Transfers of Leaseholds/Landlord's Tort Liability Flashcards Preview

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Flashcards in Transfers of Leaseholds/Landlord's Tort Liability Deck (14)
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1
Q

Tenant’s ability to transfer leasehold interest

A

In the absence of some prohibition in the lease, Tenant is permitted to transfer her leasehold interest in whole or in part.

2
Q

Assignment

A

When T transfers her entire leasehold interest to T2. T2 is the assignee.

e.g. T1 transfers all of the remaining 10 months on her term of years lease to T2.

3
Q

Sublease

A

When T transfers less than her entire leasehold interest. T2 is sublessee

4
Q

Landlord’s relationship to T2

A
  • If the transfer is an assignment, L and T2 come into privity of estate.
  • This means that L and T2 are liable to each other for all covenants or promises in the original lease that “run with the land”.
    • Most, if not all, promises in the original lease run with the land, meaning that they pertain to the leased premises. Common examples incl. promise to pay rent, paint, and insure, etc…
  • L and T2 are not in privity of contract, unless T2 has expressly assumed the performance of all promises contained in the original lease.
5
Q

L’s relationship to T1 after assignment

A

L and T1 are no longer in privity of estate. But, they remain in privity of contract because they exchanged those original promissory words. So, L and T1 will be secondarily liable ot each other.

6
Q

Privity example

A
  • L leases to T1. T1 assigns to T2. T2 assigns to T3, who engages in flagrant abuse to the premises.
  • Landlord can sue T1, because they have privity of contract. T1 will also be liable if T3 flees.
  • L can sue T3, because they have privity of estate
  • L cannot sue T2, because no privity of contract or estate.
7
Q

Privity if the transfer is a sublease

A
  • Relationship between L and T1 remains fully intact.
  • L and T2 don’t share privity of estate or contract.
  • T2 is responsible to T1, and vice versa. T2 must pay rent to T1 who pays L. T1 must enlist L to remediate any problems on the premises.
8
Q

Common Law of Caveat Lessee

A

Let the tenant beware. L was under no duty in tort to make the premises safe.

9
Q

Caveat Lessee exceptions

A

CLAPS

  1. Common areas
  2. Latent Defects
  3. Assumption of Repairs
  4. Public Use Rule
  5. Short term lease of furnished dwelling
10
Q

Caveat Lessee Exception- Common areas

A

L has duty to keep common areas safe

11
Q

Caveat lessee exception- latent defects

A

L has duty to warn T of hidden defects of which L has knowledge or reason to know. (no duty to repair)

12
Q

Caveat Lessee exception- assumption of repairs

A

Once undertaken, L must complete repairs with reasonable care. If repairs are negligent, L is liable for injury

13
Q

Caveat Lessee Exception- Public Use Rule

A

L who:

  • leases public space, and
  • should know that T will not repair,
  • due to the significant nature of the defect and short length of the lease,
  • is liable for any defects on the premises.
14
Q

Caveat Lessee exception- Short Term Lease of Furnished Dwelling

A

L who leases out for short terms (ie. hotels) is liable for guests’ injuries if :

  • they come as a result of the negligence of the owner in allowing the dwelling to degenerate into a state of disrepair, or
  • if the owner’s negligence results in a dangerous condition that causes an injury to a guest.