Deck 22: Landlord and Tenant

Question 1

A enters into a lease with B whereby A will lease office space in B's building commencing March 1.But since B has to renovate the office for A and it will not be ready by March 1,as a gesture of goodwill,B permits A to use another office in the building until A's office is ready and charges A a small sum during this time.In this case,the use by A of the office pending completion of his own office creates

A)a licence.
B)an easement.
C)a tenancy at sufferance.
D)a tenancy at will.
E)a periodic tenancy.

Answer 1

D

Question 2

A rents his property to B for a term of five years.At the end of the term,A has not been able to rent the property out and simply permits B to continue to stay on the property without paying rent.In this case,B is

A)a tenant at will.
B)a tenant at sufferance.
C)a licensee.
D)a periodic tenant.
E)a trespasser.

Answer 2

B

Question 3

A orally agrees with B to lease an office in B's building for four years.A moves in and renovates the office and also pays monthly rent to B pursuant to their agreement.B now decides to arbitrarily tell A to leave because there is no lease.If A wants to make B specifically perform the lease,a court will most likely find that

A)the lease is unenforceable under the Statute of Frauds,but A's acts will give him a quantum meruit claim for the renovations.
B)the lease is unenforceable under the Statute of Frauds,but A's acts constitute part performance and the lease should be upheld.
C)the lease is unenforceable under the Statute of Frauds,and A's acts do not amount to part performance so effectively there is no lease.
D)the lease is unenforceable under the Statute of Frauds,but A's acts will give him a claim for unjust enrichment for the renovations.
E)all of the above

Answer 3

B

Question 4

Which of the following is NOT a typical covenant of the tenant in a lease?

A)fitness for occupancy
B)restriction on assignment and subletting
C)restriction on pets
D)responsibility for insurance
E)payment of rent

Question 5

A owns a single-storey commercial building in downtown Toronto,which he has leased to B for use as an office.A few months after the lease was entered into,A sold the building to C together with A's lease.C bought A's building because he wanted to convert it into a luxury restaurant.Just after C become the owner of the building,C started to enter B's offices on a daily basis without notice and,further,began a small construction project in front of the building,which not only obstructed access to the building,but also made so much noise that it constantly disturbed B,B's staff,and B's clients.In this situation,

A)C has breached the covenant for quiet enjoyment and B can sue A and C for damages and seek an injunction against C.
B)C has breached the covenant for quiet enjoyment and B can sue only A for damages.
C)C has breached the covenant for quiet enjoyment and B can sue only C for damages.
D)C has breached the covenant for quiet enjoyment and B can only sue A and C for damages if he so chooses.
E)C has not breached the covenant for quiet enjoyment because,as owner of the building,C has the right to do the construction and enter B's premises at any time.

Question 6

Waste,in connection with leased premises,refers to

A)garbage bought onto the premises by third parties.
B)damage caused by the voluntary or involuntary acts of the tenant that has the effect of reducing the value of the property.
C)garbage of the tenant.
D)human waste.
E)garbage of the landlord.

Question 7

Where there has been a breach of the lease contract,a landlord,in addition to suing for damages,has a duty

A)to mitigate damages.
B)to re-enter the premises to seize the property of the tenant.
C)to return the property of the tenant to the tenant.
D)to report the breach to the rental tribunal.
E)to check to determine whether there has been any damage to the property.

Question 8

A and B enter into a lease for property owned by B for a term of four years commencing April 1,2009,and ending March 31,2013.In this case,the lease creates

A)a periodic tenancy.
B)a tenancy at will.
C)a license.
D)a tenancy for a fixed or certain term.
E)a tenancy at sufferance.

Question 9

Use the fact situation in Q10 to answer the related question that follows . If Albert had wanted to better protect himself when he entered into his lease,Albert should have

A)posted notices inside the building stating that he had a lease with the company.
B)published notice of the lease in the local newspaper.
C)registered the lease on title of the building.
D)made sure the company could not gain entry into the building.
E)obtained an indemnity agreement from Harvey.

Question 10

An interest in land for a definite period of time is called a

A)leasehold interest.
B)period.
C)lease.
D)periodic tenancy.
E)term.

Question 11

The landlord's covenant of quiet enjoyment means that

A)the landlord will not do anything to interfere with the tenant's possession and use of the premises.
B)the tenant will not bring other persons onto the premises.
C)the landlord will not make excessive noise that could interfere with the right of the tenant to peace and quiet.
D)the tenant will not make excessive noise that could disturb others,including the landlord and other tenants.
E)the tenant will not disturb other tenants.

Question 12

Jack is on vacation and enters into an agreement with the owner of a home.He will reside in one of the rooms in the home and will share the kitchen with the other tenants.He will vacate the premises at the end of his vacation,in one month.If at the end of the month Jack does not vacate the premises and the landlord does not agree to Jack staying on,Jack becomes

A)a periodic tenant.
B)a tenancy at sufferance.
C)a tenant at will.
D)a term certain tenant.
E)an overholding tenant.

