LEARNING OBJECTIVES
When you've finished reading this Chapter, you should be able to:
     ► identify the four types of leasehold estates.
     ► describe the requirements and general conditions of a valid lease and how a lease may be discharged.
     ► explain the rights of landlords and tenants in an eviction proceeding and the effect of protenant legislation and civil rights laws on the landlord-tenant relationship.
     ► distinguish the various types of leases.
     ► define the following terms: actual eviction; assignment; constructive eviction; estate at sufferance; estate at will; estate for years; estate from period to period; gross lease; ground lease; holdover tenancy; lease; leasehold estate; lease purchase; lessee; lessor; month-to-month tenancy; net lease; nondisturbance clause; percentage lease; purchase option; renewal option; reversionary right; right of first refusal; sale-and-leaseback; security deposit; and sublease.

REAL ESTATE PRACTICE & PRINCIPLES KEY WORD MATCH QUIZ --- CLICK HERE ---
I would encourage you to take this “Match quiz” now as a pre-chapter challenge to see how many of these key words or phrases you are familiar with. At the end of each chapter I recommend that you take the quiz again to reinforce these important keywords. Each page contains four words or phrases and you need to drag and drop the correct definition into the puzzle key. Each page is considered as a question, but there is no scoring and you can return to each chapter quiz as many times as needed to reinforce your memory. 

 WHY LEARN ABOUT... LEASES?
According to the U.S. Bureau of the Census, 66 percent of Americans own their own homes. That means about a third of the population are renters. In the year 2000, there were more than 35 million renter-occupied housing units in the United States. In short, there are a lot of renters and a lot of rental housing, which together means there is a very large rental market. And many of those renters seek the advice of rental agents, who are required to be real estate licensees in most states. Even if you aren't a rental agent, a knowledge of the rental market and leases and landlord-tenant issues may prove valuable if your potential buyers turn out not to qualify for a home purchase and need help finding an apartment.

► LEASING REAL ESTATE
A lease is a contract between an owner of real estate (the lessor) and a tenant (the lessee). It is a contract to transfer the lessor's rights to exclusive possession and use of the property to the tenant for a specified period of time. The lease establishes the length of time the contract is to run and the amount the lessee is to pay for use of the property. Other rights and obligations of the parties are set forth as well.

In effect, the lease agreement combines two contracts. It is a conveyance of an interest in the real estate and a contract to pay rent and assume other obligations. The lessor grants the lessee the right to occupy the real estate and use it for purposes stated in the lease. In return, the landlord receives payment for use of the premises and retains a reversionary right to possession after the lease term expires. The lessor's interest is called a leased fee estate plus reversionary right.

The statute of frauds in most states requires lease agreements for more than one year be in writing to be enforceable. If the lease cannot be performed within one year of being entered into, the statute of frauds also requires a written document. In general, oral leases for one year or less that can be performed within a year of their making are enforceable. Written leases should be signed by both the lessor and lessee.

IN PRACTICE   Even though an oral lease may be enforceable, such as a lease for one year commencing the day of agreement, it is always better practice to put lease agreements in writing. A written lease provides concrete evidence of the terms and conditions to which the parties have agreed. Any written agreement should be signed by both the landlord and tenant.

► LEASEHOLD ESTATES
A tenant's right to possess real estate for the term of the lease is called a lease-hold (less-than-freehold) estate. A leasehold is generally considered personal property. When the tenant assumes many of the landowner's obligations under a lease for life or for more than 99 years, certain states give the tenant some of the benefits and privileges of ownership.

Just as there are several types of freehold (ownership) estates, there are different kinds of leasehold estates.

Estate for Years
An estate (tenancy) for years is a leasehold estate that continues for a definite period of time. That period may be years, months, weeks, or even days. An estate for years (sometimes referred to as an estate for term) always has specific starting and ending dates. When the estate expires, the lessee is required to vacate the premises and surrender possession to the lessor. No notice is required to terminate the estate for years. This is because the lease agreement states a specific expiration date. When the date comes, the lease expires, and the tenant's rights are extinguished.

If both parties agree, the lease for years may be terminated before the expiration date. Otherwise, neither party may terminate without showing that the lease agreement has been breached. Any extension of the tenancy requires that a new contract be negotiated.

