Question 1

No lease other than a written lease may be brought before the Courts for enforcement.

Accepted Answer

Oral leases can also be enforced by courts, especially for lease terms that are shorter than a period specified by law (often one year), depending on the jurisdiction's statute of frauds.

Question 2

Larry entered into a two-year lease with Netta, the landlord, to rent a small plot of land for a garden. Once the lease was made, Larry promptly sublet the land to Nayib. Nayib must pay rent to Netta under the sublease.

Accepted Answer

Nayib must pay rent to Larry under the sublease, not directly to Netta, unless the lease or sublease agreement specifically arranges for direct payment to the landlord.

Question 3

A lease creates both privity of estate and privity of contract between the lessee and the landlord.

Accepted Answer

Privity of estate refers to the legal relationship that exists between parties whose estates constitute one estate in law, such as a landlord and lessee, involving rights and duties that run with the land. Privity of contract refers to the relationship that exists between parties to a contract, allowing them to sue each other but not a third party. In a lease, both privity of estate and privity of contract are created between the lessee and the landlord because they enter into a contractual agreement (privity of contract) that involves rights and obligations tied to the property itself (privity of estate).

Question 4

The legal responsibility for payment of property tax, even if provided for in the lease, rests with the lessee.

Accepted Answer

The legal responsibility for payment of property tax ultimately rests with the property owner, although the lease agreement can stipulate that the lessee is responsible for these payments.

Question 5

Where a tenant sublets, privity of contract between himself and the landlord comes to an end.

Accepted Answer

When a tenant sublets, the original lease agreement between the tenant and the landlord remains in effect, maintaining privity of contract between them. The tenant becomes the sublandlord to the subtenant, creating a new privity of contract.

Question 6

Smitty leased an apartment from Batten that was located immediately above Batten's shop. Smitty moved into possession on a monthly tenancy. The noise created by Batten in his shop disturbed Smitty, although it would not disturb most people. Smitty has quiet enjoyment of the premises.

Accepted Answer

Smitty has quiet enjoyment of the premises, which means that he has the right to use the premises without unreasonable interference from the landlord or other tenants. The noise created by Batten in his shop is an unreasonable interference with Smitty's quiet enjoyment of the premises, even though it would not disturb most people.

Question 7

In the case of a periodic tenancy, after one year and in the absence of a notice to quit, the tenancy becomes a tenancy at sufferance.

Accepted Answer

In the case of a periodic tenancy, after one year and in the absence of a notice to quit, the tenancy typically rolls over into the next period (e.g., month-to-month, year-to-year) rather than becoming a tenancy at sufferance. A tenancy at sufferance occurs when a tenant remains in possession of the property without the landlord's consent after the lease term has ended.

Question 8

Larry entered into a two-year lease with Netta, the landlord, to rent a small plot of land for a garden. Once the lease was made, Larry promptly sublet the land to Nayib. A sublease must terminate at a point in time on or before the point in time that the lease between Larry and Netta expires.

Accepted Answer

A sublease cannot extend beyond the term of the original lease, meaning it must end on or before the original lease's expiration date. Since Larry's lease with Netta is for two years, any sublease he enters into, such as the one with Nayib, must terminate within that two-year period.

Question 9

Discuss the application of the Statute of Frauds and the requirement of registration with respect to leasehold interests, give reasons why these conditions are imposed, and explicitly treat the situation of a lease of indefinite term.

Accepted Answer

The answer of Discuss the application of the Statute of...

Question 10

The major advantage to a lessee in a sale-and-lease-back transaction is that what are now rental payments are a deductible expense.

Accepted Answer

The answer of The major advantage to a lessee in...

Question 11

A lease which does not specify a definite term to expiry but where rent is paid monthly (a) renews itself monthly, and (b) need not be in writing.

Accepted Answer

Such a lease is typically considered a month-to-month tenancy or periodic tenancy, which automatically renews each month unless either party gives notice to terminate, and depending on jurisdiction, short-term leases like these may not require a written agreement to be legally valid.

Question 12

List the right of, and the duties imposed upon a landlord and tenant at common law, and the remedies available to each party.

Accepted Answer

The answer of List the right of, and the duties...

Question 13

To be enforceable against a tenant, a lease of over three years must be registered on the title of the property.

Accepted Answer

The answer of To be enforceable against a tenant, a...

Question 14

One individual may be both the landlord and tenant for the same parcel of land.

Accepted Answer

This situation can occur in a sublease arrangement where an individual leases property from a landlord and then leases the same property to another party, effectively making them both a tenant (to the original landlord) and a landlord (to the sublessee).

Question 15

Where the leased premises are subject to a covenant that runs with the land, a third party with the right to enforce the covenant should sue the lessor for a breach of that covenant.

Accepted Answer

A third party with the right to enforce a covenant that runs with the land should sue the party in possession of the land (the lessee) for a breach, not the lessor, as the covenant is attached to the land itself.

Question 16

Distress is the right of a landlord to seize and sell a tenant's goods to satisfy rental arrears.

Accepted Answer

Distress, also known as distress for rent, is a legal remedy that allows a landlord to seize the property of a tenant who is in arrears on rent, in order to sell it and use the proceeds to cover the unpaid rent.

Question 17

A water purifier attached to a residence by a tenant at his own expense may not be removed by him on expiry of the lease.

Accepted Answer

A water purifier attached to a residence by a tenant at his own expense may not be removed by him on expiry of the lease because it is considered a fixture and becomes part of the property.

Question 18

The day following expiry of a residential tenancy, the landlord has an absolute right to re-enter the premises.

Accepted Answer

The landlord's right to re-enter the premises after the expiry of a residential tenancy is subject to local laws, notice requirements, and potentially a court order, especially if the tenant refuses to leave.

Question 19

Larry entered into a two-year lease with Netta, the landlord, to rent a small plot of land for a garden. Once the lease was made, Larry promptly sublet the land to Nayib. Larry would be liable on the lease, even though the property was now in the possession of Nayib.

Accepted Answer

Larry remains liable to Netta for the lease obligations because subletting does not transfer the original tenant's (Larry's) responsibilities under the lease to the sublessee (Nayib).

Question 20

Larry entered into a two-year lease with Netta, the landlord, to rent a small plot of land for a garden. Once the lease was made, Larry promptly sublet the land to Nayib. Once the subtenancy is established, Nayib may remove any trees on the property.

Accepted Answer

Nayib, as a subtenant, does not have the right to remove any trees on the property unless specifically granted such rights in the sublease agreement, as removing trees would likely be considered beyond normal use of the land and could permanently alter the property.

Quiz 24: Leasehold Interests