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Indeterminate term lease and death situations

 

Indeterminate term lease

A lease is said to have an indeterminate term when the start date is known, but the end date has not been established or agreed to. An indeterminate term lease continues until it is terminated by either party by notice to this effect to the other party.1 However, the term of this lease may not exceed 100 years.2

The notice of termination of the lease may be given verbally or in writing; the person giving notice, i.e. lessor or lessee, must have proof that the other party received it.

The time for giving the notice is the same as the rent payment period. If rent is payable monthly, the notice period will be one month. If the rent payment period exceeds three months, the notice period will be three months.3

Death of the lessor or the lessee

A commercial lease is not terminated by the death of the lessor or the lessee.4 In this type of lease, it is therefore very common to find clauses to this purpose, including when the lessee is a sole proprietorship or a partnership comprised of two or three individuals. If the lessee does not vacate the premises at the end of the lease, the lessor may apply to the court to have the lessee evicted and require the return of the leased property.

 


1 Art. 1882 (1) C.C.Q.
2 Art. 1880 C.C.Q.
3 Art. 1882 (2) C.C.Q.
4 Art. 1884 C.C.Q.

 

Last updated on: December 16, 2022
Reference number: 264741