what is lessee

A lessee is a person or entity that rents or leases property or an asset from a lessor. The lessee is also known as the tenant and must uphold specific obligations as defined in the lease agreement and by law. The lease is a legally binding document, and if the lessee violates its terms, they could be evicted. The lessee must make periodic payments to the lessor based on their initial agreement. The lease agreement contains restrictions and guidelines that the lessor wants the lessee to abide by. A lessee who is a tenant of a commercial or residential property may face different types of restrictions on their use of the space. Both lessees and lessors have rights and responsibilities related to rental property.