Lease

Question 1

What is a lease?

Answer 1

Bilateral K where the lessor gives the use of thing for term to a lessee in return for rent.

Question 1

What are the elements of a lease?

Answer 1

Consent of the parties as to the thing and the rent.

Question 2

What is the thing in a lease?

Answer 2

All things corporeal or incorporeal susceptible to ownership unless prohibited by law.

Things that cannot be used without being destroyed cannot be leased but they can be a loan for consumption.

Question 3

What about the rent?

Answer 3

Must be certain or determinable through a method agreed by the parties.

Designated Third parties can also determine the rent.

If the third person does not fix the rent or method agreed upon by the parties for determination of rent proves unworkable, there is no lease.

EXCEPTION:

When the rent has been established and is then subject to redetermination by some agreed upon method that proves unworkable for redetermination or the third party does not redetermine the rent, then the court may fix it.

Compare with SALE:

A court can fix the price if the third party cannot do so.

Question 4

Is there a form requirment?

Answer 4

No, can be oral or written even for immovables.

Question 5

Are there exceptions to the Public Records Doctrine?

Answer 5

Leases are subject to the public records doctrine, which means an unrecorded lease cannot be enforced against a third
party who purchases the property from the lessor.

A notice of lease may be recorded instead of the lease contract.

Question 6

What should the lease notice contain?

Answer 6

The
notice must contain:
(i) the names, addresses, and signatures of the parties;

(ii) the date of execution;

(iii) a brief
description of the leased property;

(iv) the term;

(v) any renewal or purchase options; and

(vi) a reference to the existence
of an option, right of first refusal, or other agreement of the lessor to transfer the leased premises.