Duration of a Lease Flashcards
What type of leases are there?
- Fixed period leases
- Tenancy at will
- Periodic leases
- Hybrid leases
- Short and long leases
What are fixed period leases?
Leases in which the duration is fixed expressly or impliedly in the contract and can be terminated by major breach and cancellation.
What is the case for a fixed-period lease?
Davy v W Walker & Sons.
What is a tenancy at will?
A lease in which the duration is not fixed by date, but the parties agree to its enduring as long as it pleases one or both of the parties and the will of the relevant party determines the duration of the lease.
When is a tenancy at will terminated?
- When the will ceases
- On the death of the relevant party, subject to the lessee having a reasonable period to move out.
What is a periodic lease?
Leases with no fixed end point that is agreed upon, but the parties agree that the lease will run through a series of specified periods or terms indefinitely.
How are periodic leases terminated?
- Giving of notice that the lease will end upon the expiry of one of its terms.
What are the elements of a notice?
- Must be communicated
- Unilateral act
- Cannot be withdrawn once it is given
- Length of notice may be fixed by the parties or if not fixed, notice must be reasonable
What is reasonable notice in a monthly lease?
One month’s notice, which must take effect upon the expiry of a monthly term.
What are the cases for reasonable notice?
- Tiopaizi v Bulawayo Municipality
- Fulton v Nunn
- Tshabalala v Van der Merwe (annual lease).
What are hybrid leases?
Hybrid leases are a combination of a fixed-period lease with an entitlement to terminate early on due notice given.
What is a long lease?
A lease that endures for 10 years or more.
What is a short lease?
A lease that endures for less than 10 years.
