Chapter 15 Non-Freeholds

Front 1

Estate in years

Back 1

years is not a measure of time but a description of an estate of definite term

*the beginning and end are known

Front 2

Estate from year to year (periodic tenancy)

Back 2

estate that has a no definite term and is renewable

1. periodic payment of rent
2. requires notice from both parties
3. if you pay by month, its done by month

Front 3

Estate at will

Back 3

last as long as the landlord wishes

1. there by right
2. no term
3. changes to periodic tenancy if not kept at will by agreement
4. no notice required

Front 4

Estate at Sufferance (holdover)

Back 4

trespasser not removed, not really an estate

1. if LL accepts rent, estate at will created for 1st month and thereafter a periodic tenancy
2. holdover may be liable for time held over

Front 5

What are the different rules for actual possession?

Back 5

CL (majority) -- LL has duty to deliver actual possession at the beginning of the term

American Rule (minority) -- LL has no duty; COA brought against trespasser not LL

Front 6

Quiet Enjoyment

Back 6

duty of LL to keep external interference from interfering w/ enjoyment of the premises, so long as the external interference extends to the LL

Front 7

Two ways to battle violation of quiet enjoyment

Back 7

1. During the term: it is considered an eviction and you have to move out to argue the issue. This was the rule at CL and the rule generally today in commercial leases.

2. Partial eviction: stop paying rent because the landlord still has partial possession

Front 8

Termination of Periodic Lease

Back 8

at CL, term equal to rental term (full rental period)

--today in TX, the time period equal to payment period

Front 9

May you non-renew a lease for any reason?

Back 9

Yes. Except if it's gov't housing you have to have good cause.

Front 10

Implied Warranty of Habitability

Back 10

warranty that premises habitable

1. violations usually health/sanitation
2. may cause rescission of lease
3. COA for recovery of monies spent to better premises
4. may excuse/suspend duty to pay rent

Front 11

Condition of premises under a commercial lease

Back 11

at the outset, the premises do not contain latent defects & will remain suitable for lease

1. rent & suitability mutually dependent but some states say they're independent

Front 12

What is rent?

Back 12

Consideration for leasing of the premises.

1. residential -- monthly
2. commercial -- monthly rent, plus % revenue, plus common upkeep, yearly increases

Front 13

Rent Control

Back 13

public policy to allow lower-income people to afford housing

1. cap on rent w/ limited increase
2. must deprive LL of reasonable use of the property

Front 14

Waste in leaseholds?

Back 14

Just like in life estates. No waste!

Front 15

What is a fixture?

Back 15

Personal property attached to real property w/ right to remove

Front 16

Commercial fixtures requirements

Back 16

1. attached w/ some degree of certainty
2. given use or purpose in business
3. intent of party
4. removable w/o damages to realty

Front 17

Residential Fixture requirements

Back 17

1. no damage from removal
2. intent
3. must be written in contract or part of the real property

Front 18

Tenant Default

Back 18

1. rent acceleration
2. take the security deposit
3. "distress" seize chattels
4. statutory lien on personal property

Front 19

Two types of eviction

Back 19

tenant may be evicted for breach

1. self-help (changing the locks)
2. judicial process

Front 20

Tenant Abandonment

Back 20

1. accept surrender (lease ends, tenant liable)
2. demand rent (lease continues)
3. relet (preferred)
4. sue in anticipatory breach

Front 21

Two types of leasehold transfers?

Back 21

1. assignment
2. sub-lease

Front 22

Does an assignment have privity of estate?

Back 22

Yes, and possibly privit of contract.

Front 23

What is privity of estate?

Back 23

relationship by estate arising through successive conveyances

Front 24

What is privity of contract?

Back 24

relationship by K

Front 25

Assignment

Back 25

substitution or complete transfer of COMPLETE interest

1. assignee steps into shoes of lessee
2. liable to LL for rent
3. primarily liable
4. origianl lessee still responsible

Front 26

What is Dumpor's Rule?

Back 26

at CL, once there was a release of assignment, the right was waived for future assignments

1. the modern law looks at the intent of the parties and it is no longer waived.

Front 27

At the CL, was a tenant freely able to transfer a leasehold if the lease was silent about the matter?

Back 27

Yes.

Need permission today, generally.

Front 28

What us a sublease?

Back 28

transfer to sub-hoolder & retaining an interest in the property

Front 29

What is required in a sublease?

Back 29

1. rent owed to lessee
2. no lessor/sublessor relationship
3. Lesse is LL
4. lessor still maintains the covenants w/ the LL
5. no privity of estate or K

Front 30

Who is responsible for rent?

Back 30

Generally, a LL has to the right to sue any person who is either in privity of K w/ LL in regards to rent obligation or who has privity of estate w/ LL so as to be bound by rental covenants

Front 31

What is an implied covenant?

Back 31

a covenant that can be inferred from the whole agreement & the conduct of the parties (quiet enjoyment)

Front 32

What is an express covenant?

Back 32

A covenant created by words of the parties.