Contract of Lease
Definition and essentialia • = reciprocal contract ito which one party (lessor or landlord) undertakes to make temporarily available to another (lessee or tenant) the use and enjoyment of a thing wholly or partly in return for payment in money or in share of fruits of the property ESSENTIALIA FOR CONTRACT OF LEASE: • 1. undertaking by the lessor to give lessee the use and enjoyment of something; • 2. an agreement between lessor and lessee that lessee can use and enjoy the object but which is temporary; • 3. undertaking to pay rent.
RIGHTS AND DUTIES OF LESSEE AND LESSOR RIGHTS OF LOSSOR: 1. Non-Payment of rent: • Contracts of lease of immovable property contains a “forfeiture clause” = lessor will be entitled to cancel the lease AND eject the lessee if latter breaches specified conditions eg payment of rent • Whether or not there is a forfeiter clause, the lessor has a hypothec over all the movables on the property which belongs to the lessee – as soon as the lessee falls in arrear with the rent the lessor can take the movable property of the lessee to another destination as security until the arrear rent is paid in full. • Hypothec serves as security for the rent – it comes into operation as soon as the first amount is in arrear and for only as long as the rent is due. But the hypothec is only effective when it is enforced by the courts.
- Winter '19
- Contract Law, Leasehold estate