Document background
The Bare Licence To Occupy is a versatile legal instrument used in Hong Kong when parties need to establish a flexible arrangement for the occupation of space without creating a landlord-tenant relationship. This document type is particularly relevant in today's dynamic business environment, where traditional long-term leases may not suit all commercial needs. It's commonly used for serviced offices, co-working spaces, temporary business locations, or situations requiring quick deployment of workspace solutions. The document addresses key aspects such as occupation rights, fee structures, duration, and termination rights, while ensuring compliance with Hong Kong's legal framework. Unlike a lease, it provides greater flexibility for the licensor to relocate the licensee or terminate the arrangement, making it ideal for short-term or flexible space requirements. The agreement must be carefully drafted to avoid inadvertently creating a lease and should clearly establish its nature as a licence.