As is characteristic of all leases, a tenancy for years gives the lessee the right to occupy and use the leased property according to the terms and covenants contained in the lease agreement. It must be remembered that a lessee has the right to use the premises for the entire lease term. That right is unaffected by the original lessor's death or sale of the property unless the lease states otherwise. If the original lease provides for an option to renew, no further negotiation is required; the tenant merely exercises his or her option.

An estate from period to period, or periodic tenancy, is created when the landlord and tenant enter into an agreement for an indefinite time, that is, the lease does not contain a specific expiration date. Such a tenancy is created initially to run for a definite amount of time—for instance, month to month, week to week, or year to year—but continues indefinitely until proper notice of termination is given. Rent is payable at definite intervals. A periodic tenancy is characterized by continuity because it is automatically renewable under the original terms of the agreement until one of the parties gives notice to terminate. In effect, the payment and acceptance of rent extend the lease for another period. A month-to-month tenancy, for example, is created when a tenant takes possession with no definite termination date and pays monthly rent. Periodic tenancy is commonly used in residential leases. If the original agreement provides for the conversion from an estate for years to a periodic tenancy, no negotiations are necessary; the tenant simply exercises his or her option.

Estate from Period to Period
An estate from period to period also might be created when a tenant with an estate for years remains in possession, or holds over, after the lease term expires. If no new lease agreement has been made, a holdover tenancy is created. The landlord may evict the tenant or treat the holdover tenant as one who holds a periodic tenancy. The landlord's acceptance of rent usually is considered conclusive proof of acceptance of the periodic tenancy. The courts customarily rule that a tenant who holds over can do so for a term equal to the term of the original lease, provided the period is for one year or less. For example, a tenant with a lease for six months would be entitled to a new six-month tenancy. However, if the original lease were for five years, the holdover tenancy could not exceed one year. Some leases stipulate that in the absence of a renewal agreement, a tenant who holds over does so as a month-to-month tenant. In some states, a holdover tenancy is considered a tenancy at will (discussed below).

To terminate a periodic estate, either the landlord or the tenant must give proper notice. The form and timing of the notice are usually established by state statute. Normally, the notice must be given one period in advance, that is, to terminate an estate from week to week, one week's notice is required; to terminate an estate from month to month, one month's notice is required. For an estate from year to year, however, the requirements vary from two months' to six months' notice.

Estate at Will
An estate (tenancy) at will gives the tenant the right to possess property with the landlord's consent for an unspecified or uncertain term. An estate at will is a tenancy of indefinite duration. It continues until it is terminated by either party's giving proper notice. No definite initial period is specified, as is the case in a periodic tenancy. An estate at will is automatically terminated by the death of either the landlord or the tenant. It may be created by express agreement or by operation of law. During the existence of a tenancy at will, the tenant has all the rights and obligations of a lessor-lessee relationship, including the duty to pay rent at regular intervals.

As a practical matter, tenancy at will is rarely used in a written agreement and is viewed skeptically by the courts. It is usually interpreted as a periodic tenancy, with the period being defined by the interval of rental payments.

Estate at Sufferance
An estate (tenancy) at sufferance arises when a tenant who lawfully possessed real property continues in possession of the premises without the landlord's consent after the rights expire. This estate can arise when a tenant for years fails to surrender possession at the lease's expiration. A tenancy at sufferance can also occur by operation of law when a borrower continues in possession after a foreclosure sale and beyond the redemption period's expiration.

When a tenant fails to surrender possession, or "holds over," one of two things happen. The first possibility is that the landlord accepts rent offered by the tenant and a periodic tenancy is created. The second possibility is that the landlord doesn't consent to the "holdover" and a tenancy in sufferance is created. In this latter situation, the tenant is evicted.

 LEASE AGREEMENTS
Most states require no special wording to establish the landlord-tenant relationship. The lease may be written, oral, or implied, depending on the circumstances and the requirements of the statute of frauds. The law of the state where the real estate is located must be followed to ensure the validity of the lease.

Form F58 - Residential Lease Agreement for Single-Family Dwelling, available to members of the Tennessee Association of Realtors is an example of a typical residential lease.   See a copy of Form F58 click here

Requirements of a Valid Lease
► A lease is a form of contract. To be valid, a lease must meet essentially the same
► requirements as any other contract:
► Capacity to contract. The parties must have the legal capacity to contract.
► Legal objectives. The objectives of the lease must be legal.
► Offer and acceptance. The parties must reach a mutual agreement on all the terms of the contract.
► Consideration.

