Lease Commitment Letter
(Equipment Leasing)

Summary

This lease commitment letter template may be used by the lessor and lessee in an equipment leasing transaction. It is generally intended to be a legally operative contract that reaches the ultimate contractual objective—leasing the equipment at issue. This template includes practical guidance and drafting notes. This template is styled as an offer. If the prospective lessee accepts the terms of the offer, the lessor will be bound to complete the transaction, subject to any adverse change in the lessee's financial condition. Despite the contractual nature of this template, it is not the "final" document(s) contemplated by the parties. Instead it is an "almost-final" document used to further the consummation of an equipment leasing transaction. It is subject to termination in the event of a material adverse change in the lessee's or a guarantor's financial condition prior to the execution of the final documentation and acceptance of the equipment. This template should be read in conjunction with the practice note Equipment Leasing Transactions Preliminary Matters.