Freehold vs Leasehold (under the Common Law)

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Fee simple

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(Redirected from Freehold (real property) (http://en.wikipedia.org/w/index.php?title=Freehold_(real_property)&redirect=no))

In English law, a fee simple (or fee simple absolute) is an estate in land (http://en.wikipedia.org/wiki/Estate_in_land), a form of freehold (http://en.wikipedia.org/wiki/Freehold_(English_law)) ownership. It is the most common way that real estate (http://en.wikipedia.org/wiki/Real_estate) is owned in common law (http://en.wikipedia.org/wiki/Common_law) countries, and is ordinarily the most complete ownership interest that can be had in real property (http://en.wikipedia.org/wiki/Real_property) short of allodial title (http://en.wikipedia.org/wiki/Allodial_title), which is often reserved for governments. Fee simple ownership represents absolute ownership of real property but it is limited by the four basic government powers of taxation (http://en.wikipedia.org/wiki/Taxation), eminent domain (http://en.wikipedia.org/wiki/Eminent_domain), police power (http://en.wikipedia.org/wiki/Police_power), and escheat (http://en.wikipedia.org/wiki/Escheat), and it could also be limited by certain encumbrances (http://en.wikipedia.org/wiki/Encumbrance) or a condition in the deed (http://en.wikipedia.org/wiki/Deed).[citation needed (http://en.wikipedia.org/wiki/Wikipedia:Citation_needed)] How ownership is limited by these government powers often involves the shift from allodial title (http://en.wikipedia.org/wiki/Allodial_title) to fee simple such as when uniting with other property owners acceding to property restrictions or municipal regulation.[citation needed (http://en.wikipedia.org/wiki/Wikipedia:Citation_needed)]
Contents

History

The word "fee" is derived from fief (http://en.wikipedia.org/wiki/Fief), meaning a feudal (http://en.wikipedia.org/wiki/Feudalism) landholding. Feudal land tenures (http://en.wikipedia.org/wiki/Land_tenure) existed in several varieties, most of which involved the tenant (http://en.wikipedia.org/wiki/Tenant) having to supply some service to his overlord, such as knight-service (http://en.wikipedia.org/wiki/Knight-service) (military service) or where the overlord was the king, Grand Serjeanty (http://en.wikipedia.org/wiki/Serjeanty), which might require providing many different services, such as providing horses in time of war, or simply to act as the king's ceremonial butler. These fiefs thus gave rise to a complex relationship between landlord and tenant, involving duties on both sides. For example the overlord, in return for receiving his tenant's fealty (http://en.wikipedia.org/wiki/Fealty) or homage (http://en.wikipedia.org/wiki/Homage_(feudal)), took upon himself the duty to protect his tenant. On the abolition of feudal land tenure, all fiefs became "simple", that is to say no conditionality was attached to the tenancy, other than payment of a ground rent, which was a substitution for feudal service, or where this had been converted to a cash payment, scutage (http://en.wikipedia.org/wiki/Scutage).

[edit (http://en.wikipedia.org/w/index.php?title=Fee_simple&action=edit&section=2)] Common Law

In English Common Law, the Crown (http://en.wikipedia.org/wiki/The_Crown) has radical title (http://en.wikipedia.org/wiki/Radical_title) or the allodium (http://en.wikipedia.org/wiki/Allodium) of all land in England, meaning that it is the ultimate "owner" of all land. However, the Crown can grant ownership in an abstract entity (http://en.wikipedia.org/wiki/Abstract_entity)—called an estate (http://en.wikipedia.org/wiki/Estate_(law)) in land—which is what is owned, rather than the land it represents. The fee simple estate is also called "estate in fee simple" or "fee-simple title" and sometimes simply freehold in England and Wales. From the start of the Norman (http://en.wikipedia.org/wiki/Norman_dynasty) period, when feudalism (http://en.wikipedia.org/wiki/Feudalism) was introduced to England, the tenant (http://en.wikipedia.org/wiki/Tenant) or "holder" of a fief (http://en.wikipedia.org/wiki/Fief) could not alienate it from the possession of his overlord, that is to say sell it, but instead could separate off a parcel of the land and grant it as a subordinate fief to his own sub-tenant, a process known as sub-enfeoffing or "subinfeudation (http://en.wikipedia.org/wiki/Subinfeudation)". The 1290 Statute (http://en.wikipedia.org/wiki/Statute) of Quia Emptores (http://en.wikipedia.org/wiki/Quia_Emptores) abolished subinfeudation and instead allowed the sale of fee simple estates.[1] (http://en.wikipedia.org/wiki/Freehold_(real_property)#cite_note-0)