The lease must be supported by valid consideration. Rent is the normal consideration given for the right to occupy the leased premises. However, the payment of rent is not essential as long as consideration was granted in creating the lease itself. Sometimes, for instance, this consideration is labor performed on the property. Because a lease is a contract, it is not subject to subsequent changes in the rent or other terms unless these changes are in writing and executed in the same manner as the original lease.

The leased premises should be clearly described. The legal description of the real estate should be used if the lease covers land, such as a ground lease. If the lease is for a part of a building, such as an apartment, the space itself or the apartment designation should be described specifically. If supplemental space is to be included, the lease should clearly identify it.

IN PRACTICE  Preprinted lease agreements are usually better suited to residential leases. Commercial leases are generally more complex, have different legal requirements, and may include complicated calculations of rent and maintenance costs. Drafting a commercial lease—or a complex residential lease, for that matter—may constitute the practice of law. Unless the real estate licensee is also an attorney, legal counsel should be sought.

Possession of Premises
The lessor, as the owner of the real estate, is usually bound by the implied covenant of quiet enjoyment. Quiet enjoyment does not have anything to do with barking dogs or late-night motorcycles. The covenant of quiet enjoyment is a presumed promise by the lessor that the lessee may take possession of the premises. The landlord further guarantees that he or she will not interfere in the tenant's possession or use of the property.
The lease may allow the landlord to enter the property to perform maintenance, to make repairs, or for other stated purposes. The tenant's permission is usually required and may be stipulated in the lease.

If the premises are occupied by a holdover tenant or an adverse claimant at the beginning of the new lease period, most states require the landlord to take whatever measures are necessary to recover actual possession. In a few states, however, the landlord is bound only to give the tenant the right of possession; it is the tenant who must bring a court action to secure actual possession.

Use of Premises
A lessor may restrict a lessee's use of the premises through provisions included in the lease. Use restrictions are particularly common in leases for stores or commercial space. For example, a lease may provide that the leased premises are to be used "only as a real estate office and for no other purpose." In the absence of such clear limitations, a lessee may use the premises for any lawful purpose.

Term of Lease
The term of a lease is the period for which the lease will run. It should be stated precisely, including the beginning and ending dates, together with a statement of the total period of the lease. For instance, a lease might run "for a term of 30 years beginning June 1, 2000, and end May 31, 2030." A perpetual lease for an inordinate amount of time or an indefinite term usually will be ruled invalid. However, if the language of the lease and the surrounding circumstances clearly indicate that the parties intended such a term, the lease will be binding on the parties. Some states prohibit leases that run for 100 years or more.

Security Deposit
Most leases require that the tenant provide some form of security deposit to be held by the landlord during the lease term. If the tenant defaults on payment of rent or destroys the premises, the lessor may keep all or part of the deposit to compensate for the loss. Some state laws set maximum amounts for security deposits and specify how they must be handled. Some prohibit security deposits from being used for both nonpayment of rent and property damage. Some require that lessees receive annual interest on their security deposits.

Other safeguards against nonpayment of rent may include advancing the rental payment, contracting for a lien on the tenant's property, or requiring the tenant to have a third person guarantee payment.

IN PRACTICE    A lease should specify whether a payment is a security deposit or an advance rental. If it is a security deposit, the tenant is usually not entitled to apply it to the final month's rent. If it is an advance rental, the landlord must treat it as income for tax purposes.

Improvements
Neither the landlord nor the tenant is required to make any improvements to the leased property. The tenant may, however, make improvements with the landlord's permission. Any alterations generally become the landlord's property; that is, they become fixtures. However, the lease may give the tenant the right to install trade fixtures. Trade fixtures may be removed before the lease expires, provided the tenant restores the premises to their previous condition, with allowance for the wear and tear of normal use.

Accessibility.
The federal Fair Housing Act (discussed in Chapter 20) makes it illegal to discriminate against prospective tenants on the basis of physical disability. Tenants with disabilities must be permitted to make reasonable modifications to a property at their own expense. However, if the modifications would interfere with a future tenant's use, the landlord may require that the premises be restored to their original condition at the end of the lease term.

IN PRACTICE  The Americans with Disabilities Act (ADA) applies to commercial, nonresidential property in which public goods or services are provided. The ADA requires that such properties either be free of architectural barriers or provide reasonable accommodations for people with disabilities.

