Landlord/Tenant and Fixtures Flashcards
The Tenancy for Years
- The Tenancy for Years (also known as the Estate for Years or the Term of Years):
- A Lease for: fixed period of time, could be 2 months or 50 years
- When you know termination date from the start, have tenancy for years
- NO Notice is needed to terminate because a term of years states from the outset when it will terminate:
- A term of years greater than one year: must be in writing, to be enforceable because of the Statute of Frauds.
The Periodic Tenancy
- Lease which continues for successive intervals until L or T give proper notice to terminate
- The periodic tenancy can be created expressly. For example, L conveys: month to month, year to year, week to week.
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The periodic tenancy can also arise by implication, in any one of three ways:
- Land is leased with no mention of duration, but provision is made for payment of rent at set intervals.
- An oral term of years in violation of the Statute of Frauds creates: an implied periodic tenancy measured by the way rent is tendered.
- The holdover tenant: In a residential lease, if L elects to hold over a T who has wrongfully stayed on past the conclusion of the original lease: an implied periodic tenancy arises measured by way rent is tendered
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How to terminate a periodic tenancy: notice usually in writing must be given AND at common law notice at least equal to length of period itself, unless otherwise agreed (month, week, year/6-months)
- the parties may lengthen or shorten these common-law prescribed notice provisions in K.
- The periodic tenancy must end at the conclusion of a natural lease period. Ex. Month-to-Month, Notice May 15, T bound until June 30th.
The Tenancy at Will & Tenancy at Suffrance
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The Tenancy at Will: Tenancy for NO FIXED DURATION UNLESS
- Unless the parties expressly agree to a tenancy at will, the payment of regular rent will cause a court: to treat this as an implied periodic tenancy
- The tenancy at will may be terminated: by either party at any time, a reasonable demand to vacate is usually needed
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The Tenancy at Sufferance:
- It is created when T has wrongfully held over past the expiration of the lease. We We give this wrongdoer a leasehold estate (the tenancy at sufferance), to permit L to recover rent.
- The tenancy at sufferance lasts only until L either evicts or decides to hold T to new lease.
Tenant’s Liability to Third Parties
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T’s liability to third parties: Matter of Tort Law
- T is responsible for keeping the premises: in good repair
- T is liable for injuries sustained by invited third parties, even where L made all promises to repair
Tenant’s Duty to Repair-Silent and Expressely Covenated
DUTY TO REPAIR WHEN LEASE SILENT
- Standard: T must maintain premises and make ordinary repairs
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T Must not Commit Waste:
- Voluntary Waste: overt destruction
- Permissive Waste: neglect
- Ameliorative Waste: Changes that increase value
- The Law of Fixtures
DUTY TO REPAIR WHEN T EXPRESSELY COVENANTED in the lease to maintain the property in good condition for the duration of the lease:
- At common law, historically: T was liable for any loss to the property, including due to the force of nature
- Today, the majority view: T may end the lease if the premises are destroyed without T’s fault
The Law of Fixtures
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Law of Fixtures will walk with Waste Doctrine
- when a tenant removes a fixture commits voluntary waste
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FIXTURE: is a once movable chattel that, by virtue of its annexation to realty objectively shows the intent to permanently improve realty
- heating systems, furnace, light installations
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T MUST NOT REMOVE A FIXTURE, NO MATTER THAT SHE INSTALLED IT
- FIXTURES PASS WITH OWNERSHIP OF THE LAND
How to tell when a tenant installation qualifies as a fixture:
- Express agreement controls: any agreement on point is binding
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In the absence of agreement, T may remove a chattel that she has installed so long as: removal does not cause substantial harm to premises.
- If removal will cause substantial damage, then in objective judgment T has shown: the intent to install a fixture (it stays put)
Tenant’s Duty to Pay Rent - SIR
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T breaches this duty and is in possession of the premises:
- __Landlord’s only options are to evict through courts or continue relationship or sue for rent.
- If L moves to evict, she is nonetheless entitled to rent from the tennat until the tenant, whos is not a tenant in suffrance, vacates.
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LANDLORD MUST NOT: engage in self-help, changing locks, forcibly removing T or T’s possessions.
- Self-help is flatly outlawed, and is punishable civilly and criminally
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T breaches this duty but is out of possession: Remember SIR
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Surrender: T shows by words or actions that she wants to give up lease
- L could choose to treat T’s abandonment as an implied offer of surrender which L accepts
- If the unexpired term is greater than one year: surrender must be in writing to satisfy statute of frauds.
