DEED OF ASSIGNMENT OF RENTAL
THIS DEED OF ASSIGNMENT OF RENTAL is made the day of 202…
BETWEEN
[Insert Name & NRIC No] of [Insert address] (hereinafter called “the Assignor”) of the part and [Insert Company Name and Company Number], a company incorporated in Malaysia and having its registered office at [Insert registered address] and having its branch office at [Insert business address] (hereinafter called “the Assignee”) of the other part.
WHEREAS
1. By a Sale and Purchase Agreement dated the [Insert Date] [hereinafter called “the Principal Agreement”] made between [Insert Developer Name and Company Number], a company incorporated in Malaysia and having its registered address at [Insert registered address] and a place of business at [Insert business address] (hereinafter called “the Developer”] of the first part and the Assignor of the other part, the Developer had sold and the Assignor had purchased all that parcel of [Insert types of Property] with vacant possession distinguished as [Insert unit number] measuring in area of approximately [Insert size of the unit] square feet erected on that piece of land held under [Insert details of Title] [hereinafter called “the said Property”] details of which are more particularly described in the Principal Agreement and upon the terms and conditions therein contained
2. At the request of the Assignor, the Assignee has agreed to grant to the Assignor a Term Loan of Ringgit Malaysia [Insert the amount of facility] (RM ….) Only (hereinafter referred to as “the Facilities”) upon the consideration and security of the First Legal Charge over the said Property (hereinafter referred to as “the Security Document”).
3. The Assignor has agreed to execute this Deed of Assignment of Rental as an additional security for the Facilities.
NOW THIS DEED OF ASSIGNMENT OF RENTAL WITNESSETH as follows: –
1. In consideration of the Assignee granting the Facilities to the Assignor, the Assignor hereby assigns absolutely to the Assignee all proceeds of rental paid, due and becoming due to the Assignor from the tenancy of the said Property which may now or hereafter be granted by the Assignor.
2. The Assignor shall at all times hereinafter save harmless and keep the Assignee indemnified against all the actions proceedings damages penalties costs claims and demands and expenses which may be brought or made against or incurred by the Assignee by reason or an account of the non-observance of all or any of the stipulations on the part of the Assignor contained in any of the tenancy agreements which the Assignor should have performed prior to the date of this Deed of Assignment of Rental.
3. The Assignor hereby covenants with the Assignee to pay all the outgoings by way of quit rent assessments and rates and other municipal charges.
4. The Assignor hereby covenants with the Assignee that the rights of the Assignee in relation to this Deed Of Assignment of Rental (whether arising under this Deed of Assignment of Rental or under the general law) shall not be capable of being waived or varied otherwise than by an express waiver or variation in writing by the Assignee, and in particular any failure to exercise or any delay in exercising any such rights shall not preclude any other or further exercise of that or any other such right, and no act or course of conduct or negotiation on its part or on its behalf shall in any way prelude the exercise of any such right or constitute a suspension of any variation of any such right. The rights and remedies herein provided are cumulative and not exclusive of any rights or remedies provided by law.
5. In the event of the Assignor failing to observe or perform any of the covenants and conditions as are in this Deed of Assignment of Rental contained and or the covenants and conditions in any of the tenancy agreements, the Assignee shall be entitled to forthwith recall the whole balance of the Facilities and in connection therewith to bring such legal proceedings as may be necessary to enforce such repayment of the whole balance of the Facilities together with the interest and monies payable thereon.
6. Notwithstanding the assignment herein contained the Assignor hereby expressly agrees and directs its tenants to credit all rentals payable under any of the tenancy agreements directly into the Assignor’s Account with the Assignee’s branch at [Insert address] under an account designated by the Bank and the Assignor shall cause a notice of assignment to be given to each and every tenant of the said Property from time to time, a sample of which is contained in the Schedule annexed hereto.
7. For its consideration aforesaid the Assignor hereby irrevocably appoints the Manager or any other officer of the Assignee its attorney for it and on its behalf to collect any payments due from any of its tenant and to do all whatsoever acts and execute all whatsoever documents to give effect to such collection which the Assignee may deem necessary and to give a good receipt, for the payments received.
