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Guarantee Lease Agreement

Guarantee Lease Agreement Template for Malaysia

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Key Requirements PROMPT example:

Guarantee Lease Agreement

"I need a Guarantee Lease Agreement for a commercial warehouse in Penang, Malaysia, with a corporate guarantor and specific provisions for heavy machinery storage, starting from March 2025 with a 5-year term."

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Document background
The Guarantee Lease Agreement is essential in Malaysian property transactions where additional security is required beyond standard lease arrangements. This document is typically used when a landlord seeks extra assurance of rent payment and lease compliance, particularly in commercial leases or when dealing with new businesses or tenants with limited credit history. The agreement incorporates both standard lease provisions under Malaysian law and specific guarantee clauses where a third party (guarantor) commits to fulfilling the tenant's obligations if they default. It combines elements of the National Land Code 1965, Contracts Act 1950, and relevant property legislation, making it a robust instrument for property management and risk mitigation. The document is structured to protect all parties' interests while ensuring enforceability under Malaysian jurisdiction.
Suggested Sections

1. Parties: Identifies the landlord, tenant, and guarantor with their full legal names and addresses

2. Background: Outlines the context of the agreement, including the property details and the purpose of the guarantee

3. Definitions: Defines key terms used throughout the agreement

4. Demise: Details of the property being leased and the term of the lease

5. Rent and Payment Terms: Specifies rent amount, payment schedule, and method of payment

6. Tenant's Covenants: Lists all obligations and promises made by the tenant

7. Landlord's Covenants: Lists all obligations and promises made by the landlord

8. Guarantee Provisions: Details the scope and extent of the guarantee, including the guarantor's obligations

9. Default and Remedies: Specifies what constitutes default and the available remedies

10. Termination: Conditions and procedures for ending the lease and guarantee

11. Notices: Specifies how formal communications between parties should be made

12. Governing Law: Confirms Malaysian law as governing law and jurisdiction

13. Execution: Signature blocks for all parties

Optional Sections

1. Security Deposit: Include when additional security deposit is required beyond the guarantee

2. Insurance: Include when specific insurance requirements are imposed on tenant or guarantor

3. Assignment and Subletting: Include when transfer rights need to be specifically addressed

4. Maintenance and Repairs: Include when specific maintenance obligations need detailed explanation

5. Utilities and Services: Include when responsibility for utilities needs to be clearly defined

6. Force Majeure: Include when protection against unforeseen events is required

7. Option to Renew: Include when lease renewal terms are offered

8. Break Clause: Include when early termination options are provided

Suggested Schedules

1. Schedule 1 - Property Description: Detailed description of the leased property including floor plans and boundaries

2. Schedule 2 - Rent Schedule: Detailed breakdown of rent payments, including any scheduled increases

3. Schedule 3 - Permitted Use: Specific details about how the property may be used

4. Schedule 4 - Inventory: List of fixtures, fittings, and furniture included in the lease

5. Schedule 5 - Service Charges: Breakdown of any additional service charges or maintenance fees

6. Appendix A - Form of Notice: Template for formal notices between parties

7. Appendix B - Rules and Regulations: Building or property rules and regulations

8. Appendix C - Guarantee Enforcement Procedures: Detailed procedures for enforcing the guarantee

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

Commercial Property

Retail

Industrial

Residential Property

Banking & Finance

Hospitality

Office Space Management

Manufacturing

Warehousing

Relevant Teams

Legal

Real Estate

Property Management

Facilities Management

Risk Management

Compliance

Operations

Asset Management

Contract Administration

Tenant Relations

Relevant Roles

Property Manager

Legal Counsel

Real Estate Manager

Leasing Manager

Contract Administrator

Facilities Manager

Risk Manager

Property Director

Commercial Lease Administrator

Tenant Relations Manager

Asset Manager

Legal Operations Manager

Compliance Officer

Real Estate Director

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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