- Ignore the abandonment and hold T responsible for unpaid rent, just as if T were still there. This option only in a minority of states.
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Re-let the premises on the wrongdoer tenant’s behalf, and hold him or her liable for any defficiency.
- Majority Rule: Good faith Mitigation Principle (try to re-let)
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Surrender: T shows by words or actions that she wants to give up lease
Duty to Deliver Possession
The majority rule requires that L put T in actual physical possession of the premises. Thus, if at the start of T’s lease a prior holdover T is still in possession L has breached duty and the new T gets damages.
The Implied Covenant of Quiet Enjoyment- SING
- Applies to both Residential and Commercial leases. T has a right to quiet use and enjoyment of premises without intereference from L.
- Breach by actual wrongful eviction: Occurs when L meaningfully evicts T or excludes T from premises.
- Breach by Constructive Eviction: Remember SING
- Substantial Interference: due to L’s pattern of failures, could be chronic need not be permanent
- Notice: T must give L notice of problem, L must fail to act meaningfully
- Goodbye: T must vacate within a reasonable time of problem or get out.
- Landlord GENERALLY NOT liable for acts of other tenants: TWO EXCEPTIONS
- L must not permit nuissance on site
- L must control common areas (stairwells etc.)
The implied warranty of habitability MR3
- Applies only to Residential Lease AND NON-WAIVABLE
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Standard: Premises must be fit for basic human habitation, bare living requirements (running water, heat, etc.)
- appropriate standard may be supplied by local housing codes or case law.
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T’s entitlements when the implied warranty of habitability is breached: Remember M R3
- M: Move out, end lease, w/in right but doesn’t have to
- R: repair and deduct from future rent
- R: reduce rent or w/hold all rent until court determines fair rental value. MUST place rent in escrow to show good faith
- R: Remain in possesion, pay rent and affirmatively seek money damages
Retaliatory eviction
Retaliatory eviction: If T lawfully reports L for housing code violations, L is barred from penalizing T, by, for example, raising rent or ending the elase, or harrassing tenant, or taking other reprisals.
The Assignment versus the Sublease
- In the absence of some prohibition in the lease, a T may freely transfer his or her interest in whole (thereby accomplishing an assignment) or in part (thereby accomplishing a sublease).
- In the lease, L can prohibit T from assigning or subletting without L’s: prior written approval
- However, once L consents to one transfer by T, L waives the right to object to future transfers by that T, UNLESS L reserves the right.
The Assignment
- Consent: Landlord’s consent may be required by lease.
- Privity of Estate: Assignee and Landlord are in privity of estate.
- Privity of Contract: Assignee and Landlord are NOT in privity of contract. Original Tenant and Landlord remain in privity of contract.
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Liability for Covenants in Lease:
- Assignee liable to landlord on all covenants tha run with the land (includes rent).
- Original Tenant remains liable for rent and ALL other covenants in the lease.
Sublease
- Consent: Landlord’s consent may be required by lease.
- Privity of Estate: Sublessee and Landlord are NOT in privity of estate. Original Tenant remains in privity of estate with Landlord.
- Privity of Contract: Sublessee and Landlord are NOT in privity of contract. Original Tenant and Landlord remain in privity of contract.
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Liability for Covenants in Lease:
- Sublessee is NOT personally liable on any covenants in the original lease and cannot enforce the landlord’s covenants.
- Original Tenant remains liable for rent and all other covenants in the lease and can enforce the landlord’s covenants.
Landlord’s Tort Liability-CLAPS
PA DISTINCTION
- At Common Law, caveat lessee: L was under not duty to make premises safer.
- TODAY, 5 Important Exceptions to Common Law. CLAPS
- Common Areas: L must maintain all common areas
- Latent defects rule: L must warn T of hidden defects that L knows about or should know about. Only duty to warn.
- Assumption of repairs: L who voluntarily makes repairs must complete them with reasonable care.
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Public use rule:
- L who leases public space (such as: convention hall or museum), and who should know, because of nature of defect and not repair, is liable for any defects on the premises.
- Short term lease of furnished dwelling: L is liable for any defective condition on site
- PA DISTINCTION: Duty of Reasonable Care, liable for injuries if coud’ve discovered condition and made it safe