chapter 17

Question 1

what is lease?

Answer 1

is contract between an owner of restate (lessor) and tenant (the lessee). it a contract to transfer the lessor’s right to exclusive possession and use of the property to the tenant for specified period.

Question 2

what is statue of frauds in Illinois for a lease agreement?

Answer 2

lease agreement be in writing to be enforceable if they are for more then one year. the written rule also applies to lease for one year or less that not performed within one year of the contact date.
Verbal leases for one year or less that can be performed within a year of making are enforceable. written leases should be be signed by both lessor and lessee.

Question 3

what is estate for years?

Answer 3

is leasehold estate than continues for definite period of time. that period my be years, months, weeks or even days. As estate years (sometimes referred to as fixed term tenancy) always has specific beginning and ending dates.

Question 4

what is from period to period?

Answer 4

(periodic tenancy) is created when landlord and tenant enter into an agreement for the indefinite time. that lease does not have a specific exertion date

Question 5

how do you terminate a lease?

Answer 5

1. tenancy from year to year: at least 60 day’s written having a perm of less any time within the four mont period to the last 60 of lease period.
2. tenancy for mont to month: in periodic estate have a permission of less than year to year but greater then week to week 30 day’s written notice
3. tenancy from week to week- seven day written is required
4. farm tenancies from year to year- parties must give at least four mouths’ written notice to terminate and amy do so only at eh end of the period. to vacate march, farm tenancy notice must be given by november 1.

Question 6

what is estate at will?

Answer 6

give the tenant the right possess the property with landlord consent for unspecified or uncertain term. an estate at will is tenancy of indefinite duration: it continues until it is terminated by either party giving proper notice.

Question 7

what is estate at sufferance?

Answer 7

arises when a tent who lawfully possessed real property continues in possession of the premises without the landlord’s consent after the right expire.

Question 8

what is requirements of valid lease?

Answer 8

1. legal capacity to contract
2. legal objectives
3. offer and acceptance
4. consideration

Question 9

what does CLOAC stand for (the elements for contract)?

Answer 9

Capacity to contract
Legal objectives
Offer
Acceptance 
Consideration

Question 10

what is possession of premises?

Answer 10

lessor as the the owner of real setae is usually bound by implied covenant of quite enjoyment. the covenant of quite of enjoyment is presumed promise by the lessor that lessee may take possession of premises. the land lord further guarantees that they will not interfere in the possession of the property

Question 11

what is the use of premises for lease?

Answer 11

a lessor may restrict a lessee’s use of the premises through provisions included in the lease

Question 12

what is term of lease?

Answer 12

the term of lease is period for which the lease will run it should be stated precisely, including the beginning and ending date, together with statement of total period of the lease.

Question 13

what is security deposit for lease?

Answer 13

most leases require thaw the enact provide some form of security deposit to be held by the land lord during the lease terms.
if the tenant defaults on payment of rent or destroy the premises, the lessor may keep all or part of the deposit to compensate for the loss.

Question 14

In IL, what happens to the security deposit at the end of lease?

Answer 14

landlords who receive security deposits on residential lease of units in properties containing five or more unit may not with hold any part of the security deposit as as compensation for property unless they give the tenant an itemized statement listing the alleged damage. this statement must be be delivered within 30 days of the date on the which premises are vacated. if the statement is not furnished, the land lord must must return the entire security deposit within 45 days premises being vacated.

Question 15

In IL, when should landlord should pay interest on a security deposit?

Answer 15

lessees are entitled to receive annual interest on the security deposits by landlord who receives security deposits on residential leases of units in property of 25 or more units, on deposits held more than six months, are required to pay interest from the date of the deposit at a rate equal to the interest paid on a saving account

Question 16

what is accessibility for leases?

Answer 16

the federal housing act make it illegal to discriminate against prospective tenants on the basis of physical disability. Tenants with disabilities must be permitted to make reasonable modifications would interfere with a future tenants use, the landlord may require that premises be restored to the their original condition at the end of the lease term at the tenants expanse

Question 17

what is maintenance of premises for leases?

Answer 17

many states require a lessor of residential property maintain dwelling units in a habitable conditions

Question 18

In IL, what did Illinois Supreme court first confirmed in 1972?

Answer 18

implied warranty of habitability

Question 19

What violates the implied warranty of habitability for lease?

Answer 19

1. drinkable water
2. heat during cold weather
3. working electricity
4. smoke alarm
5. a working bathroom
6. removal of rodent or insect
7. building code

Question 20

what is remedy for tenant if landlords unwilling fix a defect?

Answer 20

1. move on and terminate the lease if repairs are not made within a reasonable time
2. stay and repair the problem and deduct the repair cost from the next month’s rent
3. sue for damages resulting from the defective conduction

Question 21

what is assignment and subleasing?

Answer 21

when a tenant transfers all of lease hold interest o another person, the lease las been assigned. the tenant is legally obligated for all the promises the original tenant made in the lease.
when a tenant less than all the leasehold interest by leasing them to new tenant, the original tenant has subleased the property

Question 22

what is assignment and subleasing?

