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Property I
University of Tennessee School of Law
Leatherman, Don A.

PROPERTY LEATHERMAN SPRING 2017
 
LEASES
 
Landlord Tenant
Types of leaseholds
Term of Years:  A lease with a fixed beginning and end date specified
notification requirements: none to terminate
Periodic Tenancy: lease for a fixed period of time that automatically renews until termination (Most common)
notification requirements: required to terminate
notice must be given by half the term’s length (1 year lease requires 6 months notice)
Weekly lease requires 14 days notice in Tennessee
Tenancy at Will: no fixed period specified. Continues until termination by either party or death of either party.
Holdover Tenancy: applies when a tenant remains on the property after the lease has ended
Landlord can:
 either remove tenant; or
renew lease and allow tenant to remain
a periodic tenancy would then be formed
Who is obligated to sue holdover tenants?
Modern law: the new tenant
landlord won’t rent to new tenant immediately after prior lease ends in case there is a holdover (doesn’t usually happen anyways though); economic costs in delaying rentals; efficiency since most tenants don't hold over
Common law: the landlord (*Leatherman’s preference)
landlord has experience and is in a better position to know if there will be a holdover
 
 
Selection of Tenants:
Fair Housing Act prevents discrimination on basis of race, color, religion, sex, familial status, or national origin
§ 3603: who FHA applies to
§ 3604: what FHA prohibits
Exemptions: FHA does not apply to
Single family houses if the owner does not own more than 3 such homes
Policy: draws line between sophisticated and unsophisticated parties
Counter: not allowed to use exemption if owner used a broker and can’t openly discriminate in advertisements
Rooms or units in dwellings containing living quarters that can be occupied by no more than 4 families living independently of each other
§ 1982 Statute: All US citizens have right to inherit, purchase, lease, and sell property
Separate from the FHA. FHA exemptions do not apply here
Landlord’s Duties:
interests/ right of entry….
right of posession: that landlord hasn't leased the property to anyone else
Assignment and Subleases:
Assignment: the tenant gives up the remainder of their interest in the property
Sublease: less than the tenant’s full interest is given
Privity of Contract
Privity

no utilities access, promises to make repairs but doesn’t, infestations not cured
the breach is substantial; and
look at the entirety of the facts to determine if substantial (make argument)
if tenant decides to vacate, the tenant must vacate within a reasonable time of the breach
Tenant can sue for damages instead of vacating
Damages/Rent
If a landlord ends a lease by eviction: tenant not responsible for future rent
If the tenant stays despite constructive eviction, can sue for past and future damages (like reduction in rent)
Retalitory eviction against tenants not allowed
Implied Warranty of Habitability
Protects the health, safety, and habitability of the residents/property
Breach of IWH elements:
Landlord must know of the defect;
Landlord must be given a reasonable time to fix defect and fail to do so
The defect must impact habitability
Applies only to residential properties
IWH defects cannot be waived
IWH damages: