Four Leasehold or Nonfreehold Estates

Question 1

What is a leasehold estate?

Answer 1

An estate in land, under which the tenant has a present possessory interest in the leased premises and the landlord has a future interests (reversion).

Question 2

Four types of leasehold estates

Answer 2

1. tenancy for years
2. periodic tenancy
3. tenancy at will
4. tenancy at sufference

Question 3

Tenancy for years

Answer 3

Definition - Tenancy that lasts for some fixed period of time.

Creation - “To T for ‘x’ years”

Termination - Terminates at the end of the stated period without either party giving notice.

Question 4

Periodic Tenancy

Answer 4

Definition - Tenancy for some fixed period that continues for succeeding periods until either party gives notice of termination.

Creation - Express
1. To T from month to month, or

2. To T, with rent payable on the first day of every month, or
3. L elects to bind hold-over T for an additional term

Creation - Implication by Law/operation of law - land is leased with no mention of duration, but provision is made for the payment of rent at set intervals; An oral term of years in violation of SOF creates an implied periodic tenancy, measured by the way rent is tendered.

Termination - Periodic Tenancy must have notice for termination because it automatically renews until proper notice is given. Terminates by notice from one party at least equal to the length of the time period (I.e., one full month for a month-to-month tenancy)
Exception: Only one month’s notice (six months’ at CL) is required terminate a year-to-year tenancy.

Question 5

Tenancy at Will

Answer 5

Definition - Tenancy of no stated duration that lasts as long as both parties desire.

Creation - To T for and during the pleasure of L. (Even though the language gives only L the right to terminate, L or T may terminate at any time)

Termination - Usually terminates after one party displays an intention that the tenancy should come to an end. May also end by operation of law (e.g., death of a party, attempt to transfer interest).

Question 6

Tenancy at Sufferance

Answer 6

Definition - Tenant wrongfully holds over after termination of the tenancy.

Creation - T’s lease expires, but T continues to occupy the premises

Termination - Terminates when landlord evicts tenant or elects to hold tenant to another term.