An example of a contract that I
know is a rental agreement which is an agreement between the tenant and a
property owner. This agreement included some details such as (RENT, 2017):
The property that describes in this agreement as
a condominium along with the address
Names of the tenants and the property owner
The terms that describe the consequences such
as;
If the tenant will move from the location
earlier than the period agreed in the contract, then the tenant is responsible for
paying a complete amount of rent.
Each party must give a written note to terminate
the agreement minimum 30 days earlier than the termination date.
The rent amount and the date when the tenant
should pay for the rent
The deposit amount
The late fee along with its consequences
Termination date
The rights and responsibilities of the tenant
such as:
Maintain the condominium in an excellent
condition just the same as the first condition
Repair any damage on the condominium
Clean up the garbage properly
The rights and responsibilities of the owner
such as:
The owner must pay the janitorial services,
utility, as well as other costs related to the condominium for the first year
of the agreement
The signatures of both the owner and the tenant
Five Essential Elements within an Enforceable Contract
In an enforceable contract, there
are five essential elements which created the agreement to be a valid one (Cross &
Miller, 2011).
Those five essential elements are as mentioned below.
An offer describes as what
exactly a party agrees to do when they sign up an agreement. In a rental
agreement above, an offer describes as the owner who offers his condominium to
the tenant for a specific price. The condominium indicated through the address
mentioned in the agreement, and the price of rent also written clearly as well.
Acceptance is when the party who
receives the offer agrees to the terms and condition of the offer. In the
rental agreement above, an acceptance describes as a tenant who receives the
offer from the owner to rent his condominium.
Consideration could be described
as the thing that the party will give the payment to complete the agreement. In
the rental agreement, the consideration defines as the condominium which the tenant
will give the payment for, to the owner.
The capacity defines as the
capacity matters of both parties in completing the agreement such as age, as
well as health and mental condition, which will impact on how the parties will
able to complete their responsibilities mentioned in the agreement. In the
rental agreement above, the capacity defines as the capacity of both tenant and
owner in completing their responsibilities which mentioned in the agreement.
The legality describes as the
entire terms in the agreement should obey the rules and laws in the country
where the agreement conducts. In the rental agreement above, the legality is
related to the rules that apply in the country where the condominium is
located.
Breaches of Rental Agreement
There are some circumstances in
which a breach might occur within a rental agreement. However, the breaches of
rental agreement could come not only from a tenant, but from the owner as well (Stewart,
Warner, & Portman, 2015).
Some breaches that might arrive from the tenant are:
Fail to give the rental payment in time and a
complete amount
Living with more than the maximum number of
residents in the condominium
Changing the structure of condominium without
any permission from the owner
Using the condominium as a business workplace
without any permission from the owner
On the other hand,
some breaches that might arrive from the owner are:
Not giving the payment for the janitorial
services, utility, as well as other costs which agreed in the rental agreement
The owner could take different
respond to the breach, which totally depends on which level that the breach of
contract was conducted, or what are the straight significances of the breach.
In a number of rental agreements, the owner might specify that the tenant will
have to pay some amount of fine if any breach happens. On the other hand, if
the owner attempts to apply a fine without clearly written previously within
the rental agreement, then the tenant could also take a protest against it.
Possible
Remedies for the Breaches
The owner frequently makes the
rental agreement with countless promises, terms and conditions for the tenant.
Even though some of these are negotiable, but a breach could always appear in
some circumstances. The possible remedies for the breaches are provided for
both the owner and the tenant (Scherer & Fisher, 2015).
Some possible remedies to the owner are mentioned
such as:
Termination
The termination
from the owner due to the fault of the tenant will free the tenant from the
obligations to pay the rent.
Security Deposit
The owner in the
case could use the security deposit from the tenant if the tenant fails to pay
the rent.
Eviction
Eviction defines
as a legal perform from the owner to eject the tenant from the condominium.
On the other hand, some possible remedies to the
tenant are mentioned such as:
The cure rights of a tenant
A tenant could
get a response to the fault of the owner which depends on whether the rental
agreement is dependent or independent. If the
responsibilities are dependent, then the tenant does not have to outlook by the
terms (like the rental payment) until the owner preserves any faults. On the
other hand, if the responsibilities are independent, then the tenant can endure
to outlook by the terms in the rent agreement, but might also pursue
compensations in a law court.
References of Rental Agreement
Cross, F. B., & Miller, R. L. (2011). The Legal
Environment of Business: Text and Cases: Ethical, Regulatory, Global, and
Corporate Issues. Cengage Learning.
RENT, B. (2017). For Rent.
Scherer, A., & Fisher, F. A. (2015).
Residential Landlord-Tenant Law in New York.
Stewart, M., Warner, R., & Portman,
J. (2015). Leases & Rental Agreements. Nolo.