Subleasing
The concept of subleasing may involve transferring the right of use to another tenant, or it may involve assigning the entire property or a portion of it to another tenant, provided that such assignment does not result in a change that would cause harm to the landlord.
However;
-In residential and commercial property leases, a tenant may not sublease the leased premises to another party or transfer the right of use without the landlord’s written consent.
-Furthermore, if a subtenant who has acquired the leasehold right from the principal tenant uses the leasehold right in a manner different from that accepted by the principal tenant, the tenant shall be fully liable to the landlord. In such a case, the landlord may also exercise the rights they hold against the tenant against the subtenant or the person who has acquired the right of use.
When a sublease relationship is established, if the right of use is transferred, the parties to the lease agreement do not change, but the tenant’s right of use is transferred to another party.
As noted above, the law requires that subleasing and the transfer of the right of use in lease agreements for residential and enclosed commercial premises be done with the landlord’s consent.
.
Furthermore, the relevant legal provision states that the subtenant is directly liable to the landlord, and the landlord may exercise the rights they hold against the tenant against the subtenant, while the subtenant may also exercise the rights they hold against the landlord.
In lease agreements subject to general provisions, if the assignment of subleasing and usage rights is not contingent on the landlord’s approval, but the parties have included a prohibition on assignment in the contract and the rights are nevertheless assigned to another party, this constitutes a breach of contract.
The landlord may refuse to give consent. The lessor’s obligation to approve the transfer of the lease relationship has created an exception in the law specifically regarding commercial leases. In other words, the lessor may refuse to grant approval only if they can provide a valid reason for refusing to lease the premises.
Example:
The transferee’s lack of financial stability, etc.
There are two lease relationships in a sublease agreement.
>The first is the main lease agreement between the original tenant and the new tenant (the first tenant).
The second is the lease agreement between the tenant (the first tenant) and the third party (the second tenant) who subleases the premises.
Th e first tenant’s liability to the landlord does not end with the establishment of the second agreement. For example, if the second tenant causes damage to the tenant, the first tenant will be liable for such damages.
Under a sublease agreement, the tenant is obligated to pay the rent to the lessor of the second agreement (the primary lessor).
However, the lessor of the first agreement (the primary lessor) cannot compel the sublessor to pay the rent directly to them.
Even if the lessor of the first contract (the principal lessor) and the tenant of the second contract (the subtenant) have agreed that the rent should be paid to the subtenant, the tenant of the second contract does not relieve the lessor (the principal lessor) of the obligation to pay the rent.