Maintenance of Premises
Many states now require a residential lessor to maintain dwelling units in a habitable condition. Landlords must make any necessary repairs to common areas, such as hallways, stairs, and elevators, and maintain safety features, such as fire sprinklers and smoke alarms. The tenant does not have to make any repairs but must return the premises in the same condition they were received, with allowances for ordinary wear and tear.

Destruction of Premises
In leases involving agricultural land, the courts have held that when improvements are damaged or destroyed, the tenant is obligated to pay rent to the end of the term. The tenant's liability does not depend on whether the damage was his or her fault. This ruling has been extended in most states to include ground leases for land on which the tenant has constructed a building. In many instances, it also includes leases that give possession of an entire building to the tenant. In this case, the tenant leases the land on which that building is located, as well as the structure itself. Insurance is available to cover such contingencies.

A tenant who leases only part of a building, such as office or commercial space or a residential apartment, however, is not required to continue to pay rent after the leased premises are destroyed. In some states, if the property was destroyed as a result of the landlord's negligence, the tenant can even recover damages.

Assignment and Subleasing
When a tenant transfers all of his or her leasehold interests to another person, the lease has been assigned. On the other hand, when a tenant transfers less than all the leasehold interests by leasing them to a new tenant, he or she has subleased (or sublet) the property. Assignment and subleasing are permitted whenever a lease does not prohibit them.

In most cases, the sublease or assignment of a lease does not relieve the original lessee of the obligation to pay rent. The landlord may, however, agree to waive the former tenant's liability. Most leases prohibit a lessee from assigning or sub-letting without the lessor's consent. This permits the lessor to retain control over the occupancy of the leased premises. As a rule, the lessor must not unreasonably withhold consent. The sublessor's (original lessee's) interest in the real estate is known as a sandwich lease.

Recording a Lease
Possession of leased premises is considered constructive notice to the world of the lessee's leasehold interests. Anyone who inspects the property receives actual notice. For these reasons, it is usually considered unnecessary to record a lease. However, most states do allow a lease to be recorded in the county in which the property is located. Furthermore, leases of three years or longer often are recorded as a matter of course. Some states require that long-term leases be recorded, especially when the lessees intend to mortgage the leasehold interests.

In some states, only a memorandum of lease is filed. A memorandum of lease gives notice of the interest, but does not disclose the terms of the lease. Only the names of the parties and a description of the property are included.

Options
A lease may contain a clause that grants the lessee the privilege of renewing the lease. The lessee must, however, give notice of his or her intention to exercise the option. Some leases grant the lessees the option to purchase the leased premises. This option normally allows the tenant the right to purchase the property at a predetermined price within a certain time period, possibly the lease term. Although it is not required, the owner may give the tenant credit toward the purchase price for some percentage of the rent paid. The lease agreement is a primary contract over the option to purchase.

IN PRACTICE  All of these general statements concerning provisions of a lease are controlled largely by the terms of the agreement and state law. Landlord-tenant laws also vary from state to state. Great care must be exercised in reading the entire lease document before signing it because every clause in the lease has an economic and a legal impact on either the landlord or the tenant. While preprinted lease forms are available, there is no such thing as a standard lease. When complicated lease situations arise, legal counsel should be sought.

TYPES OF LEASES
The manner in which rent is determined indicates the type of lease that exists.

Gross Lease
In a gross lease, the tenant pays a fixed rental, and the landlord pays all taxes, insurance, repairs, utilities, and the like connected with the property (usually called property charges or operating expenses). This is typically the type of rent structure involved in residential leasing.

Net Lease
In a net lease, the tenant pays all or some of the property charges in addition to the rent. The monthly rental is net income for the landlord after operating costs have been paid. Leases for entire commercial or industrial buildings and the land on which they are located, ground leases, and long-term leases are usually net leases.
In a triple-net lease, or net-net-net lease, the tenant pays all operating and other expenses in addition to a periodic rent. These expenses include taxes, insurance, assessments, maintenance, utilities, and other charges related to the premises.

Percentage Lease
Either a gross lease or a net lease may be a 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. This type of lease is usually used for retail businesses. The percentage charged is negotiable and varies depending on the nature of the business, the location of the property and general economic conditions.
 
 Other Types of Leases

Variable lease.
Several types of leases allow for increases in the rental charges during the lease periods. One of the more common is the graduated lease. A graduated lease provides for specified rent increases at set future dates. Another is the index lease, which allows rent to be increased or decreased periodically based on changes in the consumer price index or some other indicator.

