional terms.

16. Changes to this agreement

This section explains that any changes to the agreement must be agreed to in writing.

17. Signatures

In this section, the landlord and the tenant indicate that they agree to follow the terms of the agreement. If there is more than one tenant, each tenant is responsible for all tenant obligations, including the full amount of rent.

All landlords and tenants listed in section one (parties to the agreement) must sign this section. The landlord(s) or tenant(s) can sign the lease electronically if they both agree. The landlord must give a copy of the agreement to the tenant within 21 days after the tenant signs it.

Landlord and tenant rights and responsibilities

Some additional information about your rights and responsibilities (such as maintenance and repairs) are included in the multilingual guides and in the appendix of the standard lease .

Guide to the standard lease in other languages

• عربي (Arabic PDF )
• 中文 (简体) (Chinese (Simplified) PDF )
• 中文 (繁體) (Chinese (Traditional) PDF )
• فارسی (Farsi PDF )
• Deutsch (German PDF )
• ελληνικά (Greek PDF )
• ગુજરાતી (Gujarati PDF )
• हिन्दी (Hindi PDF )
• Italiano (Italian PDF )
• 한국어 (Korean PDF )
• Polski (Polish PDF )
• Português (Portuguese PDF )
• ਪੰਜਾਬੀ (Punjabi PDF )
• Română (Romanian PDF )
• русский (Russian PDF )
• Español (Spanish PDF )
• Tagalog (Filipino PDF )
• தமிழ (Tamil PDF )
• Українська (Ukrainian PDF )
• اردو (Urdu PDF )
• Tiếng Việt (Vietnamese PDF )

Lease Assignment Agreement

Choose the state where the property is located.

LEASE ASSIGNMENT AGREEMENT

State of Alabama

This Lease Assignment Agreement (hereinafter "Assignment") is entered into and made effective as of ________ by and between the current lessor, hereinafter referred to "Assignor": ________ and the following new lessor, hereinafter referred to "Assignee": ________ .

Assignor and Assignee may be collectively referred to as the "Parties."

WHEREAS, Assignor is the current lessor of a residential property ("Property") located at the following address:

WHEREAS, Assignor wishes to assign and transfer to Assignee the lease agreement ("Lease") that Assignor originally signed on ________ together with the landlord ("Landlord") of the Property: ________ ;

WHEREAS, the Landlord of the Property has agreed to this Assignment;

WHEREAS, Assignee wishes to accept the assignment of the Lease.

NOW, therefore, in consideration of the obligations and covenants contained herein and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the Parties do contract and agree as follows:

Article 1 - ASSIGNMENT:

Under the terms and conditions herein, Assignor hereby assigns and transfers to Assignee all right, title, and interest in and to the Lease and the Property.

As denoted above in this Assignment, this Assignment is to become effective on ________ and last until the end of the Lease term on ________ .

Article 2 - ASSIGNOR'S COVENANTS:

Assignor hereby warrants and covenants that Assignor may lawfully assign the Lease interest hereunder and that there are no further encumbrances on the interest. Assignor further warrants and covenants that Assignor is up-to-date with all payments, charges, fees, duties, and/or obligations under the Lease.

Article 3 - 85552855'5 828552585:

88882222 525282 525228 22 252 588 5222 525 22525 2228 552 52225 252 222282882 5522 22 2588 8888222222. 88882222 2552525 525228 22 588522 525 2252252 588 22525 552828 525/25 28882528228 58 252 82 52858525 52525 252 22582.

Article 4 - LEASE COPY & INCORPORATION:

A copy of the original Lease is attached to this Assignment. This Assignment incorporates and is subject to the original Lease. There shall not be any further assignment of the Lease without the Landlord's advance written consent.

Article 5 - BREACH:

Assignor hereby agrees that this Assignment does not discharge Assignor of any obligations under the Lease in the event of a breach by Assignee. In such circumstance, Assignor will be provided notice of the breach by Landlord and thereafter may commence any and all actions to recover possession of the Property for the duration of the Lease, as long as Assignor thereafter continues to pay rent and cure any breach by Assignee.

Article 6 - GENERAL PROVISIONS:

a) BINDING: This Assignment will inure to the benefit of and be binding upon the respective successors, assigns, heirs, executors and/or administrators of both Parties.

b) SEVERABILITY: If any part of sub-part of this Assignment is deemed invalid by court order, judgment or other operation of law, the remaining parts and sub-parts of this agreement shall remain valid and enforceable to the fullest extent.

c) GOVERNING LAW: This Lease is governed, construed, and interpreted by and through the laws of the State of Alabama .

