Landlords in New York State may demand New York Limited Personal Guarantee of Lease from the tenant or a guarantor towards the financial security. This legal document is binding on the tenant and guarantor and it is irrevocable unless all parties agree to the revocation. Notarization of the signatures of the parties is mandatory. However, please do not compare this personal guarantee form with the Good Guy Guarantee as the terms and conditions of the guarantee differ in both forms. This guarantee form has four pages, eight prominent sections, and space reserved for notarization and registration at the recording office. The guarantor must personally appear before the notary public or competent authority and sign this form the legal execution of the guarantee. However, as a tenant you may
- Request the landlord to waive the personal guarantee based on your financial merit, excellent repayment record, and strong balance sheet
- Request the landlord for limited duration of the guarantee say about a year or two
- Request a waiver of guarantee upon lease transfer
- Request the landlord to accept Good Guy Guarantee
However, acceptance of the personal guarantee or any deviation to the terms or conditions is solely at the discretion of the landlord. However, please understand that such guarantee saves the landlords from the cut-&-run type defaulters. This signed and executed personal limited guarantee is legally binding upon you as a guarantor as well as your assigns, successors, heirs, or legal representative for repayment.
Steps to Prepare New York Limited Personal Guarantee of Lease
- Enter the name of the New York Corporation on the first line.
- Continue by entering the name of the landlord.
- Then enter the legal name of the tenant on the next line.
- Continue by entering the legal name of the guarantor. Then specify the physical residential address of the guarantor. Please use a separate line to provide information about guarantors if more than one guarantor is signing this form.
- Specify the address for sending notices if any, to the landlord in section 6. Then enter the address of the tenant for sending notices if any on the next lines.
- The seventh section of the lease agreement requires information about the agent / representative of the guarantor like legal name and the office address of the agent / representative.
- The guarantor then must sign the guarantee form before a notary public or competent authority.
- The form has two portions for guarantor’s signature acknowledgement. Please use first portion while signing this form within New York State jurisdiction or the second portion otherwise. Make your selection of the portion carefully.
- Please leave the last portion of the New York Limited Personal Guarantee of Lease reserved for registration and acknowledgement at the recording office. Your inputs are not required in this part of the document.