A Lease Security Agreement is commonly used in commercial leasing arrangements where additional security is required beyond standard lease provisions. This document establishes a security interest in favor of the landlord, securing the tenant's performance of lease obligations. Under English and Welsh law, it must be properly executed and registered where required by the Land Registration Act 2002. The agreement typically includes details of the secured assets, enforcement rights, and the relationship with the underlying lease. It's particularly important in high-value commercial leases or where the tenant's financial standing requires additional protection for the landlord.
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1. Parties: Identification of landlord, tenant, and any guarantors
2. Background: Context of the security agreement and reference to the main lease
3. Definitions: Key terms used throughout the agreement including 'Secured Obligations', 'Security Period', 'Security Assets'
4. Security Creation: Core provisions creating the security interest
5. Representations and Warranties: Statements about the security provider's capacity and authority
6. Covenants: Ongoing obligations regarding the secured assets
7. Enforcement: Rights and remedies upon default
8. Duration and Release: Term of security and conditions for release
1. Further Assurance: Additional actions required to perfect security when complex security arrangements are involved
2. Power of Attorney: Appointment of security holder as attorney where direct control might be needed
3. Assignment and Transfer: Rights to transfer the security interest where security might be traded
1. Schedule 1 - Secured Assets: Detailed description of assets subject to security
2. Schedule 2 - Form of Notice: Standard form notices to third parties
3. Schedule 3 - Security Provider Details: Corporate/individual details of security provider
4. Schedule 4 - Lease Details: Key information about the underlying lease
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