Ground lease.
When a landowner leases unimproved land to a tenant who agrees to erect a building on the land, the lease is usually referred to as a ground lease. Ground leases usually involve separate ownership of the land and buildings. These leases must be for a long enough term to make the transaction desirable to the tenant investing in the building. They often run for terms of 50 years up to 99 years. Ground leases are generally net leases: The lessee must pay rent on the ground as well as real estate taxes, insurance, upkeep, and repairs.

Oil and gas lease.
When an oil company leases land to explore for oil and gas, a special lease agreement must be negotiated. Usually, the landowner receives a cash payment for executing the lease. If no well is drilled within the period stated in the lease, the lease expires. However, most oil and gas leases permit the oil company to continue its rights for another year by paying another flat rental fee. Such rentals may be paid annually until a well is produced. If oil or gas is found, the landowner usually receives a percentage of its value as a royalty. As long as oil or gas is obtained in significant quantities, the lease continues indefinitely.

A lease purchase is used when a tenant wants to purchase the property but is unable to do so. Perhaps the tenant cannot obtain favorable financing or clear title, or the tax consequences of a current purchase would be unfavorable. In this arrangement, the purchase agreement is the primary consideration, and the lease is secondary. Part of the periodic rent is applied toward the purchase price of the property until it is reduced to an amount for which the tenant can obtain financing or purchase the property outright, depending on the terms of the lease purchase agreement.

Agricultural landowners often lease their land to tenant farmers, who provide the labor to produce and bring in the crop. An owner can be paid by a tenant in one of two ways: as an agreed-on rental amount in cash in advance (cash rent) or as a percentage of the profits from the sale of the crop when it is sold (sharecropping).
 
 DISCHARGE OF LEASES
As with any contract, a lease is discharged when the contract terminates. Termination can occur when all parties have fully performed their obligations under the agreement. In addition, the parties may agree to cancel the lease. If the tenant, for instance, offers to surrender the leasehold interest, and if the landlord accepts the tenant's offer, the lease is terminated. A tenant who simply abandons leased property, however, remains liable for the terms of the lease—including the rent. The terms of the lease will usually indicate whether the landlord is obligated to try to rerent the space. If the landlord intends to sue for unpaid rent, however, most states require an attempt to mitigate damages by rerenting the premises to limit the amount owed.

The lease does not terminate if the parties die or if the property is sold. There are two exceptions to this general rule. A lease from the owner of a life estate ends when the measuring life ends. The death of either party terminates a tenancy at will. In all other cases, the heirs of a deceased landlord are bound by the terms of existing valid leases.

If leased real estate is sold or otherwise conveyed, the new landlord takes the property subject to the rights of the tenants. A lease agreement may, however, contain language that permits a new landlord to terminate existing leases. The clause, commonly known as a sale clause, requires that the tenants be given some period of notice before the termination. Because the new owner has taken title subject to the rights of the tenants, the sale clause enables the new landlord to claim possession and negotiate new leases under his or her own terms and conditions.

A tenancy may also be terminated by operation of law, as in a bankruptcy or condemnation proceeding.

Breach of Lease
When a tenant breaches any lease provision, the landlord may sue the tenant to obtain a judgment to cover past-due rent, damages to the premises, or other defaults. Likewise, when a landlord breaches any lease provision, the tenant is entitled to certain remedies. The rights and responsibilities of the landlord-tenant relationship are usually governed by state law.
 
Suit for possession—actual eviction.
When a tenant breaches a lease or improperly retains leased premises, the landlord may regain possession through a legal process known as actual eviction. The landlord must serve notice on the tenant before commencing the lawsuit. Most lease terms require at least a ten-day notice in the case of default. In many states, however, only a five-day notice is necessary when the tenant defaults in the payment of rent. When a court issues a judgment for possession to a landlord, the tenant must vacate the property. If the tenant fails to leave, the landlord can have the judgment enforced by a court officer, who forcibly removes the tenant and the tenant's possessions. The landlord then has the right to reenter and regain possession of the property.

Tenants' remedies—constructive eviction.
If a landlord breaches any clause of a lease agreement, the tenant has the right to sue and recover damages against the landlord. If the leased premises become unusable for the purpose stated in the lease, the tenant may have the right to abandon them. This action, called constructive eviction, terminates the lease agreement. The tenant must prove that the premises have become unusable because of the conscious neglect of the landlord. To claim constructive eviction, the tenant must leave the premises while the conditions that made the premises uninhabitable exist.

