What is a commercial lease in Morocco?
What are the rules to follow when establishing a lease contract in Morocco?
Can we change the activity carried out in a commercial premises in Morocco?
Can a commercial lease be freely assigned in Morocco?
What are the conditions for renewing a commercial lease contract in Morocco?
What are the conditions for terminating a lease contract in Morocco?
What is a commercial lease in Morocco?
The commercial lease contract is also an obligation in Morocco for any company wishing to rent premises for commercial purposes.
Since 2017, the lease contract must meet the requirements of law 49-16. This law brought considerable changes to the legal framework for commercial leases.
In Morocco, any premises must have the appropriate facilities for the type of activity that will be carried out there. Thus, a local cannot change destination without authorization.
What are the rules to follow when establishing a lease contract in Morocco?
A written contract is now mandatory since the entry into force of law 49-16 relating to leases (building and commercial premises). Similarly, owners are now required to draw up a description of the premises before renting out their premises.
The drafting of the lease contract in Moroccan law must include clauses on the object of the contract, the duration of the contract, the rent, the security deposit, the termination of the lease. Other clauses are strongly recommended. Here is our recommendation on the clauses to include in a commercial lease:
The object of the contract: This is the activity that will be carried out in the premises.
The duration: The commercial leases are established in Morocco obligatorily for a determined duration, without this one not exceeding 10 years.
The rent: The contract must also contain the amount of the rent. The method and frequency of payment are also mandatory information.
The security deposit: The lease must specify whether the rental has been subject to a security deposit, and specify the amount if necessary.
Termination of the lease: if the owner of the premises wishes to end the lease before its term, he is required to inform the tenant according to the terms specified in the contract: notice period, notification terms, etc.
Termination clause: This clause stipulates the terms of termination in the event of non-payment of the rent.
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Can we change the activity carried out in a commercial premises in Morocco?
The lessee has the right to extend his activities if he needs to. Nevertheless, he must inform the owner. It is preferable to obtain a written agreement from the lessor.
If the new activity is not provided for in the initial lease, the lessor is entitled to refuse the change of activity. In all cases, an amendment to the lease contract must be drawn up.
Can a commercial lease be freely assigned in Morocco?
In principle, and unless otherwise provided in the lease contract, the tenant is entitled to assign his commercial lease. However, it is preferable to inform the lessor to allow him, if he wishes, to exercise the right of pre-emption granted to him by Moroccan law.
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What are the conditions for renewing a commercial lease contract in Morocco?
According to the new law on commercial leases, the right to lease is not acquired from the signing of the lease contract. The right to the lease is acquired after two years of occupation.
For leases that have been the subject of settlement of a door step, the right to lease is acquired immediately.
Under the above conditions, the renewal of the lease is acquired by the tenant. If the tenant wishes to make changes to the initial contract during its renewal, the agreement of the lessor is necessary.
Unless the lessor and the lessee agree on different conditions, the lease renewal period is based on the duration of the initial lease, which cannot exceed five years.
What are the conditions for terminating a lease contract in Morocco?
The commercial lease contract in Morocco can be terminated by the tenant or by the lessor, at its term or before its term according to the conditions defined in the contract.
The party wishing to terminate the lease contract is obliged to notify the other party according to the terms defined in the contract, or failing that with the usual means of notification (bailiff, registered with AR).
The tenant must pay his lessor all sums due upon termination of the lease. Failing this, the lessor will be entitled to deduct these sums from the security deposit in its possession.
When the rented premises are returned, an exit inventory is drawn up to guarantee the rights of both parties. The security deposit is returned on this basis.