Sign: ________________________________

Date: ________________________________

Print: ________________________________

LANDLORD CONSENT

I, ________ , the Landlord named in the above Assignment to be effective on ________ , hereby consent to that Assignment. I further agree that after ________ the Assignee in the above Assignment will be responsible for all rent and other obligations under the Lease. I hereby release the Assignor from all duties and obligations under the Lease, unless Assignee breaches, in which case Assignor must take repossession and pay all charges and accrued rent until the end of the Lease term.

I accept Assignee as Lessee in place of Assignor.

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OREA Standard Forms

OREA Standard Forms & Clauses help to facilitate almost every real estate transaction in Ontario. OREA Forms resources provide Members with the education and updates required to be successful in their business.

Based on Member feedback, OREA is in the process of updating select Standard Forms and Clauses, and adding several new ones, to ensure greater functionality for REALTORS® while maintaining regulatory compliance. Changes include:

• Elimination of “Limited Services Agreements”;
• Creation of Listing Agreements for both Brokerage Representation and Designated Representation;
• Elimination of Working with a REALTOR®;
• A new, user-friendly “Confirmation of Cooperation and Representation” – buyer/seller and landlord/tenant (updated version is now live on the website);
• Creation of Termination Clauses for Multiple Representation and changing Designated Representative;
• Creation of a Disclosure Form; and
• Creation of Multiple Representation Disclosure and Consent Forms for Leasing and Commercial Transactions.

We encourage you to watch the recording of the ‘ 2024 Forms Annual Update & TRESA PART 2 ’ webinar to learn more. For any questions please reach out to [email protected] .

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Over 300 Clauses for Members to use in their business transactions.

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Agreement of Purchase and Sale

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Agreement to Lease – Residential

Schedule – Agreement to Lease - Residential

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Disclosure of Benefit/Payment to Registrant – Finders Fees, Rewards, Referral Fees, Incentives

Individual Identification Information Record

Corporation/Entity Identification Information Record

Standard Appraisal Report – Single Family

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Offer Summary Document – For use with Agreement of Purchase and Sale

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Residential Information Checklist – Schedule for Condominium

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Agreement of Purchase and Sale (APS)

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OREA State of Emergency Clauses

Q1. can the seller and buyer agree to terminate an agreement of purchase and sale they entered into even if covid-19 was not a factor.

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Q2. Was the ELEC-1 Electronic Signature Consent Clause revised because of COVID-19 situation?