The concept of a "fee" has its origins in feudalism (http://en.wikipedia.org/wiki/Feudalism). William Blackstone (http://en.wikipedia.org/wiki/William_Blackstone) defined fee simple as the estate in land that a person has when the lands are given to him and his heirs absolutely, without any end or limit put to his estate. Land held in fee simple can be conveyed to whomsoever its owner pleases; it can be mortgaged (http://en.wikipedia.org/wiki/Mortgage_law) or put up as security.[2] (http://en.wikipedia.org/wiki/Freehold_(real_property)#cite_note-1) Owners of real property (http://en.wikipedia.org/wiki/Real_property) in fee simple title have the right to own the property during their lifetime and typically have a say in determining who gets to own the property after their death. In a sense, one might say fee simple owners "own" the property "forever"; however, only holders of an allodial title (http://en.wikipedia.org/wiki/Allodial_title) on land really do own the land forever, and land thus held is not subject to property tax.

Historically, estates could be limited in time, such as a life estate (http://en.wikipedia.org/wiki/Life_estate), which is a land ownership that terminates upon the grantee's (or another person's) death, even if the land had been granted to a third party, or a term of years (a lease for a specified term, such as in an estate for years (http://en.wikipedia.org/wiki/Estate_for_years)). It also could be limited in the way that it was inherited, such as by an "entailment" which created a fee tail (http://en.wikipedia.org/wiki/Fee_tail). Traditionally, fee tail was created by words of grant such as "to N. and the male heirs of his body", which would restrict those who could inherit the property. When all those heirs ran out the property would revert to the original grantor's heirs. Most common law countries have abolished entailment by statute.

[edit (http://en.wikipedia.org/w/index.php?title=Fee_simple&action=edit&section=3)] Duration

An estate in fee simple was, and still is, the largest estate known to the law. It denotes the maximum of legal ownership, the greatest possible aggregate of rights, powers, privileges, and immunities which a person may have in land. It is an estate of potentially infinite duration in the holder and the holder's successors. The three hallmarks of the fee simple estate are that it is alienable (http://en.wikipedia.org/wiki/Alienable), devisable (http://en.wikipedia.org/wiki/Will_(law)), and descendible (http://en.wikipedia.org/wiki/Inheritance).

[edit (http://en.wikipedia.org/w/index.php?title=Fee_simple&action=edit&section=4)] Creation and Characteristic of fee simple

Common law rules requiring words of general inheritance to create fee simple by conveyance has been abolished by statute in most states in the United States.[3] (http://en.wikipedia.org/wiki/Freehold_(real_property)#cite_note-2) It used to be the rule that in order to convey an estate in fee simple, the deed or will must state "to B and his heirs." Anything short of those magic words transferred a smaller estate.
Modern deeds usually follow a standardized form. There is a presumption that the testator intends to convey his or her property in fee simple, unless the will indicates an intention to transfer a smaller estate, such as a life estate. Today, there is a very strong policy favoring the free and unfettered alienability of land.[4] (http://en.wikipedia.org/wiki/Freehold_(real_property)#cite_note-3)

[edit (http://en.wikipedia.org/w/index.php?title=Fee_simple&action=edit&section=5)] Life estate

Many common law jurisdictions retain the possibility of creating a life estate (http://en.wikipedia.org/wiki/Life_estate), although this is uncommon. In the United States, life estates are most commonly used in the context of either giving a right to someone in a will to use property for the remainder of that person's (or another person's) life, or reserving to a grantor who is selling property the right to continue using the property for the remainder of his/her life. The right to ownership after the death of the subject person would be called the remainder estate. In England and Wales fee simple is the only freehold estate that remains and a life estate can only be created in equity (http://en.wikipedia.org/wiki/Equity_(law)).

