Leaseholds: Law of LL Tenant Flashcards
leasehold estate
renter has right to possess the leased property for a specific period of time
term of years
- Lasts for some fixed period of time
- Can be terminable earlier upon the happening of some event or condition
- no notice of termination is necessary since termination date set
- death of LL or tenant no effect on duration
periodic tenancy
- For fixed duration that continues for succeeding period until LL gives notice of termination
- 6 month notice req for 1 year
- Less than 1 year notice must be = to length of period but not greater than 6 months
- Tenancy terminated on last day of period.
- ex: sign lease 1/1, on 2/15 give notice moving out, last day will be 4/1
- death of LL or tenant no effect on duration
Ten at will
- no fixed period, as long as ll tenant desire
- ends when 1 party terminated or dies
- if lease says it can be term by 1 party it must be at the will of the other
- notice = to period of time b/w payments
Garner v. Gerrish
Facts
Gerrish leased a house w Donavan with a right to terminate at the date of his choice. 4 years later Donavan died, the excutor served Gerrish with notice to vacate. Gerrish refused and Garner began eviction process.
Garner v. Gerrish
Holding/Reasoning
Lease continues until Gerrish terminates. A lease giving the tenant the unilateral power to terminate the agreement creates a life tenancy terminable only at the will of the tenant w no similar right to the LL. terminable at tenant’s will or death.
Lease
whether an agreement amounts to a lease matters bc leases give rise to LL tenant relationship which carries with it certain incidents, rights, duties, liabilities and remedies that do not attach to other relationships
Conveyance v. Contract
Lease is both a conveyance and a contract.
conveyance: transfers possessory interest in land
contract: contains number of promises
SOF
-Leases for more than 1 year must be in writing
-Most jurisdictions allow oral leases for terms less than 1 year. Those that dont say entry under oral + payment creates periodic tenancy
requirements:
1. writing
2. signed by tenant
3. expressed term
4. the land be described
Form leases
- LLs typically use these standardized documents that are offered to tenants on a take it or leave it basis w/ no negotiation
- they do not take into account individual needs
- problem: monopoly power - buyer has no good alternatives to dealing w seller
deed v. lease
- In deed seller’s interest conveyed to buyer forever but in lease there is continuing relationship b/w LL and T
- leases wordy deeds brief
Tenant discrimination legislation
- NY legislation prohibits discrimination on the basis of race, creed, color, national origin, gender, sexual orientation, disability or marital status.
+ profession after lawyers complained LLs refused to sign w them - federal fair housing act: most significant restraints imposed in terms of discriminatory selection of tenants
Hannan v. Dusch
Facts
∆s entered into 15 year lease with P. On the first date of the lease other tenants occupied part of the property. The lease didn’t contain a promise or a covenant about the obligation of the LL to deliver premises in a state that could be occupied. Hannan argued court should breath into the lease an implied obligation to deliver premises, which would place a duty on LL to oust previous tenants.
Hannan v. Dusch
Holding
Absent an express provision the LL does not have a duty to deliver actual possession. The duty is on the tenant to oust the previous tenants. Hannan would have to bring action in ejectment.
Hannan v. Dusch
Reasoning
(1) English rule (Ks): · Obligation of tenant to pay is dependent on the right to possess. Mutuality of obligation - T can only possess the property if the L is obligated to kick out previous tenants
(2) American Rule: Bc LL conveys property, that is enough.
Berg v. Wiley
Facts
- 5 year commercial lease b/w Wiley and Berg who got the prop on assignment
- Lease said Wiley could retake possession at the failure of the tenant to meet lease conditions + forbade renovations w/o written permission
- Berg begins to remodel restaurant and Wiley objected, and said 2 weeks to finish - Berg kept it open in those 2 weeks and then closed for remodeling the next 2
- Wiley attempts to have locks changed and arrived to restaurant banging on door so Berg called police. Same night Wiley called police bc saw Berg removed boards from walls and feared destroying property.
- Lease not set to end for a while and Wiley changed the locks
- Berg sued for wrongful eviction and Wiley said Berg abandoned property
Berg v. Wiley
Reasoning/Rule
Berg did not abandon premises.
