Lease abstraction in a nutshell
Lease abstraction is an efficient and cost-effective way to professionally condense and translate key information from leases and other legal agreements.
Leases can run to many pages, sometimes hundreds, which can make handling them an issue from both a time and money perspective. Therefore, it can be very useful to have the key data identified, summarised and organised in a systematic structure, known as an abstract. An abstract template can be used as a standard format for recording lease data. Uniformity in recording the lease data makes it easy to keep track of the important dates, data fields and clauses.
Companies that operate across multiple territories and jurisdictions often require multilingual lease abstraction, also referred to as lease abstraction and translation. This service involves the abstraction of foreign-language lease documents, creating a summary in a language different from the source document.
What is the business case for lease abstraction?
At Albion Languages, we understand how the demand for abstraction arises from the need for data management and the value in mining that data. Leases are highly important legal documents. The conditions, payment and renewal dates contained within their pages are time-bound and many clauses have far-reaching legal implications.
This is compounded when companies have a considerable number of properties and real estate units to manage; a real-estate business may have hundreds, sometimes even thousands of units rented out. Factor in those properties being situated in numerous locations, operating in differing languages and often in very differing legal jurisdictions and the needs become complex.
As a result, it isn’t surprising that having access to data in a summarised and unified form is not just sensible practice; it is essential for legal and statutory compliance.
Isn’t this a legal matter?
The challenge for companies operating in a number of different geographical locations is that leases will be received in various languages. It may not be a viable option to hire legal teams in all languages to provide an abstract in each language. Also, the processing team may only speak English. It is precisely in these instances that the need for multilingual lease abstraction arises. By using multilingual lease abstraction experts, the team can have a single contact in one country who can handle all of these leases for the numerous properties. This results in considerable time and cost savings.
What to expect from lease abstraction and your provider?
When a lease is prepared in a foreign language, there can be a lack of transparency, which naturally leads to a degree of uncertainty. Ensure that your pertinent questions are answered through abstraction, including the specifics regarding conditions, contract termination and extension and what is and isn’t included. Make sure that both parties are clear from the start as to the finer details.
As mentioned above, a language barrier or dealing in a different currency can lead to uncertainty. Working with one company in one currency and in one country offers significant cost and time savings.
Leases are legally binding documents that need to be understood in depth. Uncertainty brings with it an elevated level of risk, which needs to be mitigated. Be sure to research your provider and ensure that you are happy with its terms and the level of service.
Each country and business area has its own particulars which need to be understood and adhered to. For example, something as simple as a date can be vital. The input method needs to be consistent with the location, some countries enter MM-DD-YY (e.g. the USA) others prefer date-month-year (like the UK), similar examples include the decimal points for currencies. Your provider needs to be aware of the specific requirements for each country and achieve consistency.
A tight deadline can often add stress to an already intense transaction process. Be open and honest in your requirements and expect your provider to be equally as open and honest in return. Discuss the process and ensure that your expectations are properly met.
What is the next step?
With 40 working languages, a customised approach and rapid turnaround times, we are interested to learn more about your lease abstraction needs. Just get in touch today.