[edit (http://en.wikipedia.org/w/index.php?title=Fee_simple&action=edit&section=6)] Types of fee simple

If previous grantors of a fee simple estate do not create any conditions for subsequent grantees to own the conveyed property in fee simple title, which is commonly the case these days, then the title is called fee simple absolute. Other fee simple estates in real property include fee simple defeasible (or fee simple determinable) estates. A defeasible estate is created when a grantor places a condition on a fee simple estate (in the deed (http://en.wikipedia.org/wiki/Deed)). Upon the happening of a specified event, the estate may become void or subject to annulment. Two types of defeasible estates are the fee simple determinable and the fee simple subject to a condition subsequent. If the grantor uses durational language in the condition such as "to A. as long as the land is used for a park" then upon the happening of the specified event (in this case if the land is used for anything other than a park), the estate will automatically terminate and revert to the grantor or the grantor's estate; this is called a fee simple determinable. If the grantor uses language such as "but if alcohol is served" then the grantor or the heirs have a right of entry, but the estate does not automatically revert to the grantor; this is a fee simple subject to a condition subsequent. In most states in the US, many of these concepts have been modified by statute. Generally speaking, fee simple determinable was preferred by courts in the common law of the early United States. Recently, that trend has reversed, and most of today's US courts will find a fee simple subject to condition subsequent (instead of a fee simple determinable) in situations where the conveying document's language is unclear.

[edit (http://en.wikipedia.org/w/index.php?title=Fee_simple&action=edit&section=7)] Rent

It is often said that no rent (http://en.wikipedia.org/wiki/Renting) or similar obligations are due from the owner of property in fee simple. That is only partially true. For example, a rentcharge (http://en.wikipedia.org/wiki/Rentcharge) may exist requiring a freeholder to pay a fixed sum of money closely resembling rent, and many jurisdictions have created financial obligations that may be imposed on a freehold estate. For instance, in England and Wales, there is an estate charge (http://en.wikipedia.org/w/index.php?title=Estate_charge&action=edit&redlink=1). In the United States (http://en.wikipedia.org/wiki/United_States), fee simple owners are subject to property tax (http://en.wikipedia.org/wiki/Property_tax) and its funds directed to the municipality's general fund. Other local tax assessments called "specials" may be assessed in addition to the property tax to be applied to specific purposes such as road and water/sewer improvements. Real estate owned as a condominium (http://en.wikipedia.org/wiki/Condominium) is usually similarly owned in fee simple, but typically subject to rules in the declaration of condominium or created by the condominium association, such as paying required monthly fees for maintaining the property's common areas.

[edit (http://en.wikipedia.org/w/index.php?title=Fee_simple&action=edit&section=8)] Etymology

Fee - A right in law to the use of land; i.e. a fief (http://en.wikipedia.org/wiki/Fief). Simple - in the unconstrained sense:

without limit to the inheritance of heirs;
unrestricted as to transfer of ownership

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Freehold (law)

From Wikipedia, the free encyclopedia
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In certain jurisdictions, including England (http://en.wikipedia.org/wiki/England) and Scotland (http://en.wikipedia.org/wiki/Scotland), a freehold (also called frank-tenement and franktenement) is the ownership of real property (http://en.wikipedia.org/wiki/Real_property), being the land and all immovable structures attached to such land. This is opposed to a leasehold (http://en.wikipedia.org/wiki/Leasehold) in which the property reverts to the owner of the land after the lease period has expired.[1] (http://en.wikipedia.org/wiki/Freehold_(English_law)#cite_note-0) Immovable property (http://en.wikipedia.org/wiki/Immovable_property) includes land and all that naturally goes with it, such as buildings, trees, or underground resources, but not such things as vehicles or livestock (which are movable).
For an estate to be a freehold it must possess two qualities: immobility (property must be land or some interest issuing out of or annexed to land); and ownership of it must be of an indeterminate duration. If the time of ownership can be fixed and determined, then it cannot be a freehold.
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A substantial freehold means a "large" holding. In medieval times, this came to mean a holding worth at least 40s Scots (http://en.wikipedia.org/wiki/Pound_Scots)[citation needed (http://en.wikipedia.org/wiki/Wikipedia:Citation_needed)].

