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Early Lease Termination Addendum

Early Lease Termination Addendum Template for Philippines

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Key Requirements PROMPT example:

Early Lease Termination Addendum

"I need an Early Lease Termination Addendum for a commercial office space in Manila, where my company needs to terminate our 5-year lease early on March 1, 2025, due to business relocation, and we need to include specific provisions about the return of our substantial security deposit and removal of installed office equipment."

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Document background
The Early Lease Termination Addendum is a critical document used in the Philippine real estate market when parties to a lease agreement mutually agree to end their lease arrangement before its scheduled expiration. This document is essential in both residential and commercial contexts, particularly when circumstances require an early exit from the lease commitment. The addendum must comply with Philippine Civil Code provisions and relevant property laws, including the Rent Control Act of 2009 for applicable residential properties. It typically includes specific details about termination dates, financial settlements, property handover requirements, and releases of future obligations. This document is particularly relevant in situations involving business relocations, personal circumstances requiring moves, or mutual agreements to end leasing arrangements early. The addendum serves to protect both parties' interests and provide a clear legal framework for the early termination process.
Suggested Sections

1. Parties: Identification of the Landlord and Tenant as named in the original lease agreement

2. Background: Reference to the original lease agreement, including its date and property details

3. Definitions: Key terms used in the addendum, including 'Early Termination Date' and 'Settlement Amount'

4. Early Termination Agreement: Mutual agreement to terminate the lease early and the specific termination date

5. Financial Settlement: Details of any termination fees, security deposit handling, and final rent payment

6. Vacation and Handover: Requirements for property inspection, keys return, and condition upon surrender

7. Release of Obligations: Mutual release of future obligations under the original lease post-termination

8. Governing Law: Confirmation that the addendum is governed by Philippine law

9. Execution: Signature blocks and execution requirements

Optional Sections

1. Utility Services: Instructions for handling utility transfers or final payments, used when utilities are in tenant's name

2. Outstanding Repairs: Address any pending maintenance or repair issues, used when there are unresolved property matters

3. Forwarding Address: Tenant's new address for future correspondence, used for security deposit return or final bills

4. Personal Property: Handling of any tenant belongings left behind, used when there's risk of abandoned property

5. Confidentiality: Terms keeping the early termination arrangements private, used in sensitive commercial situations

Suggested Schedules

1. Schedule A - Property Inspection Report: Detailed checklist of property condition at termination

2. Schedule B - Settlement Calculation: Breakdown of all financial settlements including prorated rent, fees, and deposits

3. Schedule C - Handover Inventory: List of items to be returned (keys, access cards, etc.)

4. Appendix 1 - Original Lease Agreement: Copy of the original lease agreement being terminated

5. Appendix 2 - Photographic Evidence: Photos documenting property condition at termination

Authors

Alex Denne

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

alex.den.21@genieai.co
Relevant legal definitions

























Clauses




















Relevant Industries

Real Estate

Residential Property

Commercial Property

Retail

Office Space

Industrial

Hospitality

Education

Healthcare

Manufacturing

Relevant Teams

Legal

Real Estate

Facilities Management

Property Management

Operations

Compliance

Asset Management

Contract Administration

Tenant Relations

Corporate Services

Relevant Roles

Property Manager

Real Estate Agent

Leasing Manager

Facilities Manager

Legal Counsel

Property Administrator

Asset Manager

Building Manager

Contract Administrator

Real Estate Operations Manager

Tenant Relations Manager

Corporate Real Estate Manager

Compliance Officer

Real Estate Director

Housing Administrator

Industries





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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