Q3. as the listing brokerage representative, do i have to provide the seller the lockbox for key drop on closing, q4. is the state of emergency-4 video conferencing clause to allow a salesperson to video conference for identification and signing documents, q5. should i use the orea state of emergency clauses exactly as they are or can i revise them if the buyer or seller wants to negotiate something different, q6. can i send orea a clause that i or my brokerage created for covid-19 for orea review and approval, q7. in the event a closing cannot take place, without the inclusion of any orea state of emergency clauses, how would this situation be managed, q8. orea agreements of purchase and sale form deposits section references, deposit ‘by negotiable cheque’ will this be changed to include electronic transfer, q9. if i can't show the buyer a unit or they cannot complete an in person inspection, what clause should i add to the agreement of purchase and sale, q10. should there be a clause asking the seller to reveal any covid 19 personal or property issues prior to a buyer taking possession, q11. why would a member/realtor® ever want to allow termination of an agreement, q12. how can anyone know how many days that it would take for land registry to close a deal after re-opening, should this be something the buyer and or seller be agreeing to, q13. can one or all orea state of emergency standard clause(s) be inserted into an existing agreement pending completion, by way of an amendment, q14. are we adding something into agreements of purchase and sale for our salesperson protection during this emergency crisis, q15. what should i do if a buyer or seller lawyer does not agree with an orea clause and they have different opinion and clause to insert into an agreement, q16. my brokerage and other brokerages have established form(s) that are supposed to be used when i list or negotiate with buyers and sellers, should i send them into orea to approve before i use them, q17. beyond a lockbox, what device could exist for key drop to consider, q18. would the orea state of emergency clauses apply to tenancy agreements as well, q19. will the state of emergency clauses be deleted once covid-19 pandemic is resolved, cannabis legislation update, q1. how many cannabis plants can be grown under the new legislation, q2. how would a member know if legal cannabis growth property history will matter to their prospective buyer, q3. is the listing data sheet going to be revised to identify if the property has or has had cannabis activity, q4. can a listing brokerage force a buyer to accept their aps schedule b, containing a clause which reads “the seller does not provide cannabis representation or warranty”, q5. as a listing salesperson working with or for a seller, what provisions are needed in an agreement of purchase and sale regarding cannabis, q6. are there orea forms that could assist with determining if the property has cannabis growth history, q7. as a co-operating salesperson working with a buyer, what provisions are needed in an aps regarding cannabis, q8. as a listing salesperson is there anything i need to ask a seller regarding growth or use of cannabis, q9. when will orea have forms revised to address cannabis, q10. when will orea have forms revised to address cannabis, q11. can condominium rules/bylaws, board ban the selling of a condominium to someone who will grow or smoke cannabis, q12. can a landlord ban a tenant from growing and/or smoking cannabis after legalization date oct 17th, 2018, q13. with respect to legal cannabis activity what experts do i need to suggest to a buyer or seller to consult with before or within sale or lease negotiations, q14. will orea have a webinar on this cannabis topic, form #400 agreement to lease – residential update, q1. can the orea form #400 agreement to lease - residential be used by members after april 30th 2018, q2. what are the revisions to orea form #400 and/or to orea lease/res standard clauses due to rta amendments effective april 2018, q3. when must the new government required standard lease form be used, q4. where can the new government standard lease form be found, q5. will the government standard lease form be available on webforms, q6. can a term(s) be added to the orea form #400 schedule for landlord and tenant negotiations, even though it or they may also be found on the government standard lease form, q7. can a member attach the government standard lease form as a schedule/addendum to the form #400, within their negotiations, for landlord and tenant review and awareness of the standard lease document content, q8. will orea be creating any further clauses for optional use by members when using the form #400 agreement to lease – residential and negotiating with their consumers, q9. how does a brokerage collect brokerage service remuneration/commission with hst, q10. is the new government lease form mandatory for members to use, assignment aps, q1. is an assignment possible if the original agreement of purchase and sale is with a builder, q2. when is an assignment of a contract done, q3. shouldn't brokers of record play a bigger role in relation to information and guidance, q4. does the original purchase price include any upgrades paid separately, such as in a new home sale agreement between the buyer and the builder, q5. when is the balance of the assignment agreement paid by the assignee and when is the original deposit paid back to the assignor, q6. who pays the assignment fee from the builder or other related expenses, q7. are there orea standard clauses for assignment situations, q8. if the original seller makes another $100k over the original purchase price, does the real estate agent get more commission, q9. are there tax implications for any parties in an assignment situation, such as hst or capital gains tax., q10. does a clause in the schedule regarding the occupancy phase need to be included, q11. what happens to the original commission that was to be paid on closing, q12. who pays the land transfer tax, q13. what about house trailers in a park where the land is leased does the landowner have the right to know of a pending assignment, q14. what happens if the builder delays does the assignee have the same choices, q15. can the assignee and assignor use the same lawyer, q16. should one be concerned when the assignment is to a corporation i.e. limited liability, q17. once the assignment has been executed and completed and deposits have been paid, is the original buyer free and clear of all liability, q18. does the assignor need the service of a lawyer, q19. can the assignee pay deposit monies and balance monies when the assignment agreement is closed (original assignment closing date), form #801 offer summary document, q1. is form #801 needed for an offer to lease residential, q2. why doesn’t the seller sign a form #801, q3. what happens in a multiple offer scenario, q4. how does the buyer do a counter offer and not see the seller info, q5. if this document is for the listing brokerage side to satisfy the legislation, why are so many buyer brokers so adamant about having a signed copy returned, q6. what if the listing is offering limited service to the seller, does the seller’s brokerage have to retain a copy of each offer or a copy of form #801, q7. can a listing brokerage fill this out for all offers submitted to their office, q8. so many listings state “form 801 must accompany all offers.” if there is only one offer, why are they insisting on this form, q9. is a listing agent required to disclose how many offers were received to non-participants if the offer’s registered, q10. must each sign back have a new form, q11. what if my client doesn’t want to provide his name etc. prior to the listing being presented would it not suffice that i send an e-mail saying i have the offer, and provide form #801 if and when there are multiple offers, q12. if the buyer’s agent asks how many offers were received and requests copies of all the form #801s, should the listing agent send them to the buyer’s agent, or does the buyer’s agent have to send a request to reco, q13. if the buyer has not signed form #801, can it be used as the summary record, q14. can a listing brokerage demand a form #801 from a brokerage working with a buyer submitting an offer, q15. does the listing brokerage have to disclose all offers to all registrants, q16. can office policy mandate the use of form #801, q17. if the listing brokerage asks for form #801 and the buyer brokerage fills it