All contracts

Sublet Agreement

Key Points and English template

Use a Sublet Agreement if ...

… you are temporarily not using the business premises (or part of them) you are renting and have found a subtenant

… you have some spare room in your office space and have found a subtenant to fill the gap and pay part of the rent

Key Points included in a Sublet Agreement

Details of the parties to the sublet agreement
Conditions of use of the sublet property, including any restrictions contained in the main rental agreement
Conditions of the liability of the subtenant
Duration and term of the sublet agreement, including whether termination is at a fixed date or subject to notice

What is a Sublet Agreement?

Under a sublet agreement, the tenant of commercial property grants a subtenant the right to use the rented premises or part thereof against a rent, usually for a defined time.

It is widely used for a variety of commercial property, from industrial warehouses to office spaces.

The main tenant can optimize the use of the rented premises, when it is temporarily not using it, or some spare room has been freed to due to an unforeseen turn of events. The landlord, as a rule, may not object to the subletting of the rented property, unless it has good reason to do so. In practice, this could be the case when the subtenant, for example, makes a different use of the property or the tenant charges a higher rent than agreed under the main rental agreement.

Further, the main tenant is liable to the landlord for any damages arising out of the subletting.