Lease Agreements: 2 Witnesses, 1 Witness... or None?
A practical look at what witness signatures do - and what matters more in a commercial lease.
Witnesses can help prove who signed, when and voluntarily - but they are not always what makes an ordinary lease binding.
This is a question that comes up regularly in commercial property transactions. Some landlords insist that both the landlord and tenant signatures must be witnessed by two people. Others accept one witness. And sometimes a prospective tenant signs a lease without any witness signatures at all.
So, is the lease still legal?
In general terms, an ordinary lease agreement is not automatically invalid simply because no witness signed it. Witnesses can help prove who signed the document, that the signature was made voluntarily, when it was signed and whether the signature is genuine if it is later disputed.
What usually matters more
- the correct legal parties are named;
- the person signing has authority to bind the company or other legal entity;
- the commercial terms are clear and complete;
- all relevant annexures and schedules are attached;
- any suspensive conditions have been fulfilled;
- the landlord and tenant have both accepted the agreement; and
- the lease's own signing requirements have been followed.
If the lease itself specifically states that signatures must be witnessed, the safer course is to comply with that requirement.
Why brokers should be careful
From a broker's perspective, witness signatures should never be the only protection relied on when commission becomes payable. The lease or a separate commission agreement should clearly record who is responsible for paying the commission, how it is calculated, when it becomes due and what happens if the tenant signs but later fails to take occupation.
The broker should also retain a proper written record of the introduction, negotiations, agreed terms, final signed lease and supporting email trail.
A lease without witnesses may still be enforceable. A poorly drafted commission clause may not be.
Broker takeaway: follow the lease wording, verify the authority of the signatories, obtain witnesses where possible, and make the commission clause crystal clear.
General information only - not legal advice. Specific transactions should be checked against the applicable agreement, legislation and professional legal advice where necessary.