Lessor (leasing)

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Lessor is a participant of the lease who owns the property and provides it as a lease subject to the lessee for temporary ownership. For example, in real estate leasehold, the owner is a tenant and the tenant is a tenant. A lessor may be the owner of a property or agent authorized on behalf of the owner. Commercial banks, non-bank credit organizations, leasing companies often act as lessors.

Video Lessor (leasing)

Terminology

Lessors can be legal entities and individuals. However, the term "leasing company" is sometimes used as a synonym for the term "lessor".

The property seller and the lessor can be one and the same person.

Maps Lessor (leasing)

Role of lessor

The process of interaction of the lessor with other participants of the Leasing Contract is as follows:

1. The Charter selects the seller who owns the required property
2. The lessor gets this property. He acquired the property not for his own use, but exclusively for duties for temporary use.
3. The lessor transferred the property to Lessee for temporary use for an agreed payment.
4. Upon completion of the contract, depending on the conditions, the property will be returned to the lessor or forwarded to Lessee's ownership.

For the entire time period of the Lease Contract, the property is in the possession of the lessor.

In case of failure to reimburse a rent based on the schedule specified in the contract, the lessor has the right to exempt the property from the Lessee. In the case of the bankruptcy of Lessee, the lessor has priority right to payment.

If a lessor in contravention of the contract has disrupted the seller's choice or subject of lease, he assumes the responsibility not to send equipment, personal injury to citizens while using the subject of leasing, damage caused by the Lessee property and third parties. But there are exceptions to this norm.

In the case of high-value project implementation, the lessor may be involved in additional source transactions of financial assets (through banks, insurance companies, investment funds, etc.).

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Official rental operator

The authorized leaseholder (dealer) is a special type of lessor. It is an authorized supplier of specialized machinery, transportation and equipment directly to the end consumer or through a leasing company. The official lease operator works with the manufacturer (the subsidiary's office) from the main machine under the operator agreement (dealer).

For rental companies, the official leasing operator acts as:

• authorized official suppliers;
• agents (providing customer-client leases);
• insurance agents and liquidators (liquidation machines free of financial leases).

For consumers, the official leasing operator acts as:

• authorized official suppliers;
• leasing broker (choosing leasing company, which is most relevant to client's requirements, based on clients' needs and capabilities);
• adviser on optimizing vehicle parking to complete customer projects;
• advisers on improving the effectiveness of company processes associated with machine use.

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Legislation

Rights and obligations of the lessor in the Russian Federation are governed by the contract, under the Federal Law "On lease of lease", the Russian Federation Tax Code, the Civil Code, and others, in Ukraine - by the Law "On Financial Leasing" and many others, in Uzbekistan - by Chapter 34 of the Civil Code of Uzbekistan and others. International lease contracts are regulated under the UNIDROIT Convention on International Financial Leasing.

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See also

• Rent

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References

Source of the article : Wikipedia