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Fixed Term Tenancy Agreement Template for Malaysia

A comprehensive legal document governed by Malaysian law that establishes a fixed-term rental arrangement between a landlord and tenant. This agreement outlines specific terms and conditions for property rental, including rent amount, duration, maintenance responsibilities, and other obligations of both parties. It incorporates relevant provisions from Malaysian legislation, including the National Land Code 1965 and Contracts Act 1950, while ensuring compliance with state-specific property regulations and stamp duty requirements.

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What is a Fixed Term Tenancy Agreement?

The Fixed Term Tenancy Agreement serves as a crucial legal instrument in Malaysian property transactions, providing a structured framework for temporary property occupation. This document is essential when establishing a defined rental period for residential or commercial properties in Malaysia, typically ranging from 6 months to 3 years. It encompasses all necessary elements required under Malaysian law, including precise property details, rental terms, maintenance obligations, and termination conditions. The agreement ensures compliance with relevant Malaysian legislation while protecting both landlord and tenant interests through clearly defined rights and responsibilities. It's particularly important in Malaysia's diverse property market, where different state jurisdictions may have specific requirements that need to be incorporated into the agreement.

What sections should be included in a Fixed Term Tenancy Agreement?

1. Parties: Identification and details of the landlord and tenant, including full names, identification numbers, and addresses

2. Background: Brief context of the agreement and confirmation that the landlord owns the property and wishes to let it to the tenant

3. Definitions: Definitions of key terms used throughout the agreement

4. Demised Premises: Detailed description of the property being rented, including address and specific inclusions

5. Term and Possession: Duration of the tenancy, commencement date, and possession details

6. Rent and Payment Terms: Rental amount, payment schedule, method of payment, and late payment consequences

7. Security Deposit: Amount, payment terms, and conditions for return of the security deposit

8. Utilities and Outgoings: Responsibility for utility payments, maintenance charges, and other ongoing expenses

9. Tenant's Covenants: Obligations and responsibilities of the tenant during the tenancy

10. Landlord's Covenants: Obligations and responsibilities of the landlord during the tenancy

11. Insurance: Requirements for insurance coverage by both parties

12. Termination: Conditions and procedures for ending the tenancy

13. Notices: Process and requirements for serving notices between parties

14. Governing Law: Specification of Malaysian law as governing law and jurisdiction

What sections are optional to include in a Fixed Term Tenancy Agreement?

1. Option to Renew: Terms for renewal of the tenancy, used when parties want to include a pre-agreed option to extend the lease

2. Break Clause: Provisions allowing early termination under specific circumstances, included when flexibility is desired

3. Guarantor: Details and obligations of a guarantor, used when additional security is required

4. Subletting and Assignment: Provisions regarding subletting rights, included when relevant to the property type or tenant circumstances

5. Quiet Enjoyment: Additional provisions for tenant's peaceful occupation, sometimes included for premium properties

6. Special Conditions: Any unique terms specific to the property or tenancy arrangement

7. Force Majeure: Provisions for unforeseen circumstances, increasingly common post-COVID

8. Pet Clause: Specific provisions regarding keeping pets, included when relevant

What schedules should be included in a Fixed Term Tenancy Agreement?

1. Schedule 1 - Property Inventory: Detailed list of furnishings, fixtures, and fittings included in the tenancy

2. Schedule 2 - Property Condition Report: Detailed description of the property condition at the start of tenancy

3. Schedule 3 - House Rules: If applicable, specific rules for the property, especially important for managed buildings

4. Schedule 4 - Utilities Reading: Initial meter readings for utilities at the start of tenancy

5. Appendix A - Photos: Photographic evidence of property condition

6. Appendix B - Floor Plan: Layout and measurements of the property

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok成人版 | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents

Jurisdiction

Malaysia

Document Type

Lease Agreement

Cost

Free to use

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