Am I still liable for CAM charges after assigning my lease?

In most cases, yes. Unless you obtain a written release from the landlord, the original tenant typically remains secondarily liable for all lease obligations, including CAM payments. If the assignee stops paying, the landlord can come after you.

Can the landlord change CAM terms when approving an assignment?

Some leases allow the landlord to impose modified terms as a condition of consent. This could include changing the pro-rata share, removing cap protections, or adjusting the base year. Push back on any lease modifications that increase CAM exposure.

Should I audit CAM charges before assigning my lease?

Absolutely. Running a CAMAudit before assignment ensures you recover any existing overcharges and start the assignment with clean records. If the landlord has been overcharging, the recovery belongs to you as the original tenant, not the assignee.

Assignment and Transfer Clause

Last updated: April 2026

By Angel Campa, Founder

After assigning your lease, you typically remain liable for CAM charges unless you negotiate a release, making pre-assignment auditing essential.

What Is a Assignment and Transfer Clause?

An assignment and transfer clause governs the tenant's right to assign the lease to a new party or sublease the premises. It defines whether landlord consent is required, what standards apply (reasonable vs sole discretion), and whether the tenant is released from obligations after an assignment. The clause also addresses recapture rights and profit-sharing on assignments.

Why This Clause Matters for CAM Audits

Assignment clauses affect CAM liability because the original tenant often remains secondarily liable for CAM charges even after assignment. If the assignee defaults on CAM payments, the landlord can pursue the original tenant. Some assignment clauses also trigger lease modifications, including changes to operating expense provisions, that can increase CAM exposure.

Sample Lease Language

“Tenant shall not assign this Lease or sublease the Premises without the prior written consent of Landlord, which consent shall not be unreasonably withheld, conditioned, or delayed. Landlord shall respond to any request for consent within thirty (30) days. In the event of an assignment, the assignee shall assume all obligations under this Lease, including Operating Expense obligations. Tenant shall not be released from liability under this Lease unless Landlord provides a written release. Landlord shall not have the right to recapture the Premises solely because Tenant seeks to assign or sublease.”

This is illustrative language only. Your actual lease language controls your rights.

Red Flags to Watch

⚠Landlord has sole and absolute discretion over assignment consent
⚠Assignment triggers a recapture right allowing the landlord to terminate the lease
⚠Original tenant remains fully liable with no mechanism for release
⚠Assignment requires the tenant to share assignment profits with the landlord
⚠Operating expense terms can be modified upon assignment without tenant consent

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Negotiation Tips

✓Require "reasonable consent" standard rather than sole discretion
✓Negotiate a release of the original tenant after a specified period of assignee performance (e.g., 12 months)
✓Limit or eliminate the landlord's recapture right to preserve the value of your lease
✓Ensure operating expense terms, including caps and exclusions, survive the assignment unchanged

Key Data

85%+
An estimated 85%+ of commercial leases require landlord consent for assignments, with varying standards of reasonableness [industry estimate]
Source: Commercial Lease Practice Surveys (2024)

Explore Other Lease Clauses

Audit Rights Clause CAM Cap Clause CAM Exclusion Clause Gross-Up Provision Management Fee Clause Pro-Rata Share Definition Clause Base Year Stop Clause Controllable vs Non-Controllable Expense Clause Capital Expenditure Exclusion Clause Self-Help Remedy Clause Reconciliation Statement Deadline Clause Co-Tenancy Clause

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Detection RulePro-Rata Share Error Detection RuleEstimated Payment True-Up Error CAM Line ItemProperty Management Fee CAM Line ItemProperty Taxes (Pro-Rata)Lease TypeTriple Net Lease (NNN)

Frequently asked questions

Need to extract lease terms before your audit?

A CAM audit is only as accurate as your lease data. lextract.io extracts 126 structured fields from any commercial lease PDF: CAM definitions, pro-rata share, caps, base year, and audit rights. So you have the exact terms your landlord is supposed to follow.

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This page provides general educational information. It is not legal advice and may not reflect the most current law in your state. Consult a licensed attorney for advice specific to your situation.