This document is a deed for the assignment of leased equipment. 

This agreement would be made where a business that leases equipment is sold. This agreement will be made between the assignor, assignee and the lessor.

This document can be used for multiple pieces of equipment, provided that they are all leased from the same lessor.  Where there are different lessors, a separate agreement will be required.

This deed provides that, upon the date of the assignment, the assignor is released from obligations under the lease. Practitioners may need to also consider whether there are any conditions document to this agreement becoming effective, such as the completion of the business sale.

Practitioners will also need to consider whether there are any other parties to consent, such as a mortgagor, and regard should also be had of the Personal Property Securities Register. 

Using this precedent

This document will serve as a guide to the sorts of matters which will need to be considered by parties and their advisers when assigning a property lease. Practitioners should consider the specific facts relevant to each case. In particular, tax implications (particularly stamp duty and income tax) will affect a large number of aspects of the transaction, and these should be the subject of separate consideration in each case.

This document has been authored for LexisNexis  by Rosalyn Gladwin, Principal, Gladwin Legal.

This document is prepared with the assistance of Specialist Editor Murray Landis, Partner, K&L Gates.