Example of clause regarding Estoppel Certificates (i.e. a statement certifying that this Lease is unmodified and in full force and effect OR if there have been modifications). Failure of Tenant to timely execute, acknowledge and deliver such estoppel certificate or other instruments shall constitute an acceptance of the Premises and an acknowledgment by Tenant that statements included in the estoppel certificate are true and correct, without exception.
Usually, they’re valid for a short while, often until a specific transaction closes. It's best to check the terms because they can vary.
Think of it as a safety net! It helps prevent misunderstandings and keeps all parties accountable by confirming the lease deal.
While you can say no, keep in mind that it might raise red flags for the buyer or lender, potentially causing some bumps down the road.
It typically includes details like the lease start and end dates, if there are any outstanding payments, and any agreements made that could affect the property.
Usually, it’s the landlord or the property manager who provides this certificate to confirm things like payment status and lease terms.
You’d need one to show that the lease terms are legit, which can help avoid any nasty surprises when you're stepping into new ownership or a lease transfer.
An Estoppel Certificate is a fancy way of saying it's a document that confirms certain facts about a lease or property to ensure everybody's on the same page.