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A leasehold estate is an ownership of a temporary right to land or property in which a lessee or a tenant holds rights of real property (http://en.wikipedia.org/wiki/Real_property) by some form of title (http://en.wikipedia.org/wiki/Title_(property)) from a lessor or landlord (http://en.wikipedia.org/wiki/Landlord).
Leasehold is a form of property tenure where one party buys the right to occupy land or a building for a given length of time. As lease is a legal estate, leasehold estate can be bought and sold on the open market. A leasehold thus differs from a freehold (http://en.wikipedia.org/wiki/Freehold_(English_law)) where the ownership of a property is purchased outright and thereafter held for an indeterminate length of time, and also differs from a tenancy where a property is let (rented) on a periodic basis such as weekly or monthly.
Until the end of the lease period (often measured in decades or centuries; a 999 year lease is quite common) the leaseholder has the right to remain in occupation as an assured tenant paying an agreed rent to the owner. Terms of the agreement are contained in a lease (http://en.wikipedia.org/wiki/Leasing), which has elements of contract and property law intertwined.
The term estate for years may occasionally be used. This refers to a leasehold estate for any specific period of time (the word "years" is misleading). An estate for years is not automatically renewed.
Colloquially, a "lease" is often a formalization of a longer, specific period as compared with a "rental" that created a tenancy at will (http://en.wikipedia.org/wiki/Tenancy_at_will), terminable or renewable at the end of a short period.

History
Landlord-tenant laws existed in places such as Andalusia (http://en.wikipedia.org/wiki/Andalusia), and laws governing such relationships can be found in the Code of Hammurabi (http://en.wikipedia.org/wiki/Code_of_Hammurabi). However, the common law (http://en.wikipedia.org/wiki/Common_law) of the landlord-tenant relation evolved in England (http://en.wikipedia.org/wiki/England) during the Middle Ages (http://en.wikipedia.org/wiki/Middle_Ages). That law still retains many archaic terms and principles pertinent to a feudal (http://en.wikipedia.org/wiki/Feudal) social order and an agrarian (http://en.wikipedia.org/wiki/Agrarian) economy, where land was the primary economic asset and ownership of land was the primary source of rank and status. See also Lord of the Manor (http://en.wikipedia.org/wiki/Lord_of_the_Manor).
Modern leasehold estates can take one of forms – the fixed-term tenancy or tenancy for years, the periodic tenancy, the tenancy at will, and the tenancy at sufferance, all discussed below. Forms no longer used include socage (http://en.wikipedia.org/wiki/Socage) and burgage (http://en.wikipedia.org/wiki/Burgage).
When a landowner allows one or more persons, called "tenants," to use his land in some way for some fixed period of time, the land becomes a leasehold, and the resident (or worker) - landowner relation is called a "tenancy." A tenant pays rent (http://en.wikipedia.org/wiki/Renting) (a form of consideration (http://en.wikipedia.org/wiki/Consideration)) to the landowner. The leasehold can include buildings and other improvements to the land. The tenant can do one or more of: farm the leasehold, live on it, or practice a trade on it.
Tenancy was essential to the feudal hierarchy (http://en.wikipedia.org/wiki/Feudalism); a lord would own land and his tenants became his vassals (http://en.wikipedia.org/wiki/Vassals). However, it still happens today in many parts of the world. In the Commonwealth Realms (http://en.wikipedia.org/wiki/Commonwealth_Realms) leasehold estates are often Crown land (http://en.wikipedia.org/wiki/Crown_land) held by tenants for a specific period of time, typically 99 years; within certain jurisdictions, for example the Australian Capital Territory (http://en.wikipedia.org/wiki/Australian_Capital_Territory), all private land "ownerships" are actually leaseholds of Crown land. In the U.S.A., there are food co-ops which supply tenants with a place to grow their own produce. Rural tenancy (http://en.wikipedia.org/wiki/Rural_tenancy) is also a common practice. Under a rural tenancy (http://en.wikipedia.org/wiki/Rural_tenancy), a person buys a large amount of land and the rural community uses it agriculturally as a source of income.
[edit (http://en.wikipedia.org/w/index.php?title=Leasehold_estate&action=edit&section=2)] Fixed-term tenancy or tenancy for years