Question 13

Use this fact situation to answer the related questions that follow. Albert entered into a commercial lease with a company for a term of 15 years,with an option to renew for a further term of 5 years.During the second year of the lease,the company entered into a 17-year lease with Harvey for the same building,but at a substantially increased rate of rent.Before entering into the lease,Harvey's lawyer conducted all proper searches related to the building and found no problems.
In this case,

A)Albert's lease has been extinguished.
B)Albert's lease is now subject to Harvey's lease
C)Albert's lease has become a licence.
D)Albert will succeed in setting Harvey's lease aside.
E)none of the above

Question 14

The right of the landlord to seize the assets of the tenant to sell them to realize rental arrears is called

A)forfeiture.
B)distress.
C)surrender.
D)re-entry.
E)termination.

Question 15

Jack enters into a verbal agreement with the owner of a home.He will reside in one of the rooms in the home and will share the kitchen with the owner.He does not sign a formal lease,and he is advised that he can leave the premises at any time without notice.Likewise the landlord may ask him to leave the premises at any time without notice.Jack's tenancy is

A)term certain tenancy.
B)leasehold tenancy.
C)a tenancy at will.
D)a periodic tenancy.
E)a tenancy at sufferance.

Question 16

A and B enter into a lease for B's property.Under the lease,which has no specific term,A makes his payments monthly.In this case,at the end of each month,

A)the lease becomes a license.
B)the lease becomes a tenancy at sufferance.
C)the lease becomes a tenancy at will.
D)the lease comes to an end.
E)the lease is automatically renewed for another month.

Question 17

Mary's tenancy is due to end on June 2,2003.On that date,Mary does not leave the premises and pays the landlord rent for another month.The term certain tenancy is converted into a

A)term certain tenancy.
B)tenancy at will.
C)periodic tenancy.
D)tenancy at sufferance.
E)month to month tenancy.

Question 18

A and B are friends,and for years now,on B's invitation,A has used B's vacant land in northern Ontario to hunt wild game.In this case,A is a

A)subtenant.
B)trespasser.
C)licensee.
D)tenant at will.
E)tenant.

Question 19

Edward enters into a lease with Charles to rent commercial property and use it as a convenience store.The lease is for a term of five years.After a couple of months,Edward's business is not doing very well,so Edward decides to assign the lease to John,who makes his rent payments directly to Charles.In this case,

A)the assignment to John makes only Edward liable to Charles for a breach of the lease.
B)the assignment to John makes both Edward and John liable to Charles for a breach of the lease.
C)the assignment to John makes only John liable to Charles for a breach of the lease.
D)the assignment to John discharges the lease between Edward and Charles.
E)none of the above

Question 20

To end a periodic tenancy,the landlord or tenant must serve a

A)notice of termination.
B)notice of injunction.
C)notice of commencement of proceedings.
D)notice to quit.
E)notice of withdrawal.

Question 21

Which of the following is NOT true?

A)The landlord has a statutory duty to insure the premises for the benefit of the tenant.
B)A landlord may obtain an injunction to stop a tenant from acting in such a way that would be in breach of the lease.
C)In the event of a bankruptcy,a landlord has priority over other creditors to the amount of three months' rent.
D)The landlord's covenant under a lease includes quiet enjoyment of the premises.
E)Distress is the right of the landlord to seize assets of the tenant found on the premises and sell them to realize unpaid rent.

Question 22

A tenancy that lasts from month to month is not a lease that will bind purchasers of the property.

Question 23

Jack enters into a verbal agreement with the owner of a home.He will reside in one of the rooms in the home and will share the kitchen with the owner.He does not sign a formal lease,and he is advised that he can leave the premises at any time upon the provision of a month's notice.Likewise the landlord may ask him to leave the premises upon the provision of a month's notice.Jack's tenancy is tenancy at will.

Question 24

Jack enters into a lease with Mary for a term of one year.Before she leased the property,Mary granted a mortgage over the property to the Royal Bank of Canada.Mary does not advise the Royal Bank of Canada of the lease.A month later Mary defaults under the mortgage.Which of the following is true?

A)The Royal Bank of Canada's title is subject to lease.
B)The Royal Bank of Canada is bound by the lease and cannot obtain possession.
C)The Royal Bank of Canada can evict Jack and sell the property.
D)Jack can continue to observe the terms of the lease.
E)The Royal Bank of Canada cannot evict Jack and get a new tenant.

Question 25

Objects that are attached to the land or a building but are distinguished from the land itself are called

A)chattels.
B)accessories.
C)additions to land.
D)fixtures.
E)fixings.