Answer 22

are only allowed when lease specifically permits them.

in both assignment and sublease, details of the new arrangement should be in writing

Question 23

what is the recording a lease?

Answer 23

anyone who inspects the property receives actual notice.

Question 24

what is non disturbance clause?

Answer 24

is mortgage clause stating that mortgage agrees not to terminate the tenancies of lessees who pay rent should mortgage foreclose on the mortgage lessors building

Question 25

what is option?

Answer 25

a lease may contain an option that grants the lessee the privilege of renewing the lead. the lessee must, however, give notice of this intention to exercise the option.
they might be purchase the property

Question 26

what is right of first refusal?

Answer 26

clause allowing the tenant the opportunity to buy the property before the owner accepts an offer from another party. although is not required. the owner may give the tenant credit toward the purchase price for some percentage of the rent paid

Question 27

what is gross lease?

Answer 27

the tenant pays fixed rent, and landlord pay all taxes, insurance, repairs, utilities and the like connected with the property

Question 28

what is net lease?

Answer 28

the tenant pays all or some the of property charges in additional to the rent

Question 29

what percentage lease?

Answer 29

either a gross lease or a net lead be percentage lease. the rent is based on a minimum fixed rental fee plus a percentage of the gross income received by the tenant doing business on the leased property

Question 30

what is variable lease?

Answer 30

several types of leases for increase in the rental charges during the lease period.

Question 31

what is graduated lease?

Answer 31

which provides for specified rent increase at set future dates

Question 32

what is index lease?

Answer 32

which allows rents to be increased or decrease periodically, based on charges in consumer in the consumer price index or some other indicator.

Question 33

what is ground lease?

Answer 33

when landlord leases unimproved land to tenant who agrees building on the land,
usually involve separate ownership of the land and building.

Question 34

what is oil and gas lease?

Answer 34

when oil company lease land to explore for oil and gas. special lease agreement must be negotiated. usually, the land owner receives a cash payment for executing the lease. if no well is drilled within the period stated in lease, the lease expires

Question 35

what is lease purchase?

Answer 35

is used when tenant want purchase the property but is unable to do so

Question 36

what is sale and leaseback?

Answer 36

is the agreement where by the owner of property sell the property and the lease is back again for an agreed period and rental

Question 37

what is breach of lease?

Answer 37

when a tent breaches any provision, the landlord may sure the tenant to obtain a judgement to confer past due rent, damages to the premises, or other defaults

Question 38

what are the landlords two option if the tenant defaults on the payment?

Answer 38

1. he may elect to serve the tenant with days’ written notice demanding payment to the delinquent rent within five days after the notice received. if tenant fails to pay the further notice. if pays the past due rent, these continues
2. Alternatively, the landlord may terminate the tenancy by serving the tenant with the day’s written notice including a demand for possession without further notice, even if default is cured

Question 39

what is landlord’s remedies for actual eviction?

Answer 39

when tenant breaches a lease or improperly retains leased premises. the landlord may regain possession through a league process know as actual eviction

Question 40

what happen when landlord seeking actual eviction in IL?

Answer 40

they must file an action called a forcible enter and detainer

if the court rule in favor of landlord a landlord a judgement for possession will be entered and an order of possession with issued by the clerk of court

Question 41

what if tenant refuses to after judgement of possession during eviction?

Answer 41

the landlord must deliver the order to the sheriff, who will forcibly evict the tenant. the landlord then has the right to reenter and regain possession of the property

Question 42

what is tenant’s remedies constructive eviction?

Answer 42

if a landlord breaches any clause of the lease, the tenant has right to sue and recover damages against the landlord
the premises become unusable for purpose state in lease, the tenant may have the right to abandon them.

Question 43

how does the fair house and civil rights affect leases?

Answer 43

All person must have access to housing of their choice without differentiation in the terms and condition because of their race, color, religion, familial status (the presence of children under the age of 18) disability or gender.

Question 44

how does 1996 lead base paint hazard reduction act affect leases?

Answer 44

it focused more strongly on disclosure and realtor liability. the federal law superseded any state law the are are as strong. Real estate licenses leasing propertyies built before 1978 must ensure that landlords disclose and possible lead based paint or related hazard. the disclosure form must be complete even in the case of oral lease agreement

Question 45

the IL lead poisoning prevention act, how does that affect leases?

Answer 45

this requires that the owner of any residential building cited by the state as lead pain hazard give prospective tenants written notice of the danger unless the owners have certificate of of compliance.
When a mitigation order is issued to an owner of a building containing lead hazard, the owner has 90 days to eliminate the hazard in manner prescribed by state law, or 30 days if occupied by child under age six or by a pregnant woman.

Question 46

what is a rental finding service?

Answer 46

is any business that finds, attempts to find, or offers to find for any person for consideration a unit of rental estate not owned or lease by the business.

Question 47

how is landlord allow to pay referral fees under act to a person without brokers license?

Answer 47

1. refers no more than three prospective lessees in 12 month period
2. receive compensation of no more than 1,500 or the equivalent of one month’s rent, which ever is less, in any 12 month period
3. limits his activities or referring prospective lessees to the owner and doesn’t not show discuss lease terms, or otherwise participate in the negotiation of lease