The Lease Termination By Tenant agreement is a crucial document used in Hong Kong's property market when a tenant needs to end their lease before the originally agreed expiration date. This document is essential for both residential and commercial properties, providing a formal framework for early termination while ensuring compliance with Hong Kong's property laws, particularly the Landlord and Tenant (Consolidation) Ordinance. It includes detailed provisions for the termination process, covering aspects such as notice periods, property handover conditions, security deposit arrangements, and settlement of outstanding obligations. The agreement helps prevent future disputes by clearly documenting the terms of termination and mutual releases, making it vital for proper risk management in property dealings.
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1. Parties: Identification of the landlord and tenant, including full names, addresses, and any company registration details
2. Background: Brief recital of the original lease details, including date, property address, and current term
3. Definitions: Key terms used in the agreement, including 'Termination Date', 'Property', 'Original Lease', and 'Security Deposit'
4. Termination Agreement: Core agreement to terminate the lease, stating the agreed termination date and mutual consent
5. Security Deposit: Arrangements for the return of the security deposit, including timing and any deductions
6. Handover Requirements: Specific conditions for returning the property, including cleanliness standards and removal of belongings
7. Settlement of Accounts: Agreement on final utility bills, management fees, and other outstanding payments
8. Release and Discharge: Mutual release from future obligations under the original lease
9. Governing Law: Confirmation that Hong Kong law governs the agreement
10. Execution: Signature blocks and execution details for all parties
1. Reinstatement Works: Details of any required restoration work if the tenant has made alterations to the property
2. Furniture and Fittings: Required when dealing with furnished properties, detailing the inventory check and return process
3. Early Termination Fee: Include when there is a agreed compensation for early termination
4. Inspection Arrangements: Detailed process for final inspection if required by either party
5. Assignment of Contracts: Required when dealing with transfer or termination of linked contracts (e.g., utilities, maintenance)
6. Keys and Access Devices: Include when there are multiple sets of keys or special access devices to be returned
1. Schedule 1 - Property Details: Detailed description of the property including address and any included areas
2. Schedule 2 - Inventory List: List of furniture and fittings if property was furnished
3. Schedule 3 - Handover Checklist: Detailed checklist for property condition and cleaning requirements
4. Schedule 4 - Outstanding Payments: List of any pending payments or adjustments to be settled
5. Appendix A - Photographic Evidence: Photos documenting the property condition at termination
6. Appendix B - Utility Account Details: List of utility accounts to be closed or transferred
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