What Is A Property Licence Agreement?

It’s likely that your business has heard of or come across Lease Agreements, which allows you to use certain premises for your business. This might involve shared office spaces, movable homes or holiday rentals. However, it’s not the best arrangement for everyone. 

So, a flexible alternative to a lease agreement is a Property Licence Agreement. This allows you to access property on certain agreed terms. 

What Is The Difference Between A Property Licence Agreement And A Lease Agreement?

You might be wondering, ‘What makes a Property Licence Agreement different to a Lease Agreement?’

Well, the answer here is relatively simple. A licence agreement is more flexible than a lease agreement. It can easily be varied and terminated, and isn’t subject to as many regulations as a lease in New Zealand. 

However, this comes at a cost. It also means as the licensee, your right to the property isn’t as strong as if you were under a lease in New Zealand. 

So, before you decide which option to go with, it’s important to think about the degree of flexibility you’re after and your ability to enforce the agreement if issues were to arise within the context of New Zealand law. 

It also means you need to carefully draft the right Property Licence Agreement so that your rights and obligations are clear for all parties under New Zealand law. 

Where Can I Get A Property Licence Agreement?

At Sprintlaw, we offer a Property Licence Agreement package that has you covered if you want to license property in New Zealand. It includes:

• A Property Licence Agreement tailored to your needs in New Zealand
• Phone consultations with one of our expert lawyers who can answer your questions about New Zealand property law
• A complimentary amendment to the final draft we provide to you

Next Steps

Having the right agreements in place is crucial to any business activity or set up process in New Zealand. This ensures that you’re covered and protected in case things go wrong, and clears up any ambiguity around parties’ roles and responsibilities depending on the arrangement you’d like. 

If you need help, Sprintlaw has a team of lawyers who are ready to assist you with a Property Licence Agreement in New Zealand. If you would like a consultation on your options going forward, you can reach us at 0800 002 184 or [email protected] for a free, no-obligations chat.

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