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A Residential Subtenancy Agreement allows a Tenant, who has a lease to a residential property, to assign their rights in the property so that a new individual, called the Subtenant, can take over all or part of a property in their place. If the premises are to be occupied by someone else than the tenant for the remainder of the lease, then this is not a subtenancy but an assignment of the lease, for which a different type of document is required.
This Agreement can be used when the original Tenant will be gone from the property a portion of the remaining term under the original Lease agreement. If the original Tenant plans to be gone from the property for the remainder of the remaining term, then a different document called Residential Assignment Agreement is required. The Subtenant may pay rent to either the Landlord or the Tenant to take over the space the Tenant originally rented from the Landlord.
A Subtenancy Agreement is a legally binding contract between all interested parties, including the Tenant, the Subtenant, and the Landlord.
How to use this document
This Residential Subtenancy Agreement will help you detail all of the required rights and responsibilities necessary to sublease the property to a Subtenant. The document allows you to describe the property, arrange who will collect the rent payments, set the amount and frequency of rent payments, and specify whether or not the Subtenant will be required to pay a deposit to the Landlord. In addition, this document allows you to note if other details.
After filling the document, the Tenant and the Subtenant must sign the agreement, as well as the Landlord in all provinces except New Brunswick. In New Brunswick, the original Lease will state whether the Landlord must also sign the Subtenancy Agreement.
By signing the Subtenancy Agreement, the Subtenant is agreeing to be bound by all of the terms of the original Lease Agreement between the original Tenant and Landlord. Therefore, when signing the Subtenancy Agreement, it required that the Subtenant be in possession of a copy of the original Lease.
As with Lease Agreements, Subtenancy Agreements are subject to the laws of the provinces and territories.
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