For a homeowner, it is important to plan ahead. When awarding a new lease or the agreement to assign a lease to a partnership, the most practical solution for a lessor is for the partnership to create a company that enters into or accepts a contract. Each partner is allocated a share of the company and each partner (or a significant number of partners) offers the lessor a collective guarantee. The collective guarantee is essential because the company created to keep the lease will not have Covenant strength. In case of restructuring of the partnership, the lease agreement is not necessary, since the company`s vehicle remains a tenant – it would be enough to transfer the shares of the service company. A lessor must ensure that any liability for destructuring is included in the new lease agreement and that the tenant`s obligation extends to the elimination of changes made during the term of the previous lease and the new lease. Tenants must also take into account the sdlt effects of a discount and reissue in these circumstances. Evaluated by Rocket Lawyer On Call Attorney Samuel Brotman, Esq Going into business with one or more partners? A limited partnership defines the terms of your partnership and helps protect the success of your future business. With an understanding between you and your partners of your property rights and commitments, you can once again work together towards your business goals.