Legal Question in Real Estate Law in California

Re: Lease secured by equipment and fixtures-Legal Form

You can do this yourself, however it is not adviseable, just like the previous attorney stated. Commercial leases can be quite complicated when trying to cover all legal "angles" by yourself per se. If you would like prompt, affordable legal assistance here, contact us directly for a free phone consultation.

Re: Lease secured by equipment and fixtures-Legal Form

This is a two-step process. Step one is to obtain a security interest in the assets through having the tenant execute a security agreement. The security agreement could be embedded in the lease. There are several requirements, including signature of the debtor, a description of the collateral, and words granting the creditor a security interest in the collateral. It is usual to include the debtor's "after-acquired property" of the same class and type in the collateral description.

The second step is to "perfect" (accent on last syllable) your security interest. This serves the same funcation as recording a lien on real property with the county recorder. A security interest in personal property is perfected by filing a Form UCC-1 with the Secretary of State. Instructions are available on line at www.ss.ca.gov. Go to the business then the UCC sub-pages.

I would strongly recommend using an attorney to do all this, including drafting the lease. It isn't very complicated, but if you've never done it, it would take a lot of time and the chances of a mistake (and the potential cost of its consequences) are too high.