Flashcards in chapter 17 Deck (47)
what is lease?
is contract between an owner of restate (lessor) and tenant (the lessee). it a contract to transfer the lessor's right to exclusive possession and use of the property to the tenant for specified period.
what is statue of frauds in Illinois for a lease agreement?
lease agreement be in writing to be enforceable if they are for more then one year. the written rule also applies to lease for one year or less that not performed within one year of the contact date.
Verbal leases for one year or less that can be performed within a year of making are enforceable. written leases should be be signed by both lessor and lessee.
what is estate for years?
is leasehold estate than continues for definite period of time. that period my be years, months, weeks or even days. As estate years (sometimes referred to as fixed term tenancy) always has specific beginning and ending dates.
what is from period to period?
(periodic tenancy) is created when landlord and tenant enter into an agreement for the indefinite time. that lease does not have a specific exertion date
how do you terminate a lease?
1. tenancy from year to year: at least 60 day's written having a perm of less any time within the four mont period to the last 60 of lease period.
2. tenancy for mont to month: in periodic estate have a permission of less than year to year but greater then week to week 30 day's written notice
3. tenancy from week to week- seven day written is required
4. farm tenancies from year to year- parties must give at least four mouths' written notice to terminate and amy do so only at eh end of the period. to vacate march, farm tenancy notice must be given by november 1.
what is estate at will?
give the tenant the right possess the property with landlord consent for unspecified or uncertain term. an estate at will is tenancy of indefinite duration: it continues until it is terminated by either party giving proper notice.
what is estate at sufferance?
arises when a tent who lawfully possessed real property continues in possession of the premises without the landlord's consent after the right expire.
what is requirements of valid lease?
1. legal capacity to contract
2. legal objectives
3. offer and acceptance
what does CLOAC stand for (the elements for contract)?
Capacity to contract
what is possession of premises?
lessor as the the owner of real setae is usually bound by implied covenant of quite enjoyment. the covenant of quite of enjoyment is presumed promise by the lessor that lessee may take possession of premises. the land lord further guarantees that they will not interfere in the possession of the property
what is the use of premises for lease?
a lessor may restrict a lessee's use of the premises through provisions included in the lease
what is term of lease?
the term of lease is period for which the lease will run it should be stated precisely, including the beginning and ending date, together with statement of total period of the lease.
what is security deposit for lease?
most leases require thaw the enact provide some form of security deposit to be held by the land lord during the lease terms.
if the tenant defaults on payment of rent or destroy the premises, the lessor may keep all or part of the deposit to compensate for the loss.
In IL, what happens to the security deposit at the end of lease?
landlords who receive security deposits on residential lease of units in properties containing five or more unit may not with hold any part of the security deposit as as compensation for property unless they give the tenant an itemized statement listing the alleged damage. this statement must be be delivered within 30 days of the date on the which premises are vacated. if the statement is not furnished, the land lord must must return the entire security deposit within 45 days premises being vacated.
In IL, when should landlord should pay interest on a security deposit?
lessees are entitled to receive annual interest on the security deposits by landlord who receives security deposits on residential leases of units in property of 25 or more units, on deposits held more than six months, are required to pay interest from the date of the deposit at a rate equal to the interest paid on a saving account
what is accessibility for leases?
the federal housing act make it illegal to discriminate against prospective tenants on the basis of physical disability. Tenants with disabilities must be permitted to make reasonable modifications would interfere with a future tenants use, the landlord may require that premises be restored to the their original condition at the end of the lease term at the tenants expanse
what is maintenance of premises for leases?
many states require a lessor of residential property maintain dwelling units in a habitable conditions
In IL, what did Illinois Supreme court first confirmed in 1972?
implied warranty of habitability
What violates the implied warranty of habitability for lease?
1. drinkable water
2. heat during cold weather
3. working electricity
4. smoke alarm
5. a working bathroom
6. removal of rodent or insect
7. building code
what is remedy for tenant if landlords unwilling fix a defect?
1. move on and terminate the lease if repairs are not made within a reasonable time
2. stay and repair the problem and deduct the repair cost from the next month's rent
3. sue for damages resulting from the defective conduction
what is assignment and subleasing?
when a tenant transfers all of lease hold interest o another person, the lease las been assigned. the tenant is legally obligated for all the promises the original tenant made in the lease.
when a tenant less than all the leasehold interest by leasing them to new tenant, the original tenant has subleased the property
what is assignment and subleasing?
are only allowed when lease specifically permits them.
in both assignment and sublease, details of the new arrangement should be in writing
what is the recording a lease?
anyone who inspects the property receives actual notice.
what is non disturbance clause?
is mortgage clause stating that mortgage agrees not to terminate the tenancies of lessees who pay rent should mortgage foreclose on the mortgage lessors building
what is option?
a lease may contain an option that grants the lessee the privilege of renewing the lead. the lessee must, however, give notice of this intention to exercise the option.
they might be purchase the property
what is right of first refusal?
clause allowing the tenant the opportunity to buy the property before the owner accepts an offer from another party. although is not required. the owner may give the tenant credit toward the purchase price for some percentage of the rent paid
what is gross lease?
the tenant pays fixed rent, and landlord pay all taxes, insurance, repairs, utilities and the like connected with the property
what is net lease?
the tenant pays all or some the of property charges in additional to the rent
what percentage lease?
either a gross lease or a net lead be percentage lease. the rent is based on a minimum fixed rental fee plus a percentage of the gross income received by the tenant doing business on the leased property