in, and then if a counter offer is submitted by both the seller and buyer, respectively, who has to fill in and sign form #801, q18. what is the purpose of having the seller’s contact information, q19. why is form #801 one-sided why is one not created when offers are presented by the seller, q20. if sign backs are considered new offers, and form #801 is one way, what form does the listing representative use when signing back, q21. what if the original and counters offers were done on the same copy do you need to photocopy the offer between counters, q22. does one copy of the offer, with all changes made, meet the requirement, q23. there isn’t enough room to write in all of the sign backs. form #801 only allows for one counter offer. if the offer goes back and forth more than two times, where do we write in the additional sign backs, q24. can a sales person say that they do not have an offer but have been advised that one is being prepared, q25. if i have a listing that only gets one offer and it’s accepted then technically i have a copy of the offer on file. do i still need a form 801, q26. if you are the listing agent and you have a signed offer from a buyer client, is form #801 sufficient or do you need both form #801 as well as copies of every offer and counter offer, q27. what if the co-operating salesperson refuses to submit the form, q28. if reco is contacting the listing brokerage to follow up on complaints then why is the seller’s contact information required on form #801, q29. are inquiries anonymous or transparent, q30. what recourse does a buyer agent have if it’s revealed that the number of actual offers doesn’t match what is in a brokerage file, q31. how are you guaranteed that your offer has been presented, q32. why does the buyer’s representative need access to the seller’s e-mail address, phone number etc., q33. why could you not use form #109 instead of 801, q34. how long has this form been in effect, q35. how many offers do you count if you have an offer with 4 renditions, q36. i am an owner of a small brokerage. when we receive offer(s), can we just keep these copies of the offers as opposed to form #801, q37. how can we ask the listing agent to have the seller sign or acknowledge form #801, q38. is a counter offer from the seller not considered an offer, q39. if the offer is accepted do you have to keep all the copies, q40. after form #801 is completed by the seller's rep does the buyer's rep need a copy of the form, q41. what if the buyer broker refuses to submit the form, q42. if an offer is not accepted by the seller, does the buyer’s rep need to keep a copy of form #801 or is the rejected offer sufficient, q43. can i provide my own e-mail address in the seller’s contact information section, q44. what happens if the seller does not want their contact info to be included on the form, q45. under the legislation can a salesperson say to a buyer’s broker that they do not have an offer in hand yet but have been advised that one is being prepared, q46. if you are presenting an offer at a home with no access to a photocopier/scanner how can a brokerage for a seller keep a copy of the offer received, q47. i was told that if you double end your own listing you need both form #801 and a full copy of ever offer/counter offer. is this correct, q48. can a buyer request that there be no record of their unaccepted offer, stickhandling offers, q1. does there need to be a trust deposit disclosure in an offer (usually in a schedule b), q2. if you put the client’s “what if an offer comes earlier” direction in writing in regards to pre-emptive offers and a pre-emptive offer comes forward, is it true you don't have to call all the other buyers, as long as this is stated in the listing, q3. do we keep the fact of a pre-emptive offer from our sellers, q4. what do you do if the pre-emptive offer expires before the published offer date, q5. do we withhold the fact that someone has brought in a pre-emptive offer until the written presentation date and time, q6. please clarify the obligation to inform others if one of the multiple offers is from the listing brokerage buyer client. should i do this every time or only if there is a benefit to the seller (financial or other), q7. if there is an illegible agreement of purchase and sale and i am redoing an offer, which date should be used - the date on the original agreement of purchase and sale or the date when the newly created offer is signed, q8. if there is only one offer do we need to use form #801, q9. when presenting an offer in multiple offer situations, whose property is the offer does the co-operating salesperson have to leave his offer open and/or on the table with the seller i have a seller that is taking their full time considering an offer from a buyer, but i am concerned regarding my buyer client’s privacy and about the listing brokerage shopping the offer to the competing offers., q10. does the listing salesperson have to disclose that they have received any offers in the past that were not accepted, q11. can a buyer still retract their offer if the co-operating salesperson delivers a form #801 to provide proof of an offer to the listing salesperson/brokerage, q12. how does form #801 play into disclosing to the listing salesperson offer details such as irrevocability and buyer’s name does it mean the listing office can't disclose any offer details to any other party, q13. if you are the listing salesperson and you have an offer on "sign-back" (from a seller to the buyer) do you have to advise the "sign-back" offer buyer/co-operating agent if you receive another offer in the meantime especially, considering that the second offer could be higher than the sign-back offer, q14. can you refuse someone from entering an open house if they refuse to sign the open house registration, q15. the trend today seems to be that homes are listed a bit under market value to attract a bidding war and top dollar for the sellers. a seller asked me the other day "but what if we list under market value and only get one offer and at asking price" can the seller refuse to accept an offer presented at full price, q16. what is the best form to disclose to a client particulars and or brokerage/salesperson agreement of a collateral agreement, q17. i am concerned regarding a brokerage shopping an offer to the competing salesperson and offers. a listing salesperson specifically approached me and said the other salesperson was calling his client to change his offer. he then asked me if i would change mine., q18. when a firm offer is presented and accepted, could the buyers still be able to do an inspection for their own purposes could the seller or sellers’ agent discourage the inspection after the firm offer has been accepted, using e-signatures with integrity, q1. which electronic software is best to use, q2. is there an e-signature consent form, q3. is there a standard e-signature clause in the pre-set section of the agreement of purchase and sale or listing agreement, q4. should an e-signature clause be inserted in an agreement of purchase and sale, q5. if the e-signature software includes a consent page prior to opening or signing the document does that cover getting consent or does a clause also need to be used in the agreement, q6. is a witness signature required with electronic signatures, q7. can software such as adobe acrobat be used to obtain e-signatures along with a clause in the agreement or is it mandatory to use a document signing service, q8. are varied font electronic signatures, created by the electronic signature software providers, acceptable, q9. are the licenced third party providers found on the orea website the only companies that are acceptable to use for e-signatures, q10. are there any hands on courses available to learn how to use electronic signatures, q11. i am not certain if my brokerage has an e-signature use policy, can i go ahead and use e-signature software if they do not have a policy, q12. is it acceptable to use a tablet for electronic signature for an agreement of purchase and sale, q13. if the e-signature software embeds the date/time along with the signature on the signature line of an orea form, does that mean that the "date field" on the orea form can be left blank, q14. how can a paper trail be followed if emails are not used to obtain signatures, q15. are lenders or lawyers balking at e-signed documents, q16. can another brokerage sales representative make it mandatory for my clients to use electronic signatures in an offer.

