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Lease Buyout Agreement Template for Singapore

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Key Requirements PROMPT example:

Lease Buyout Agreement

"Need a Lease Buyout Agreement for our retail space at 123 Orchard Road, Singapore, where we're terminating our 5-year lease early on March 1, 2025, with a buyout payment of SGD 50,000 to be paid in two installments."

Document background
A Lease Buyout Agreement becomes necessary when a tenant needs to terminate their lease before its natural expiration date. Under Singapore law, this document establishes the mutually agreed terms for early termination, including compensation to the landlord, release of future obligations, and handling of security deposits. It protects both parties' interests by clearly documenting the termination conditions and ensuring compliance with Singapore's property and contract laws. The agreement is particularly relevant in changing market conditions or when tenants' circumstances require relocation.
Suggested Sections

1. Parties: Identification and details of all parties involved in the buyout

2. Background: Context of the existing lease and reasons for buyout

3. Definitions: Key terms used tHRoughout the agreement

4. Buyout Terms: Specific terms of the buyout including payment amount and timing

5. Release of Obligations: Mutual release of future lease obligations

6. Execution: Signing provisions and date of effect

Optional Sections

1. Property Inspection: Condition assessment provisions (use when property handover is involved)

2. Security Deposit: Terms for return of security deposit (if applicable)

3. Outstanding Charges: Settlement of pending utilities/maintenance charges (if any)

4. Third Party Consents: Required when landlord/mortgagee approval is needed

Suggested Schedules

1. Schedule 1 - Property Details: Detailed description of the leased property

2. Schedule 2 - Original Lease: Copy of the original lease agreement

3. Schedule 3 - Payment Schedule: Detailed breakdown of buyout payments (if installments involved)

4. Schedule 4 - Condition Report: Property condition assessment (if applicable)

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok³ÉÈ˰æ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions

























Clauses

























Industries

Civil Law Act (Cap. 43): Primary legislation governing contractual relationships and obligations in Singapore, including provisions about contract formation and enforcement

Conveyancing and Law of Property Act (Cap. 61): Legislation regulating property transactions and interests in land, particularly relevant for leasehold interests

Planning Act (Cap. 232): Legislation governing property zoning and usage, particularly relevant if the property involves commercial or specific zoning requirements

Residential Property Act (Cap. 274): Legislation governing residential property transactions, including restrictions on foreign ownership

Stamp Duties Act (Cap. 312): Legislation governing stamp duty requirements for property transactions and lease assignments

Contract Formation Requirements: Legal requirements including offer, acceptance, consideration, capacity to contract, and clear terms and conditions

Property Transfer Requirements: Legal requirements including proper documentation, registration requirements, and land authority approvals

Tax Implications: Financial considerations including stamp duty obligations and potential GST considerations

Notice Requirements: Legal obligations to notify existing landlord/tenant and relevant authorities

Existing Lease Obligations: Ongoing responsibilities including outstanding rental payments, maintenance obligations, and security deposits

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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