A fixed-term tenancy or tenancy for years lasts for some fixed period of time. Despite the name tenancy for years, such a tenancy can last for any period of time – even a tenancy for one week would be called a tenancy for years. At Common law (http://en.wikipedia.org/wiki/Common_law) the duration did not need to be certain, but could be conditioned upon the happening of some event, (e.g. "until the crops are ready for harvest", "until the war is over"). In many jurisdictions that possibility has been partially or totally abolished.[1] (http://en.wikipedia.org/wiki/Leasehold#cite_note-0)
[edit (http://en.wikipedia.org/w/index.php?title=Leasehold_estate&action=edit&section=3)] Termination

The tenancy will come to an end automatically when the fixed term runs out, or, in the case of a tenancy that ends on the happening of an event, when the event occurs. It is also possible for a tenant, either expressly or impliedly, to give up the tenancy to the landlord. This process is known as a surrender of the lease.
[edit (http://en.wikipedia.org/w/index.php?title=Leasehold_estate&action=edit&section=4)] Periodic tenancy

A periodic tenancy, also known as a tenancy from year to year, month to month, or week to week, is an estate that exists for some period of time determined by the term of the payment of rent. An oral lease for a tenancy of years that violates the Statute of Frauds (http://en.wikipedia.org/wiki/Statute_of_Frauds) (by committing to a lease of more than—depending on the jurisdiction—one year without being in writing) may actually create a periodic tenancy, the construed term being dependent on the laws of the jurisdiction where the leased premises are located. In many jurisdictions the "default" tenancy, where the parties have not explicitly specified a different arrangement, and where none is presumed under local or business custom, is the month-to-month tenancy.
[edit (http://en.wikipedia.org/w/index.php?title=Leasehold_estate&action=edit&section=5)] Termination

The landlord may terminate the lease at any time by giving the tenant notice as required by statute. Typically, the landlord must give six months' notice to terminate a tenancy from year to year. Tenants of lesser durations must typically receive notice equal to the period of the tenancy - for example, the landlord must give a month's notice to terminate a tenancy from month to month. However, many jurisdictions have varied these required notice periods, and some have reduced them drastically.
The notice must also state the effective date of termination, which, in many jurisdictions, must be on the last day of the payment period. In other words, if a month-to-month tenancy began on the 15th of the month, in such a jurisdiction the termination could not be on the 20th of the following month, even though this would give the tenant more than the required one month's notice.
[edit (http://en.wikipedia.org/w/index.php?title=Leasehold_estate&action=edit&section=6)] Tenancy at will

A tenancy at will is a leasehold (http://en.wikipedia.org/wiki/Leasehold) such that either the landlord or the tenant may terminate the tenancy at any time by giving reasonable notice (http://en.wikipedia.org/wiki/Notice). It usually occurs in the absence of a lease (http://en.wikipedia.org/wiki/Lease), or where the tenancy is not for consideration (http://en.wikipedia.org/wiki/Consideration). Under the modern common law (http://en.wikipedia.org/wiki/Common_law), tenancy at will can arise under the following circumstances:

the parties expressly agree that the tenancy is at will and not for rent.
a family member is allowed to live at home without formal arrangement. A nominal consideration may be required.
a tenant wishes to occupy the property urgently, but there was insufficient time to negotiate and execute a lease. The tenancy at will terminates in this case as soon as a written lease is completed. If a lease fails to be realized, the tenant must vacate the property.In a residential lease for consideration, a tenant may not be removed except for cause (http://en.wikipedia.org/wiki/Causation_(law)), even in the absence of a written lease. If a landlord can terminate the tenancy at will, a tenant by operation of law (http://en.wikipedia.org/wiki/Operation_of_law) is also granted a reciprocal right to terminate at will. However, a lease that expressly continues at the will of the tenant ("for as long as the tenant desires to live on this land") does not automatically provide the landlord with a reciprocal right to terminate, even for cause. Rather, such language may be construed to convey to the tenant a life estate (http://en.wikipedia.org/wiki/Life_estate) or even a fee simple (http://en.wikipedia.org/wiki/Fee_simple).
A tenancy at will terminates by operation of law (http://en.wikipedia.org/wiki/Operation_of_law), if:

the tenant commits waste (http://en.wikipedia.org/wiki/Waste_(law)) against the property;
the tenant attempts to assign (http://en.wikipedia.org/wiki/Assignment_(law)) his tenancy;
the landlord transfers his interest in the property;
the landlord leases the property to another person;
the tenant or the landlord dies.[edit (http://en.wikipedia.org/w/index.php?title=Leasehold_estate&action=edit&section=7)] Lease expiration

