What does 'assignment of lease' refer to?

The term 'assignment of lease' specifically refers to the transfer of the tenant's rights and obligations under a lease to another party. This means that the original tenant, also known as the assignor, delegates their entire interest in the lease to a new tenant, known as the assignee. The assignee then steps into the shoes of the original tenant and assumes all responsibilities and rights associated with the lease.

Assignments can occur for various reasons, such as relocation or changes in business needs. However, it is important that many lease agreements have specific clauses governing assignments and may require the landlord's consent to ensure that the new tenant meets financial and operational standards.

In contrast, lease renewals, terminations due to non-payment, or negotiations of terms do not involve the actual transfer of lease rights and obligations from one party to another, which is why those options do not correctly define what an assignment of lease is.