The Lease Guarantor Form is a crucial document in Dutch property leasing arrangements, commonly used when additional security is required beyond the tenant's own covenant. This document becomes necessary in various situations, such as when dealing with new businesses, students, or tenants with limited credit history. The form, governed by Dutch law, establishes a legally binding commitment from a third party (the guarantor) to fulfill the tenant's obligations if they default. The document must comply with specific requirements under the Dutch Civil Code (Burgerlijk Wetboek), particularly regarding formation of guarantee agreements and consumer protection provisions. It typically includes detailed provisions about the scope of the guarantee, maximum liability, duration, and enforcement procedures, ensuring clarity and legal certainty for all parties involved.
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1. Parties: Identification of all parties: the Landlord (verhuurder), Tenant (huurder), and Guarantor (borg), including full legal names, addresses, and registration details if applicable
2. Background: Context of the guarantee, referring to the main lease agreement and explaining why the guarantee is required
3. Definitions: Key terms used in the document, including 'Guaranteed Obligations', 'Lease Agreement', 'Guarantee Period', and other relevant terms
4. Scope of Guarantee: Detailed description of the obligations being guaranteed, including rent, service charges, damages, and other financial obligations under the lease
5. Duration of Guarantee: The term of the guarantee, including start date and end date or conditions for termination
6. Guarantor's Obligations: Specific commitments and responsibilities of the guarantor, including payment obligations and timing
7. Maximum Liability: Clear statement of the maximum amount the guarantor may be liable for
8. Enforcement Process: Process and conditions under which the guarantee can be called upon
9. Notices: Requirements for formal communications between parties
10. Governing Law and Jurisdiction: Confirmation of Dutch law application and jurisdiction for disputes
1. Corporate Authority: Required when the guarantor is a company, confirming their authority to provide the guarantee
2. Multiple Guarantors: Additional provisions needed when there is more than one guarantor, defining joint and several liability
3. Bank Guarantee Alternative: Option for the guarantor to provide a bank guarantee instead of a personal/corporate guarantee
4. Guarantor Financial Statements: Requirements for periodic submission of financial information, typically used for corporate guarantors
5. Step-in Rights: Optional rights for the guarantor to take over the lease in case of tenant default
6. Currency Provisions: Required when rent payments are in a currency other than Euro
7. Index-Linked Adjustments: Provisions for adjusting the guarantee amount in line with rent increases
1. Schedule 1 - Main Lease Terms: Summary of the key terms from the main lease agreement that are relevant to the guarantee
2. Schedule 2 - Guarantee Amount Calculation: Detailed breakdown of how the guarantee amount is calculated
3. Schedule 3 - Form of Demand: Template for making a formal demand under the guarantee
4. Appendix A - Copy of Lease Agreement: Attached copy of the main lease agreement being guaranteed
5. Appendix B - Guarantor's Corporate Documents: If applicable, corporate registration documents and authority verification for corporate guarantors
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