Lease Agreements: Can They Override State Law?

The relationship between lease agreements and state law is a complex one, with landlords and tenants alike vulnerable to mistakes due to the nuances of landlord-tenant law. While leases are a type of contract, they cannot contradict the law or require a tenant to give up any right or protection afforded under the law. For example, a lease cannot extend the deadline for returning a deposit if the state law stipulates a specific timeframe. State law supersedes lease agreements in all 50 states, and any lease terms conflicting with state law are invalid. However, lease agreements can lengthen or shorten notice periods, as long as they do not contradict state law. For instance, in Georgia, a landlord must give a tenant 60 days' notice to terminate a tenancy-at-will, while a tenant is required to provide 30 days' notice. Nevertheless, it is crucial to consult a lawyer and review local laws before finalizing a lease agreement to ensure compliance with state-specific regulations.

A lease cannot contradict the law

While a lease is a legal contract, it does not mean that all its clauses are legal or enforceable. A lease cannot contradict the law—the law controls. For instance, if local law states that a deposit must be returned within 30 days, a landlord cannot extend that deadline, even with the tenant's agreement. Similarly, a lease cannot require a tenant to give up any right or protection afforded under the law.

A lease that contradicts the law is unenforceable. For example, a lease that states that a landlord only has to give two months' notice to end a month-to-month periodic tenancy is unenforceable if the Residential Tenancies Act mandates that landlords give at least three months' notice. Landlords can waive their rights under the Residential Tenancies Act, but tenants cannot.

Many leases contain a "severability" clause, which allows any illegal portion to be severed from the remaining contract, which remains in force. For example, provisions regarding the payment of attorneys' fees, forgoing litigation, or waiving a landlord's liability for property conditions are potentially illegal lease provisions.

To avoid illegal lease agreements, landlords should tailor standard lease agreements to local laws and have them reviewed by a local landlord attorney before asking a tenant to sign. This is especially important for landlords with properties in multiple states, as what is acceptable in one place may be illegal in another.

State law supersedes any lease

It is important to understand that a lease cannot override state law. While landlords and tenants are free to enter into contracts, they must abide by the landlord-tenant law of the state. This means that a lease agreement cannot contradict the law. For instance, if the law states that a deposit must be returned within 30 days, a lease cannot extend this deadline, even with the tenant's agreement.

State laws can override lease provisions, and local laws may prohibit certain lease provisions. For example, provisions regarding the payment of attorney fees may be prohibited. A lease also cannot require a tenant to give up any right or protection afforded under the law. In California, a lease provision that limits a tenant's right to pursue legal action within a certain time frame may be overridden by state law, which allows tenants to pursue legal action within 30 days of lease termination.

It is essential to tailor lease agreements to local laws and have them reviewed by a lawyer familiar with the relevant state laws before signing. This is because landlord-tenant laws can be complex and difficult to interpret, and what is acceptable in one state may be illegal in another. For example, a landlord in California may not include a provision in the lease that waives their liability for the conditions of the property, as this would contradict state law.

In summary, state law always supersedes any lease agreement, and it is crucial to ensure that lease agreements comply with local laws to avoid any legal issues.

Local laws may prohibit lease provisions

In New York, for example, the following lease provisions are not allowed: waiving the tenant's right to a jury trial in any lawsuit due to personal injury or property damage brought by either party; exempting landlords from liability for injuries caused by the landlord's negligence; requiring tenants to pledge personal property like household furniture as security for rent. In Idaho, illegal clauses include landlords having the right to seize a tenant's private property or shut off utilities for failure to pay rent, and requiring that a tenant waive their right to a jury trial in eviction cases.

Landlords can, however, prohibit pets or restrict the types allowed, such as forbidding dogs or cats but allowing birds. They may also prohibit tenants from running a business from the rental property, and can limit the number of children in family-run daycares. Landlords can also restrict subletting without written consent and limit overnight guests.

To avoid illegal lease provisions, it is recommended to use lease agreements tailored to local laws and to have a local landlord attorney review them before asking a tenant to sign. Tenants should also be diligent in reading their lease thoroughly before signing and researching landlord-tenant laws in their state and locality.

A lease cannot require a tenant to give up any right or protection afforded under the law

While landlords don't intend to break the law, it can easily happen if they don't have the right lease agreement. This is due to the ongoing power struggle between the freedom to enter into contracts and landlord-tenant laws, which can be difficult to interpret. Landlord-tenant laws are often reactionary, difficult to interpret, and unresponsive to the needs of landlords.

Local laws may prohibit certain provisions, but not all. For example, if your state says that a deposit must be returned within 30 days, you cannot extend that deadline, even if the tenant agrees. A lease cannot require a tenant to give up any right or protection afforded under the law. Provisions regarding the payment of attorney fees, forgoing litigation, or waiving a landlord's liability for the conditions of the property are all examples of potentially illegal lease provisions.

Many leases contain a "severability" clause that allows any illegal portion to be severed from the remaining contract, which remains in force. It is recommended to always tailor any standard lease agreement to the local law and have it reviewed by a local landlord attorney before asking a tenant to sign.

In the past, tenants in California could only ensure they had the right to collect attorney fees by demanding a change in the lease before signing. However, this changed in 1968 with the passing of Section 1717 of the California Civil Code, which recognized the unequal bargaining positions of the parties and adjusted for this when it came to attorney fees.

The right balance must be struck in each individual lease agreement

The law always takes precedence over a lease agreement. However, this does not mean that a lease agreement is powerless. The right balance must be struck in each individual lease agreement.

The first step is to recognise that landlord-tenant laws are often reactionary, difficult to interpret, and unresponsive. For instance, the language of the law sometimes defies common sense, with odd legal phrases that make laws challenging to understand. Additionally, landlords' needs are not always addressed, and the law may leave out crucial details. Therefore, it is essential to tailor any standard lease agreement to the local law. Consulting a local landlord attorney before finalising a lease agreement is advisable.

Secondly, it is crucial to understand that a lease cannot contradict the law. While a lease agreement cannot require a tenant to give up any right or protection afforded under the law, it can add to the regulation. For example, a lease can lengthen or shorten the usual notice period for termination, as long as it does not conflict with the minimum period specified by state law. In the case of Georgia, for instance, while state law requires a 30-day notice period for termination, a lease agreement can stipulate a 60-day notice period. However, if state law specifies that all tenants must receive at least 60 days' notice, this would override the lease agreement.

Furthermore, it is essential to be aware of the local laws in the state where the property is located. What is acceptable in one state may be illegal in another. For example, a lease agreement in one state may allow for the collection of attorneys' fees, while in another state, this may be prohibited. Understanding the specific laws that apply to lease agreements, such as those related to security deposits, notice periods, and liability, is crucial.

Lastly, many lease agreements contain a "severability" clause, which allows for the removal of any illegal provisions without affecting the validity of the remaining contract. This clause provides an "out" for landlords and tenants in the event that a provision is found to be illegal or unenforceable.

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