Question 26

Mary's tenancy is due to end on June 2,2013.On that date Mary does not leave the premises and pays the landlord rent for another month.The term certain tenancy is converted into a tenancy at sufferance.

Question 27

A financial arrangement that enables a business to purchase a house and sell it to a financial institution that in turn gives a long-term lease of the property back to the business is called

A)a saleback.
B)a leaseback.
C)a mortgageback.
D)a loanback.
E)a purchaseback.

Question 28

Jack enters into a verbal agreement with the owner of a home.He will reside in one of the rooms in the home and will share the kitchen with the owner.He does not sign a formal lease,and he is advised that he can leave the premises at any time without notice.Likewise the landlord may ask him to leave the premises at any time without notice.Jack's tenancy is tenancy at will.

Question 29

Waste,in connection with leased premises,refers to garbage bought onto the premises by third parties.

Question 30

The only covenant binding on a landlord is the covenant to pay rent.

Question 31

Which of the following is NOT a question one would ask when determining whether an object is a fixture?

A)What was the value of the object?
B)How much damage,if any,will be caused to the building by its removal?
C)Has the object been fastened to the building with the intention that it become a part of the building?
D)What use is to be made of the object?
E)How securely and permanently is the object attached?

Question 32

Mary's tenancy is due to end on June 2,2013.On that date Mary does not leave the premises.The term certain tenancy is converted into a tenancy at will.

Question 33

Where a tenant enters into a lease for a unit in a commercial plaza under which no one else in the plaza can carry on the same business,the lease contains a restrictive covenant.

Question 34

Jack is on vacation and enters into an agreement with the owner of a home.He will reside in one of the rooms in the home and will share the kitchen with the other tenants.He will vacate the premises at the end of his vacation,in one month.Jack's tenancy is a term certain tenancy.

Question 35

In an assignment of lease and a sublease,the assignee and the subtenant are responsible to the landlord.

Question 36

The abandonment by the tenant of the premises during the term of the lease is called

A)forfeiture.
B)surrender.
C)right or re-entry.
D)distress.
E)termination.

Question 37

A lease can be brought to an end if both the landlord and the tenant sign a surrender of lease agreement.

Question 38

A tenant cannot obtain an easement over the property of another.

Question 39

If a tenant abandons residential premises,in some provinces the landlord must attempt to find a new tenant in order to mitigate damages.

Question 40

The right of the landlord to distrain is also sometimes referred to as

A)forfeiture.
B)distress.
C)right of re-entry.
D)joint tenancy.
E)leaseback.

Question 41

What is a tenancy at will?

Question 42

What is the difference between an assignment of a lease and a sublease?

Question 43

In the absence of an express provision in the lease,what property is a tenant entitled to remove at the end of the tenancy?

Question 44

A normal assignment of lease by a tenant leaves the tenant liable to the landlord in the event of a breach or default by the assignee.Explain a practical solution to such a situation to relieve the tenant of liability and list one qualification to it.

Question 45

Today,in commercial leases,it is common for the landlord to make the tenant responsible for virtually everything with respect to the property,including repairs,structural repairs,and payment of all taxes and utilities.Such leases are often referred to as "net net" leases,because the landlord has little or no responsibility and still is paid rent.Why do you think that "net net" leases are frowned upon when it comes to residential leases?

Question 46

Jack rents an apartment and fixes a television stand to the wall.The stand enables the television to be placed close to the wall as opposed to on a table or on the ground.Is the television stand considered to be a fixture? Explain.

Question 47

Privity of estate with a new landlord brings to an end privity of contract with the former landlord.

Question 48

In commercial tenancies,there is often a conflict between the interests of landlords and tenants and their respective creditors.What risks do creditors of landlords and tenants face when considering seizure of goods located in the leased premises and sale of the financed assets?

Question 49

A landlord is permitted to exercise the right of eviction and simultaneously or subsequently exercise a right of distress only where the landlord has given proper notice at law.

Question 50

Jack rents an apartment and hangs a picture of his girlfriend on the wall.Is the picture considered to be a fixture? Explain.

Question 51

Explain why today legislation has been enacted to provide greater protection to residential tenancies and not to commercial tenancies.

Question 52

Who is an overholding tenant?

Question 53

In commercial tenancies,there is often an issue with respect to ownership of goods,trade fixtures,and leasehold improvements.From the tenant's perspective,the best way to eliminate or reduce any dispute with respect to these issues is to ensure that they are addressed and spelled out in the lease.

Question 54

Jack enters into a lease with Mary,his landlord.The terms of the lease are very generous to Jack.Six months later,Mary sells the home and transfers all her interest to the new owner.Explain how the new owner can receive both the rights and duties of the former landlord when Jack was not a party to the sale of the home and did not consent to it.

Question 55

What are two main considerations that a business person would have in considering whether to buy and lease commercial property instead of residential property as an investment?

Question 56

What are some of the major changes in the law regarding residential tenancies?