Depending on the laws in force in a particular jurisdiction, different circumstances may legally arise where a tenant remains in possession of property after the expiration of a lease.
[edit (http://en.wikipedia.org/w/index.php?title=Leasehold_estate&action=edit&section=8)] Tenancy at sufferance

A tenancy at sufferance (sometimes called a holdover tenancy) may exist when a tenant remains in possession of property even after the end of the lease, until the landlord acts to eject the tenant. The occupant may legally be a trespasser (http://en.wikipedia.org/wiki/Trespasser) at this point, and the possession of this type may not be a true estate in land, even if authorities recognize the condition to hold the tenant liable for rent. The landlord may be able to evict (http://en.wikipedia.org/wiki/Eviction) such tenant at any time, without notice.
The landlord may also be able to impose a new lease on the holdover tenant. For a residential tenancy, such new tenancy lasts month to month. For a commercial tenancy of more than a year, the new tenancy is year to year; otherwise, the tenancy lasts for the same length of time as the duration under the original lease. In either case, the landlord can charge a higher rent, if the landlord, before the expiration of the original lease, has notified the tenant of the increase.
[edit (http://en.wikipedia.org/w/index.php?title=Leasehold_estate&action=edit&section=9)] Continuation tenancy

In some jurisdictions, the tenant has a legal right to remain in occupation of the premises after the end of a lease unless the landlord complies with a formal process to dispossess the tenant of the property. For example, in the United Kingdom (http://en.wikipedia.org/wiki/United_Kingdom), a business tenant has a right to continue occupying their demise (http://en.wikipedia.org/wiki/Demise) after the end of their lease under the provisions of sections 24-28 of the Landlord and Tenant Act 1954 (http://en.wikipedia.org/wiki/Landlord_and_Tenant_Act_1954) (unless these provisions were formally excluded by agreement before the lease was completed). At the end of their lease they need do nothing but continue payment of rent at the previous level and uphold all other relevant covenants (http://en.wikipedia.org/wiki/Covenant_(law)) such as to keep the building in good repair. They cannot be evicted unless the landlord serves a formal notice to end the tenancy and successfully opposes the grant of the new lease to which the tenant has an automatic right. Even this can only be done under prescribed circumstances, for example the landlord's desire to occupy the premises himself or to demolish and redevelop the building.
[edit (http://en.wikipedia.org/w/index.php?title=Leasehold_estate&action=edit&section=10)] Duties of participants

[edit (http://en.wikipedia.org/w/index.php?title=Leasehold_estate&action=edit&section=11)] Duties of landlord

The first is to put the tenant in physical possession of the land at the outset of the lease (the 'English' and majority rule, as opposed to the 'American' rule which only requires the tenant be given legal possession, or the right to possess); the second is to provide the premises in a habitable condition – there is an implied warranty of habitability. If landlord violates either, the tenant can terminate the lease and move out, or stay on the premises, while continuing to pay rent, and sue the landlord for damages (or withhold rent and use breach of implied warranty of habitability as a defense when the landlord attempts to collect rent).
The lease also includes an implied covenant of quiet enjoyment – landlord will not interfere with tenant's quiet enjoyment. This can be breached in three ways.

