Undertaking for costs - Drafting

Question 1

When will you typically need one

Answer 1

The solicitor acting for a tenant will often provide an undertaking to meet the landlord’s costs in connection with an alteration to a lease or a licence to assign

Question 2

Example wording - Heading

Answer 2

Dear Sir/Madam,

COSTS UNDERTAKING IN RESPECT OF APPLICATION FOR LICENCE TO ALTER LEASE DATED [15 MAY 2020] BETWEEN PATRICKS PLC AND FABRICE LIMITED

Question 3

Example wording - 1st para - Who you act for

Answer 3

We act for [Fabrice Limited] in connection with its application for consent from [Patricks plc] to alter the property demised by the lease dated [15 May 2020] (the “Property”).

Question 4

Example wording - 2nd para - Undertaking

Answer 4

We undertake to pay your reasonable legal costs (subject to a cap of [£550 plus VAT]) in connection with our client’s application for a licence to alter the Property whether or not the matter proceeds to completion and provided that your client does not unreasonably revoke or refuse to give such licence.

Yours faithfully,
[ULAW LLP]