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ARTICLE · 06 MAY 2008

How To Avoid Little-Noticed Traps In Subleasing

Blake, Cassels & Graydon LLP
Blake, Cassels & Graydon LLP
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Subleases are far from being a new concept in leasing, but recent cases have highlighted the subtle differences of a sublease from a standard commercial lease.

CanadaReal Estate and Construction
Blake, Cassels & Graydon LLP
Blake, Cassels & Graydon LLP
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Copyright 2008, Blake, Cassels & Graydon LLP

Originally published in Blakes Bulletin on Real Estate Leasing, April, 2008

Subleases are far from being a new concept in leasing, but recent cases have highlighted the subtle differences of a sublease from a standard commercial lease. Sublandlords and subtenants should keep these thoughts in mind as they navigate the potential traps of sublease negotiations.

The Term

Perhaps the most commonly understood difference between an assignment and a sublease is that a sublease is a conveyance of less than everything the sublandlord has under the head lease. Typically this takes the form of reserving the last day of the term to the sublandlord.

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