Addendum

TXR 2118 — Commercial Sublease Addendum for Broker's Fee

Addendum to a commercial sublease that sets the brokers' compensation: the leasing fee each of the Principal Broker and the Cooperating Broker earns when the sublease is executed (who pays it, and whether it is a percentage of all base monthly rents plus the same percentage of the expense reimbursements paid half at execution and half at commencement, the same percentage on custom payment terms, or a fully custom fee), the renewal / extension / expansion fees earned when a renewal, extension, expansion or new sublease is executed or commences, the Texas county where the fees are payable, the Chapter 62 broker's lien notice, attorney's fees for the prevailing party, and special provisions. Signed by the Sublessor, the Sublessee and both brokers.

Source: TXR
Form Number: 2118
Category: Addendum
Revised: April 1, 2014

Used For

COMMERCIAL_LEASING

Form Outline

The TXR 2118 form is organized into the following sections:

  1. Subleased Premises
    The premises of the commercial sublease this addendum is attached to ("ADDENDUM TO THE COMMERCIAL SUBLEASE BETWEEN THE UNDERSIGNED SUBLESSOR AND SUBLESSEE CONCERNING THE SUBLEASED PREMISES AT ___"). Repeats in the "Sublease Addendum for Broker's Fee concerning ___" running header of pages 2–3.
  2. A. Leasing Fees
    All leasing fees are earned when the sublease is executed. For each of the Principal Broker (1) and the Cooperating Broker (2): who pays the leasing fee, and which of the three calculation / payment options applies — (a) a percentage of all base monthly rents for the term plus the same percentage of the expense reimbursements, one-half at execution and the remainder at commencement; (b) the same percentage basis on custom payment terms; or (c) a fully custom fee.
  3. B. Renewal and Expansion Fees
    If Sublessor and Sublessee subsequently renew, extend, or expand the sublease (including a new sublease for more, less, or different space owned, controlled, or managed by Sublessor), the brokers are paid the fees below, earned and payable when the renewal, extension, expansion, or new sublease is executed or commences, whichever is earlier. For each broker: who pays, and (a) a percentage of the renewal / extension / new-sublease rents and expense reimbursements, (b) a percentage of the expansion rents and expense reimbursements, or (c) a custom fee.
  4. D. County and Broker Lien Notice
    The Texas county where all fees under this addendum are payable, followed by the printed notice that under Chapter 62, Texas Property Code, Broker is entitled to claim a lien against the Property to secure payment of an earned commission. (The paper has no paragraph C.)
  5. E. Attorney's Fees
    Printed text, no blanks: if Sublessor, Sublessee, or any broker is a prevailing party in any legal proceeding brought as a result of a dispute under this addendum or a related transaction, that party recovers all costs of the proceeding, prejudgment interest, and reasonable attorney's fees from the non-prevailing parties.
  6. F. Special Provisions
    Additional broker-fee terms. The paper prints no rules — the white space under the heading on page 2 is used.
  7. Sublessor and Sublessee (page 3)
    The Sublessor and Sublessee blocks on the signature page: each party's name (two lines) and two "By: / By (signature): / Printed Name: / Title:" blocks. "By:" is the person or entity signing for the party (e.g. its manager or general partner); "By (signature):" is the e-sign line. No Date is printed beside any signature.
  8. Principal Broker (page 3)
    The Principal Broker block: Broker / Company Name (two lines), the broker's License No., the "By (signature):" line, the signing associate's Printed Name, Title and License No.
  9. Cooperating Broker (page 3)
    The Cooperating Broker block: Broker / Company Name (two lines), the broker's License No., the "By (signature):" line, the signing associate's Printed Name, Title and License No.

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