8. Upon the full repayment of the Facilities this Deed of Assignment of Rental shall have no further force or effect.
9. (a) The Assignor shall remain liable to perform all the obligations to be performed by it under any of the tenancy agreements and the Assignee shall have no obligation of any kind whatsoever in relation thereto or be under any liability whatsoever in the event of any failure by the Assignor to perform its obligation in respects thereof. The Assignor agrees to indemnify and holds the Assignee harmless from all costs, claims, damages or liabilities whatsoever arising out of the performance of or failure in performance of its obligations thereunder from time to time.
(b) Any part of the proceeds which may have already been paid to the Assignor by any of its tenants shall be held in trust by the Assignor for the Assignee and the Assignor shall forthwith pay over the same to the Assignee whether formally demanded or not.
(c) The Assignment is expressly intended to and shall be a continuing security for the total Facilities, interests thereon and any other moneys owing or payable under the Security Department until the same shall have been fully repaid or satisfied in full to the Assignee.
10. The costs of and incidental to the preparation and completion of this Deed of Assignment of Rental including stamp fees shall be borne by the Assignor absolutely. The Assignor shall also be liable for all costs and disbursements (legal or otherwise and where legal both judicial and extra judicial on a solicitor and client’s basis) incurred or paid by the Assignee under this Deed of Assignment of Rental or the collection of any money due to be become due hereunder.
11. Any notice under this Deed of Assignment of Rental shall be in writing and any notice to the Assignor and/or the Assignor shall be sufficiently served the Assignor if sent by registered post and addressed to the Assignor and/or the Assignor at the above stated address and shall be deemed to have been served and duly received by the Assignor and/or the Assignor in the ordinary course of post and any notice the Assignee shall be in writing and shall be sent by registered post to the registered address of the Assignee or to branch office of the Assignee at [Insert address]
12. The law applicable to this Deed of Assignment of Rental shall be the Laws of Malaysia.
13. This Deed of Assignment of Rental shall be binding upon the successors and assigns of the Assignor and the Assignee.
14. IT IS HEREBY AGREED AND DECLARED that this Deed of Assignment of Rental and the Security Document shall be the principal instrument and this Deed of Assignment of Rental shall be the subsidiary instrument within the meaning of Section 4 (3) of the Stamp Duty Ordinance, 1949.
IN WITNESS WHEREOF the parties hereto have hereunto set their hands the day and year first above written: –
Signed by the Assignor )
[Insert Name and NRIC No.] )
in the presence of :- )
SIGNED by its Attorney for and on behalf of )
[Insert Company Name and Company Number] )
in presence of:- )
AUTHENTICATION OF POWER OF ATTORNEY
I, [Insert Solicitor’s Name] an Advocate and Solicitor of the High Court of Malaya practising at [Insert place of practise] hereby certify that the signature(s) of [Insert Assignor’s Name and NRIC No.], was written in my presence on this day of and is according to my personal knowledge, the true signature(s) of [Insert Assignor’s Name and NRIC No.] who has acknowledged to me that he is of full age and that he has voluntarily executed this instrument.
WITNESS MY HAND
……………………………
Advocate & Solicitor
SCHEDULE
IRREVOCABLE LETTER OF INSTRUCTION
[Insert Assignor’s Name & NRIC No]
To:
(Tenant)
Dear Sir
Re: TENANCY AGREEMENT BETWEEN
yourself in respect of premises known as
I, refer to the above tenancy and hereby authorise you to remit all the rentals due to me directly to …. (Company No. …) at its branch at …. for the account of , Account No. as and when the shall become due and payable in respect of the said tenancy.
Please also advised that this Letter of Instruction cannot be cancelled without prior consent from the abovenamed Branch of ……… (Company No. ).
Kindly acknowledge receipt of this notice on the duplicate hereof.
Thank you.
Yours faithfully,
………………………….………………..
I/We, hereby acknowledge receipt.
……………………………………
Date:
Stamp of Tenant
