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Back Rent Payment Agreement

Back Rent Payment Agreement Template for Germany

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Key Requirements PROMPT example:

Back Rent Payment Agreement

"I need a Back Rent Payment Agreement for a commercial tenant who owes 6 months of rent (€45,000 total) and has agreed to pay in monthly installments over 18 months starting March 2025, with a guarantor from their parent company."

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Document background
The Back Rent Payment Agreement is a crucial document used in German property management when tenants have accumulated rent arrears but demonstrate willingness and capability to settle their debt through a structured payment plan. This document, governed by German law and particularly the BGB (German Civil Code), serves as a formal arrangement between landlords and tenants to resolve rent payment defaults while maintaining the tenancy relationship. It's typically employed to prevent eviction proceedings and provide a mutually beneficial solution for debt recovery. The agreement includes essential elements such as debt acknowledgment, payment scheduling, default provisions, and potential securities, all while ensuring compliance with German tenant protection laws and civil code requirements. It's particularly relevant in both residential and commercial contexts where maintaining the tenant relationship while securing outstanding payments is desired.
Suggested Sections

1. Parties: Identification of the landlord and tenant, including full legal names, addresses, and any registration numbers for legal entities

2. Background: Context of the rental relationship, reference to the original lease agreement, and circumstances leading to the rent arrears

3. Definitions: Key terms used throughout the agreement, including 'Back Rent', 'Payment Plan', 'Due Date', and other relevant terms

4. Acknowledgment of Debt: Formal acknowledgment of the exact amount owed, breakdown of the arrears, and confirmation of the debt calculation

5. Payment Terms: Detailed payment plan including installment amounts, payment dates, payment methods, and account details

6. Default Provisions: Consequences of missing payments, including acceleration clauses and default interest as per BGB §§286-288

7. Effect on Existing Lease: Confirmation that the original lease remains in force and this agreement is supplementary

8. Representations and Warranties: Statements by both parties confirming their authority and capacity to enter into the agreement

9. Governing Law: Confirmation that the agreement is governed by German law and reference to relevant BGB provisions

10. Signatures: Execution blocks for all parties, including date and place of signing

Optional Sections

1. Security Provisions: Additional security measures such as deposits or guarantees, used when there's concern about future payment compliance

2. Third-Party Guarantor: Details of any guarantor providing additional security for the payment plan, included when a guarantor is part of the arrangement

3. Hardship Provisions: Provisions for adjusting the payment plan in case of demonstrated financial hardship, useful for longer-term payment plans

4. Early Payment Provisions: Terms for early repayment of the debt, including any applicable discounts, included when early payment is encouraged

5. Mediation Clause: Procedure for resolving disputes through mediation before legal action, recommended for higher-value agreements

6. Reporting Obligations: Requirements for the tenant to provide periodic financial information, used in cases of significant debt or extended payment periods

Suggested Schedules

1. Schedule A - Rent Arrears Calculation: Detailed breakdown of the outstanding rent, including dates, amounts, and any applicable interest

2. Schedule B - Payment Schedule: Detailed calendar of payment dates and amounts, including running balance

3. Schedule C - Original Lease Reference: Extract or copy of relevant sections from the original lease agreement

4. Appendix 1 - Payment Methods: Details of accepted payment methods and processing information

5. Appendix 2 - Notice Forms: Template forms for payment confirmations and default notices

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok³ÉÈË°æ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

alex.den.21@genieai.co
Relevant legal definitions



































Clauses






























Relevant Industries

Real Estate

Property Management

Residential Housing

Commercial Property

Legal Services

Property Investment

Property Development

Social Housing

Student Accommodation

Retail Property

Relevant Teams

Legal

Property Management

Real Estate Operations

Tenant Relations

Collections

Finance

Compliance

Asset Management

Facilities Management

Risk Management

Accounts Receivable

Relevant Roles

Property Manager

Real Estate Manager

Legal Counsel

Tenant Relations Manager

Property Administrator

Lease Administrator

Collections Manager

Asset Manager

Housing Officer

Facility Manager

Real Estate Attorney

Compliance Officer

Property Portfolio Manager

Building Manager

Accounts Receivable Manager

Industries







Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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