The only lawful means to dispossess a tenant who has not abandoned nor
voluntarily surrendered but who claims possession adversely to a landlord’s claim of breach of a written lease is by resort to judicial process.
Under common law a LL entitled to possession could resort to self-help as long as he used no more force than r’ably necessary.
Summary Proceedings
Quick and efficient means by which to recover possession
(and sometimes rent) after termination of tenancy
Sommer v. Kridel
Facts
∆ Kridel entered into new lease with P who owned apts. 1 week after signing ∆ paid in part 1st months rent and security deposit. ∆s occupancy plans changed when engagement broken off/is a student. P did not answer his letter informing him of this. Prior to reletting the premises, P sued ∆ demanding total amt due for full term of lease.
Sommer v. Kridel
Holding/Reasoning
There was a tenant who was ready and willing to rent apt and LL turned them away, he needlessly increased damages in doing so. LL has duty to mitigate damages where he seeks to recover rents due from defaulting tenant. Even if LL has other vacant apts, he has duty to try to relet before filling those. LL has burden of proving that he used r’able diligence attempting to relet premises.
Court cites Riverview where no determination could be made as to whether LL made efforts to mitigate damages
How this demonstrated switch from prop notions to K law
- Prop: When LL conveys estate in land it gives exclusive right to possess so tenant has a duty to mitigate bc he has all rights and duties LL has no connection until it’s over
- K: breathes into the lease a duty for the LL to mitigate damages caused by tenant who abandons
Caveat lessee
Let the tenant beware - tenant takes premises as he finds them and is responsible for choosing to rent the premises - stuck w whatever the condition of premises
Why did this change
Imposed hardships on tenants bc of the move from rural to urban settings. Tenants were not skilled to upkeep urban premises which gave rise to slums bc LLs had no duty. housing codes were adopted and courts began to undertake ways to enforce the codes:
- Notion of Constructive eviction
if L wrongfully interfered w the tenants enjoyment of the premises the T could abandon the premises and cease paying
Substantial impairment, Notice, Goodbye (leave)
- Illegal lease
Courts may hold lease illegal and unenforceable if at the time it was entered into it was violating some statute
(note this is essentially dead)
- Covenant of Quiet Enjoyment
in every lease there’s an implied covenant that the tenant shall have the right of possession, occupancy, and beneficial use of every portion of the leased premises w/o interference by LL (made to prevent wrongful eviction)
- can be waived as to a particular defect at time lease formed
Implied Warranty of Habitability: Imposes 2 duties on Landlord
- Landlord must deliver at the start of the lease, premises fit for habitable condition
- Landlord must maintain the habitable conditions throughout the lease term
remedies
- withhold rent (stay and stop paying)
- rent abatement (stay and suspend rent payment - keep away the reduction in the value of the premises caused by inhabitable conditions)
- rent application - stay and apply the rent to fix conditions urself
Hilder v. St. Peter
Facts
P began occupying D’s building; previous tenants left. garbage and other items and D offered to refund damage deposit if she would clean apt herself. She did and was never paid. D promised to fix multiple things (window, toilet, pipes, no heat) but never followed thru and P had to spend $ on them.
Hilder v. St. Peter
Holding
D breached implied warranty of habitability on several grounds.
Hilder v. St. Peter
Reasoning
In the rental of a residential dwelling unit, an implied warranty exists in the lease, whether oral or written, that the LL will deliver and maintain the premises that are safe, clean and fit for human habitation. Covers all latent and patent defects in the essential facilities of the residential unit. tenant must show (1) LL has notice of previously unknown defect and failed to repair in r’able amt of time (2) defect existed during time rent withheld.
An adequate standard of habitability must be met and breach occurs when the leased premises are uninhabitable in the eyes of a RP.
types of evictions
actual: when tenant is deprived of material part of the leased premises
constructive: interference w possession deprives tenant of beneficial enjoyment of the leased premises
mere trespass: transitory and fleeting interference by the LL w tenant’s possession
