If a tenant in violation of his lease sublets a part of the premises, the original lessor may eject the sublessee, and sue the tenant for damage for breach of contract.
If a tenant exercise his right of subletting a part of the premises, he is not thereby relieved from his responsibility to pay rent under the lease. Even though the tenant agrees to accept rent from the sublessee, and apply the same on the obligation of the original lessee, this does not relieve the original tenant from his obligation to pay rent. For example, if A rents B's house and lot for three years for $25.00 per month, payable monthly in advance, and B agrees to accept the rent from C, and does accept payments from C, this does not relieve A from liability to pay B the rent. A is a surety, and his obligation to pay the rent to B is the same as the obligation of C. If B expressly agrees to relieve A and to accept C in place of A, he can no longer hold A.
337. Tenancies at Will and at Sufferance. A lease may be entered into, the terms of which may be terminated at the will of either party. It is for an indefinite period. Such a lease creates a tenancy at will. (See Estates at Will, chapter on Real Property.) Tenancies at will are uncommon. The usual tenancies are tenancies for years and tenancies from year to year. If A permits B to take possession of, and to occupy his house under an agreement that either he or B may terminate the lease at the desire of either party, the tenancy is one at will. B may agree to pay rent at the rate of $10.00 per week, $40.00 per month or $500.00 a year, or at any rate, without affecting the estate at will. If the estate is for an indefinite period, but is terminable at the wish of either party, no matter what the arrangement for paying the rent, it is an estate at will, as distinguished from an estate for years, and an estate from year to year.
It is sometimes held that a person who holds over with the consent of the landlord after the termination of a lease for a definite period, called an estate for years, is a tenant at will. For example, if A rents B's house for one year, and at the expiration of the year, A with B's consent retains possession, A is a tenant at will. The tenancy may be terminated at the desire of either party, and upon notice by either party. In most jurisdictions, however, this constitutes A a tenant from year to year. (See following section.)
A tenancy at sufferance is created by a tenant unlawfully retaining possession of the premises after the termination of his lease, without the consent of the landlord. If A rents B's house for one year, and at the expiration of the year A, without B's consent retains possession of the house, he is a tenant at sufferance. He is a trespasser, and may be ejected by B. Tenancies at will and at sufferance are estates in land. They are also discussed under the chapter on Real Property.
338. Tenancies from Year to Year. A tenancy may be created for a definite period of time to continue for similar periods unless terminated by notice of either party. Such a tenancy is called a tenancy for years. The tenancy may involve any definite period with the understanding that it is to continue for similar periods if not terminated by notice of the landlord or tenant. While the estate is called an estate from year to year, or a tenancy from year to year, it may be for a week, a month, a year, or a series of years, or for any definite period. If A rents B's house for one year, the rent to be paid at the rate of $30.00 per month, payable monthly in advance, the lease to continue for yearly periods unless either A or B notifies the other to the contrary, the tenancy is from year to year. If, at the expiration of the year, A retains possession of the premises, having received no notice from B to leave, A has a lease for another year under the same terms, and so on, for succeeding years. The period may be a week, or a month, as well as a year. Sometimes leases are spoken of as leases from month to month, or from week to week, in case the lease is to continue for a month, or a week. The same principle is involved as in leases from year to year. If the tenant holds over after the expiration of the week or month, he has a lease for a similar period at the same terms.
A tenancy for years may be created by express or by implied contract. It is sometimes difficult to tell whether a tenancy is for years, from year to year, or at will. If a lease specifies that it is to cover a definite period only, it is a lease for years, and terminates at the expiration of that period. If the lease stipulates that it is to cover a definite period, and continue for similar periods unless either party terminates it by notice to the other, it is a lease from year to year. If the lease stipulates that it can be terminated at the will of either party, it is a lease at will. When the lease is oral, or created by implication, the intention of the parties must determine the nature of the lease.
Some difficulty arises in determining whether a lease is one at will, or from year to year when a tenant for years is permitted to hold over with the consent of his landlord. For example, if A rents B's farm for one year, and is permitted by B to remain in possession after the expiration of the year, in theory, A is a mere tenant at will, and can be ejected at the will of B. This is the law in a few jurisdictions. Most jurisdictions, however, hold that A, when permitted to hold over by B's consent, becomes a tenant from year to year.
339. Termination of Leases. A lease for years is terminated by expiration of the period covered by the lease. The lease may contain covenants, breach of which may by stipulation constitute a ground of forfeiture. For example, a lease may contain a stipulation that the landlord may declare a forfeiture in case the tenant fails to pay the rent when it is due. If the tenant commits a breach of this or any other covenant made by special stipulation, a ground of forfeiture, the landlord may by notice declare the lease forfeited. This renders the balance of the lease void. Leases for years, definite periods of time, require no notice to terminate. Leases at will, and from year to year require notice on the part of the party seeking their termination to be given to the other party. For example, suppose A rents B's house for one year, to continue for similar periods if agreeable to both parties. To terminate the lease at the end of the year, B must notify A to quit the premises at the expiration of the year. If A, on the other hand, desires to terminate the lease at the expiration of a year, he must notify B previous to the expiration of the year, of his intention to terminate the lease at the expiration of the year. If A holds over without notice to B, or without B's consent, A has a lease for another year at the same terms as before.
To terminate a lease from year to year or at will, the party seeking the termination of the lease must notify the other party of his intention to terminate the lease. The states generally provide by statute the time and manner of giving such notice. In general, the notice must be in writing and must be served on the interested parties or their agents a reasonable time before the expiration of the period of the lease.