Total eviction of the tenant through direct physical invasion by landlord.
Partial eviction – when the landlord keeps the tenant off part of the leased property (even locking a single room). Tenant can stay on the remaining property without paying any rent.
Partial eviction by someone other than landlord – where this occurs, rent is apportioned. If landlord claims to lease tenant an area of 1000 square metres but 400 square metres of the area belongs to another person, tenant only has to pay 60% of the rent.[edit (http://en.wikipedia.org/w/index.php?title=Leasehold_estate&action=edit&section=12)] Landlord's tort liability

Under the common law, the landlord had no duties to the tenant to protect the tenant or the tenant's licensees (http://en.wikipedia.org/wiki/Licensees) and invitees (http://en.wikipedia.org/wiki/Invitees), except in the following situations:

Failure to disclose latent defects of which the landlord knows or has reason to know. Note that the landlord has no duty to repair, just to disclose.
For a short term lease (3 months or less) of a furnished dwelling, the tenants are treated as invitees (http://en.wikipedia.org/wiki/Invitees), and the landlord is liable for defects even if the landlord neither knows nor should know of them.
Common areas under landlord's control (e.g. hallways in an apartment building (http://en.wikipedia.org/wiki/Apartment_building)), if the landlord failed to use reasonable care in maintaining them.
Injury resulting from landlord's negligent repairs – even if the landlord used all due care.
Public use, if the following three factors exist:
Landlord knows or should know that the tenant makes public use of the land (e.g. the land is rented for use as a restaurant or a store);
Landlord knows or should know that there is a defect; and
Landlord knows or should know that the tenant will not fix the defect.
[edit (http://en.wikipedia.org/w/index.php?title=Leasehold_estate&action=edit&section=13)] Duties of tenant

Under the common law, the tenant has two duties to the landlord. These are to pay rent when it is due, and to avoid waste (http://en.wikipedia.org/wiki/Waste_(law)) of the property.
A tenant is liable to third party invitees (http://en.wikipedia.org/wiki/Invitees) for negligent failure to correct a dangerous condition on the premise – even if the landlord was contractually liable.
[edit (http://en.wikipedia.org/w/index.php?title=Leasehold_estate&action=edit&section=14)] Effects of condemnation

If land under lease to a tenant is condemned under the government's power of eminent domain (http://en.wikipedia.org/wiki/Eminent_domain), the tenant may be able to earn either a reduction in rent or a portion of the condemnation award (the price paid by the government) to the owner, depending on the amount of land taken, and the value of the leasehold property.
With a partial taking of the land, the tenant may claim apportioned rent for property taken. For example, suppose a tenant leases land for 6 months for $1,000 per month, and that two months into the lease, and the government condemns 25% of the land. The tenant will then be entitled to take a portion of the condemnation award equal to 25% of the rent due for the remaining four months of the lease – $1,000, derived from $250 per month for four months.
A full taking, however, extinguishes the lease, and excuses all rent from that point. The tenant will not be entitled to any portion of the condemnation award, unless the value of the lease was greater than the rent paid, in which case the tenant can recover the difference. Suppose in the above example that the market value of the land being leased was actually $1,200 a month, but the $1,000 per month rate represented a break given to the tenant by the landlord. Because the tenant is losing the ability to continue renting the land at this bargain rate (and probably must move to more expensive land), the tenant will be entitled to the difference between the lease rate and the market value – $200 per month for a total of $800.
[edit (http://en.wikipedia.org/w/index.php?title=Leasehold_estate&action=edit&section=15)] Effects of tenancy

Many adverse effects come from this system. Tenants have to pay the landowner even though they are doing all of the agricultural work. In a sense, it is a cycle where the tenant is never really able to become a landowner because they constantly have to pay the landowner, as well as other expenses. If a crop does not flourish, the tenant will still have to pay for the use of the land. The landowner, since he is ultimately owner of the land, also can have a say in what the tenant uses the land for or what he can or cannot grow. On the contrary, rural tenancy (http://en.wikipedia.org/wiki/Rural_tenancy) has advantages. If a person owns too much land for just their family to use, tenants can rent it and make use of the land. Also, if a landowner rents out the land, it can be a source of economic income for the tenant which may not have previously existed. In poorer communities, rural tenancy (http://en.wikipedia.org/wiki/Rural_tenancy) can give the tenants a chance to grow crops to sell in markets and to feed their families.

[zzz1]

hi,

just a word of caution, Wiki web, the text can be edited by any ppl..
so...read with judgement.

However, for a quick overview of any thing, wiki is to shortest and fastest way to obtain info.