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Terms in this set (53)

as a rule, a lease contract providing that the lessee can stay in the premises for as long as he wants and for as long as he can pay the rentals and its increases are not permissible as it is a purely potestative condition, leaving the effectivity and enjoyment of leasehold rights to the sole and exclusive will of the lessee

however, the SC upheld that a lease contract, which provides that the lease contract shall continue for an indefinite period provided that the lessee is up-to-date in the payment of his monthly rentals" for the contract is one with a period subject to a resolutory condition (Jespajo Realty v. CA)

if from the circumstances it can be inferred that a period was intended, the court may fix the duration thereof under Article 1197 of the CC

a lease of things during the lifetime of one of the parties, as the lessor or lessee may please, is one for life, ending upon the death of either party (Eleizegui v. The Manila Lawn Tennis Club)

a month-to-month lease is for a definite period

where the parties agreed that upon the thirty (30) day notice, either party may terminate the agreement, the lease is for a definite period (Rantael v. CA)

when the action is to terminate the lease, notice or demand to vacate is not necessary

demand is only a prerequisite to an action for unlawful detainer when the action is for failure to pay rent due, or to comply with the conditions of the lease (Co Tiamco v. DRIZ)

thus, the absence of demand does not change the fact that the lease contract has ended upon the termination of the period fixed for its existence
1. if a lease contract for a definite term allows
lessee to extend the term, there is no necessity for lessee to notify lessor of his desire to extend the term, unless the contrary is stipulated (Cosmopolitan Ballet and Dance School, et. al. v. Teodoro)

2. "may be extended" as stipulation - lessee can extend without lessor's consent but lessee must notify lessor (Koh v. Ongsiako)

3. "may be extended for six (6) years agreed upon by both parties" as stipulation - this must be interpreted in favor of the lessee

hence, ordinarily the lessee at the end of the original period may either:

a. leave the premises; or

b. remain in possession (Cruz v. Alberto)

4. in co-ownership, assent of all is needed, otherwise it is void or ineffective against non consenting owners (Leonzon v. Limlingan)

5. where according to the terms of the contract, the lease can be extended only by the written consent of the parties, no right of extension can arise without such written consent (Teodoro v.

6. if the option is given to the lessor, the lessee cannot renew the lease against the former's refusal

the lease is deemed terminated

7. where a lessee is given the option to continue or renew the contract of lease and is silent upon the rentals, the old terms are to be followed in the renewed lease (Gustilo v. CA).

8. the lessor may impose additional conditions after the expiration of the original period

9. Article 1687 par. 2 of the CC provides
that in the event that the lessee has occupied the leased premises for over a year, courts may fix a longer term of lease

the power of the courts to establish a grace period is potestative or discretionary, depending on the particular circumstances of the case (Malayan Realty, Inc. v. Uy Han Yong)

10. a verbal agreement to extend the lease is admissible to qualify the terms of a written contract (Florentino v. Supervalue Inc.)

11. the extension granted shall be commensurate with the period of occupation (Araneta v. De Mesa)