Chapter 14

Periodic Tenancy

A lease that automatically renews for successive periods unless terminated by either party. Also called estate from year to year.

Estate from Period to Period

A leasehold estate that automatically renews itself for consecutive periods until terminated by notice given by either party. Also called estate from year to year and periodic tenancy.

Estate at Will

A leasehold estate that may be terminated by either party.

North Carolina Residential Rental Agreements Act

A North Carolina statute that affects residential rentals in NC by setting forth the mutually dependent obligations and duties of landlords and tenants, as well as the remedies available fore breach of contract by the landlord.

North Carolina Tenant Security Deposit Act

A North Carolina statute that requires a landlord or his or her agent to ensure that residential rental deposits are placed in a trust account or guaranteed with a bond and specifies the amount and permitted use of such deposits. The tenant must be notified of the disposition of such deposits.

Lease

A contract wherein a landlord gives a tenant the right of use and possession of property for a limited time in return for rent.

Lessor

A landlord under a lease.

Ground Lease

A lease of unimproved land. Also called land lease.

Full Service Leases

A lease requiring each tenant to pay a portion of the overall operating expenses for the building and common areas in addition to a base rent. common in large office buildings and shopping centers.

Estate for Years

A leasehold estate of definite duration.

Sale and Leaseback

A transaction whereby an owner sells his or her property to an investor who immediately leases the property to the seller as agreed upon in the sales contract.

Breach of Condition

Failure of landlord or tenant to perform his or her respective duties under the terms of the lease, thereby giving the other party grounds for terminating the lease.

Tenant

Lessee. A person possessing real property with the owner's permission.

Net Lease

One in which the lessee pays a fixed amount of rent plus the costs of oration of the property.

Gross Lease

One in which the lessor pays all costs of operating and maintaining the property and real property taxes.

Graduated Lease

One in which the renal amount changes in specified amounts over the lease term.

Percentage Leases

One in which the rental amount is a combination of a fixed amount plus a percentage of lessee's gross sales.

Fit Premises

Residential property that is in fit condition for human habitation. In North Carolina a landlord is required to do whatever is necessary to put and maintain.

Constructive Eviction

The right of a tenant to move out and stop paying rent resulting from some action or inaction by the landlord that renders the premises unsuitable for the use agreed to in a lease or another rental contract.

Lessee

A tenant under a lease.

Estate of Sufferance

Describes the situation of someone continuing to occupy property after lawful authorization has expired. A form of leasehold estate.

Residential Eviction Remedies

Judicial eviction, also known as summary ejectment, is the only legal residential eviction remedy in North Carolina.

Index Lease

One in which the rental amount is changed in proportion to changes in a measure such as the Consumer Price Index

Landlord

One who owns real property and leases it to another. Also called lessor.

Retaliatory Eviction Statute

The doctrine protecting a tenant from eviction for having asserted his or her rights. Provides an automatic defense for up to one year after such event.