FOR EXAMPLE    Tim's lease requires that the landlord furnish heat. The landlord fails to repair a defective furnace, and no heat is provided to Tim's apartment during the winter months. Tim is forced to abandon the apartment. Because the lack of heat was due to the landlord's negligence, Tim has been constructively evicted.

Fran's lease requires that the landlord furnish water. Although the landlord carefully maintains the building's plumbing system, the pipes develop a leak, and Fran's apartment is without water for several weeks while the problem is being repaired. Fran abandons the apartment. Because the lack of water was not due to the landlord's negligence, however, Fran has not been constructively evicted.

Harry owns a nightclub and a neighboring apartment building. Ben leased an apartment from Harry. The noise from the nightclub in the late evening and early morning was intense, and Ben complained about it to Harry. Harry posted a sign in the nightclub that said, "Shhh: We Have Neighbors!" but the noise continued. Finally, Ben abandoned the apartment, and Harry sued to recover rent. The court held that Ben had been constructively evicted because of the loud noise.

Pro-Tenant Legislation
For the most part, leases are drawn up primarily for the benefit of the landlord. However, due to tenant's rights movements and increased consumer awareness, several states have adopted some variation of the Uniform Residential Landlord and Tenant Act. This model law addresses the need for both parties to a lease to fulfill certain basic obligations. The act address such issues as
     ► the landlord's right of entry,
     ► maintenance of the premises,
     ► the tenant's protection against retaliation by the landlord for complaints, and
     ► the disclosure of the property owners' names and addresses to the tenants.
The act further establishes the specific remedies available to both the landlord and the tenant if a breach of the lease agreement occurs.

 FAIR HOUSING AND CIVIL RIGHTS LAWS
The fair housing laws affect landlords and tenants just as they do sellers and purchasers. All persons must have access to housing of their choice without any differentiation in the terms and conditions because of their race, color, religion, national origin, sex, handicap, or familial status. State and local municipalities may have their own fair housing laws that add protected classes such as age and sexual orientation. Withholding an apartment that is available for rent, segregating certain persons in separate sections of an apartment complex or parts of a building, and charging persons in the protected classes different amounts for rent or security deposits all constitute violations of the law. The fair housing laws are discussed in greater detail in Chapter 20.

It is important that landlords realize that changes in the laws stemming from the federal Fair Housing Amendments Act of 1988 significantly alter past practices, particularly as they affect individuals with disabilities and families with children. The fair housing laws require that the same tenant criteria be applied to families with children that are applied to adults. A landlord cannot charge a different amount of rent or security deposit because one of the tenants is a child. While landlords have historically argued that children are noisy and destructive, the fact is that many adults are noisy and destructive as well.

 SUMMARY
A lease is an agreement that grants one person the right to use the property of another in return for consideration.

A leasehold estate that runs for a specific length of time creates an estate for years; one that runs for an indefinite period creates an estate from period to period (year to year, month to month). An estate at will runs as long as the landlord permits; and an estate at sufferance is possession without the consent of the landlord. A leasehold estate is classified as personal property.

The requirements of a valid lease include capacity to contract, legal objectives, offer and acceptance, and consideration. In addition, state statutes of frauds generally require that any lease that will not be completed within one year of the date of its making must be in writing to be enforceable in court. Most leases also include clauses relating to rights and obligations of the landlord and tenant, such as the use of the premises, subletting, judgments, maintenance of the premises, and termination of the lease period.
 
There are several basic types of leases, including net leases, gross leases, and percentage leases. These leases are classified according to the method used in determining the rental rate of the property.

The Americans with Disabilities Act provides for access to goods and services by people with disabilities.

A lease may be terminated by the expiration of the lease period, the mutual agreement of the parties, or a breach of the lease by either the landlord or tenant. In most cases, neither the death of the tenant nor the landlord's sale of the rental property terminates a lease.

If a tenant defaults on any lease provision, the landlord may sue for a money judgment, actual eviction, or both. If the premises have become uninhabitable due to the landlord's negligence or failure to correct defects within a reasonable time, the tenant may have the remedy of constructive eviction, that is, the right to abandon the premises and refuse to pay rent until the premises are repaired.

The fair housing laws protect the rights of tenants. Besides prohibiting discrimination based on race, color, religion, familial status, national origin, and sex, the laws address the rights of individuals with disabilities and families with children.