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Leases or Licenses ' Does a Label Matter?
Attorneys representing property owners are often requested to document arrangements for very short-term and temporary usage of property. “I
don't want a lease; just a license agreement will be fine,” is the frequent form of the request. Assuming that the client's request is not merely an attempt to keep the legal fees down, is such a request one that makes sense from an owner's point of view? More important, can a careful attorney respond positively?
Various reported decisions in New York suggest that while there might be support for abbreviated documentation, use of license terminology may inadvertently create many other unanticipated difficulties for unwary property owners and their attorneys. In other words: “Be careful what you wish for.”
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