A sublet contract is a rental agreement between a renter and a third party. Such an agreement does not generally link the property owner with the third party, which can create a substantial amount of risk for the original renter, who acts in a similar capacity as a middleman. Some property owners forbid subletting, but others may present it as the only option for people who want relief from a current lease.
When a person rents property, he generally signs a lease with the property owner. The lease is a legal document that usually outlines rules that dictate the behavior of the property owner and the renter. The lease also generally holds the renter responsible for monthly payments and costs of damages he does to the property. For some reason, however, the renter may decide that he wants to rent the property to yet another party. The agreement signed between these two individuals is known as a sublet contract, or sublease.
Some leases forbid renters from signing a sublet contract with a third party. If a renter decides to ignore this prohibition, it can make the sublet contract void. This means that the original renter is still likely to bear the burden of all of the responsibilities he agreed to in his lease with the property owner. If the rents are not paid, he can be sued and if damage is done to the property, he can be forced to pay for repairs. These risks make entering a sublet contract a matter for deep consideration, even if such an arrangement is not prohibited. A third party, even when permitted to enter into a sublet agreement with a renter, may not be obligated to the property owner in any way.
A renter may be able to agree to terms in a sublet contract that differ from the terms contained in his lease with the property owner. For example, he may only charge the third party a portion of the rent. The original renter cannot, however, usually grant the third party more rights than he has. If he is entitled to a single parking space, it is unlikely that he has the authority to grant the subletter two parking spaces.
A sublet contract is not limited to residential property. Some commercial space is also made available to third parties using such agreements. These matters, however, tend to be much more complicated and are less likely to be undertaken against the will of the property owner.
