How To Solve Leasing Misunderstandings

It would be inevitable to have misunderstandings between lessees and lessors, and sometimes those misunderstandings would not be easily solved through peaceful talks, compromises and simple resolutions. There would be times wherein it is not only a single lessee that is being treated unfairly by lessors or landlords, so it would actually be a group consensus to formally file a legal suit or case against the lessor. There could also be instances wherein the landlord would be disadvantage versus a group of tenants or lessees, and that is then when it is his or her turn to actually file suit versus the tenants. When you are in the position of either a lessor or a lessee, it is not always a guarantee that there would not be any scenarios wherein legal and professional help is needed. That is why it is actually important to hire your very own landlord and tenant solicitors no matter where you are in the spectrum, these solicitors would be able to act in behalf of tenants and landlords alike, no matter the situation.

Contracts and Renewals

A contract, even though it is just a piece or pages of paper/s, is actually important as it is legally binding because it should be enforced by law. That is why it is actually important to have it drafted, or even just have it proofread and checked at the minimum, by solicitors just to be sure that neither of the parties involved are disadvantaged in any way through the terms and conditions stipulated in the contract. In the case of a lessor and lessee relationship, contracts should always be overlooked by a landlord and tenant solicitor since this is his or her specialization. If you miss this step in terms of getting into a lease contract, then it might be iffy and if anything bad happens like overcharging you for something not explicitly stated in the contract, then you may be in trouble. In fact, even for lease extensions and renewals, it is still advisable to seek the professional advice and help of these solicitors just so you are guaranteed that there would be no lose ends to put you at a disadvantage, whether you are the tenant or the landlord.

Collective Enfranchisement

Tenants actually have the legal right to purchase the freehold or so-called tenure of a building should they wish to. If you are the landlord of a building and a group of tenants who own flats and spaces within your building decide to buy the freehold of the building, they could do so, but of course it should be done legally through the help of a landlord and tenant solicitor. If you have a solicitor of your own, like you really should right from the start, you would be able to have the necessary information if this is possible with your building and how to go about it. Because in order for collective enfranchisement to be enforced, the building should be considered 75% residential, and no more than 25% of the building spaces and lots should be utilised for commercial uses. When collective enfranchisement happens, you could already consider the building as tenant-owned which tenants themselves could actually have a say in the overall management of the building, and even dictate minimum lease rates as the ground rent could be eliminated. This may also be a win for landlords looking to sell their buildings because market studies show that a tenant-owned building is actually easier to sell as it stands better with potential buyers.

Payments and Charges

Landlords cannot charge more from their tenants other than the amount stipulated in the contract. Should there be escalations per year with the lease rate, it should be indicated in the contract when it would be enforced and by what percentage the rate would increase. Should the tenant agree with such escalations, it is okay to sign the contract, but that is what should be strictly followed by both parties. Any plans of renovation, maintenance, and repair expenses should first be discussed with the tenant so that there is transparency between parties and there is an agreement that would be written on the contract. At the same time, tenants could not just simply do flat improvements on their own and take it out of their monthly lease rate, or have the landlord pay for it without any notice, especially if these improvements are not in the contract. If tenants have a long lease period and for example want to consider doing home improvements after every year, the landlord should be in agreement before it could be written in the contract and have both parties sign on it. Any disputes on service charges between the landlord and the tenant could be grounds for legal action which is why it is very important to hire your own solicitor.