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Assignment Agreements

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What is an Assignment?

When one party transfers their right on one property to another, it is known as an assignment. There are two types of assignment, legal and equitable. Contact us for Assignment Agreements.

If we look at a contract, one party (the assignor) can transfer their right under a contract to a third party (the assignee). The assignor does not need the other party’s consent in the contract as per the express terms and conditions of the contract.

While rights under a contract can be assigned, obligations under the contract cannot be transferred to a third party. Novation is the only method to transfer obligations.

What Are the Legal Implications of An Assignment?

As per the clauses outlined in the Law of Property Act 1925, legal or debt benefits can be assigned to another person. For a legal assignment, there are few requirements:

• Benefits under an agreement can be assigned
• Assignment should be absolute
• The rights under the debt to be assigned should be fully identifiable and whole and should not relate to any parts
• The assignor needs to sign the agreement, and the assignment should be in writing
• All parties to the assignment should receive notice of the assignment

What are Property Assignments?

Any legal sales transaction is an assignment where the assignor (original purchaser) of the property transfers their rights and obligations under the contract to the new assignee (purchaser). In simple terms, the new assignee pays a fee for purchasing the desired property.

The assignment is considered to take place from the original agreement of sale between the original purchaser and developer. The assignment happens before the property is completed.

The assignee assumes all the obligations and duties of the assignor. The original agreement of sale includes these duties and obligations such as included items, deposits, required disclosure statements, and completion date.

