This form is used when Lienholder subordinates all liens created by the (Mortgage/Deed of Trust) to the Lease and releases the leasehold estate created by the Lease from all liens created by the (Mortgage/Deed of Trust) and all extensions and renewals of the liens. Lienholder does not waive or release any of its rights under the (Mortgage/Deed of Trust) on or against any royalty interest reserved by the Lessor.
Keywords: Nevada, subordination agreement, release of lien, leasehold estate. Description: A Nevada Subordination Agreement with Release of Lien as to Leasehold Estate is a legal document designed to establish the priority of liens on a leasehold estate in Nevada. This agreement allows a party to subordinate their lien rights to another party's lien interests, freeing the leasehold estate from any potential conflicts or disputes. In Nevada, there are two types of Subordination Agreement with Release of Lien as to Leasehold Estate: 1. General Subordination Agreement: This type of agreement is used when a lien holder voluntarily agrees to subordinate their lien rights to another party who holds a higher priority lien on the leasehold estate. By signing this agreement, the lien holder acknowledges that their lien will be considered of lesser priority, ensuring a smooth and clear title transfer if necessary. 2. Partial Subordination Agreement: A partial subordination agreement is applicable when a lien holder agrees to subordinate only a portion of their lien rights to another party. This type of agreement is commonly used when there are multiple liens on a leasehold estate, and one lien holder agrees to release only a specific portion of their claim to accommodate the needs of another party involved. Key considerations when drafting a Nevada Subordination Agreement with Release of Lien as to Leasehold Estate: 1. Parties Involved: Clearly identify all parties involved in the agreement, including the lien holder, the leasehold estate owner, and any other relevant stakeholders. 2. Lien Details: Clearly state the details of both the involved liens, including the nature of the lien, the amount, and any relevant documentation supporting it (e.g., recorded mortgage or deed of trust). 3. Subordination Terms: Specify the terms of the subordination, such as the subordination period, the percentage of the lien amount being subordinated, and any conditions that must be met for the subordination to take effect. 4. Release of Lien: Outline the release of lien terms, ensuring that the lien holder acknowledges the release of their lien interest on the leasehold estate as specified in the agreement. 5. Governing Law: Clearly state that the agreement shall be governed by the laws of Nevada, highlighting the jurisdiction and venue for any disputes arising from the agreement. Remember, this information serves as a general guide, and it's essential to consult with a legal professional when drafting a Nevada Subordination Agreement with Release of Lien as to Leasehold Estate to ensure compliance with state laws and specific circumstances of the agreement.