The assignee is granted title to the property once the property gets completed. All assignment fees are borne by the original purchaser and are charged by the developer.

The legal owner of the property is the developer till the transfer of title happens legally on completion of the property. For all assignment transactions, the developer needs to give written consent.

How can assignments from builders be done for Pre-Construction Condos?

Before project completion, many investors end up selling their builder agreement properties. The assignment is when the purchaser-investor’s interest in the builder agreement of purchase and sale is transferred to a new buyer or assignee.

Builder’s written consent is required before an assignment can take place by the purchaser-investor. Many builders can also withhold the assignment clause as per their agreement.

Whether you are moving into the property or purchasing a condo for investment, it is advisable to get the agreement reviewed by a real estate lawyer. You can understand your options and request an amendment to the agreement of purchase and sale to allow for future assignments.

Can an Assignment be done only for Pre-Construction Condos?

Any type of property can be assigned to a person, whether it is a resale or a pre-construction one. There should not be any restrictions against assignment in the original contract for the assignment to be possible.

How Can Consent from Builder be Received?

Builder’s requirements, process, and fees should be determined once the buyer confirms that they possess the right to assign the agreement as per the contract. If the agreement prohibits assignment and the builder refuses to allow them, the original buyer will have to wait to sell the property after closing. In many circumstances, the builder’s consent to agreement assignment can be obtained even if such consent was not present in the original contract. Many builders waive the assignment prohibiting clause from the agreement once builder specified criteria and forms with fees are followed.

The sales office can help in determining if the builder can provide consent and under what conditions. Different builders have a varying set of processes on the assignment of their properties.

What are the Salient Features of the Assignment Process?

• The buyer takes over the assignment agreement and pays the adjustments to the builder at the time of closing. New and original buyers may split the adjustments if that is decided as per the agreement
• Assignment fees are typically paid by the original buyer to the builder
• In the original contract, the buyer has paid deposits to the builder. Once the contract gets assigned to the new buyer, they also take over the deposits. In most cases, the original buyer gets their deposits back once the builder gives their signed consent to the assignment of property to the new buyer.
• The original buyer gains by the difference of funds at the time of final closing.
• The closing of the transaction is dependent on the construction level of the condo unit. The buyer can occupy the unit once the occupancy closing takes place. Once the occupancy closing is done, once the builder signs the consent to an assignment, the final closing date can be set.
• The new buyer is responsible for paying the occupancy fees from the date of the property being occupied.

What Are the HST Implications of The Purchase of A Newly Built Residential Property On Assignment From A Builder?

The purchase price on the Agreement of Purchase and Sale with the Builder is already inclusive of HST and an HST New Housing Rebate. However, there are some cases where the Builder will not credit the HST New Housing Rebate on closing as a result of an Assignment, despite the eligibility of the Assignee/Purchaser for the Rebate. If you are buying on Assignment and the Builder does not credit you the HST New Housing Rebate, you will need to pay the same to the Builder as an Adjustment on final closing.

To recover your HST New Housing Rebate, you will need to apply for the HST New Housing Rebate yourself after final closing with the Builder. To be eligible for the same, you will need to have acquired the property to move into the property and that you will have actually moved into the property after closing with the Builder. Please note that if the Assignor had used the property for rental purposes after taking possession on occupancy, it will affect your eligibility for the HST New Housing Rebate and it is important to ensure the Assignor has not done so.

If you are buying on Assignment for investment purposes, you will need to obtain an HST Rental Rebate by entering into a lease to a Tenant to move into the property for at least a one-year period and apply for the HST Rental Rebate within 2 years of your final closing.

You are advised to speak to a real estate lawyer about the HST Rebate applicable to your Assignment purchase.

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Our Mississauga Real Estate Lawyers are available for a consultation. Come and experience the quality legal counsel and personalized care we give to each client. We ensure prompt communication and a professional approach to achieve successful outcomes for you. Contact us for Assignment Agreements.

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Central Forms Repository (CFR)

• Ministry of Municipal...
• Residential Tenancy...
• English - Residential...

English - Residential Tenancy Agreement...

URL: https://forms.mgcs.gov.on.ca/dataset/edff7620-980b-455f-9666-643196d8312f/resource/05677ea2-3173-4c0e-9a14-7a06cbcb41b9/download/2229e_standard-lease_static.pdf

Static, dated 2020/12

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