Lease seems lacking. Point me in the right direction please?

Question

My current lease for tenants is pretty basic. Covers the obvious things. I've lurked in these forums for quite some time and I've come across things where I think "Oh, we need that in the lease...and that...and damn we don't have that either". Now I can't find those particular things. Example: One thing that we don't have in the lease is anything about drugs. I've had tenants overdose in the building twice now. I'd really like some advice and recourse on this as drug use is a big problem in Manchester NH.

Any help would be greatly appreciated. Thank you.

Fred Dray · Answer

Hi @Stacy Davis.  As far as drugs, I would deal with it in a non-curable breach of contract section such as:

Non-Curable Breach of Agreement: Any of the following events will be deemed a non-curable breach of this Lease; (a) Police raid upon your Premises; (b) Your arrest for possession/sale/storage of any narcotic/controlled substance/chemical or herbal contraband in or about the Premises; (c) Failure topermit Owner's entry to the Premises following receipt of adequate notice; (d) Failure to cooperate with Owner or any pest controller/fumigator/exterminator following receipt of notice of such services; (e) Defaults by you causing Owner to serve more than two notices to pay or quit, in any twelve (12) month period; (f) A misrepresentation on your Rental Application; (g) Delivery of any security door/gate key to anyone not party to this Lease.

Nathan Gesner · Answer

@Stacy Davisyou have to be careful using leases from other Landlords or Property Managers because the language they use may not be allowed in your state. There are very few attorneys on BP and the ones that are here probably won't give you a lot of free advice. I wrote my own agreements by reviewing dozens of agreements from around the country and considering what I wanted in mine. HOWEVER, I give them to an attorney for proofing, refinement, approval, etc. This is important! Just because something sounds good doesn't mean it is legal, even if you get it from a professional property manager in your local area.

As for your specific question, there's no need to be detailed. Drug use is already illegal, as is murder, rape, burglary, domestic violence, threats of violence, discharge of firearms, use of fireworks, etc. Rather than list every single crime that is already a crime, simply write a clause that states the Tenant may be evicted for illegal behavior on the premises. Here's mine as an example:

Tenant, his guests or invitees, shall not engage in criminal activity, including but not limited to violence, threats of violence, unlawful discharge of firearms, or drug-related criminal activity. A single violation may be deemed a material breach and good cause for termination of this Agreement. Unless otherwise provided by law, the filing of charges for any such violation shall be sufficient for such termination and no criminal conviction is required.

Notice it is not limited to just those crimes. Any criminal activity is grounds for removal. The final sentence says they do not have to be convicted. If I read in the police blotter that a tenant was picked up for drug possession at a local bar, I can safely assume they possess drugs on my property and I will file for eviction. I've used this clause a few times and they didn't contest it. It has not been proven in a court of law, but I'm in a Landlord-friendly state and my attorney thinks it is solid.

Chad Duval · Answer

Hi Stacy - You should check out the File Place in the Tools Menu. They have a few lease agreement samples: https://www.biggerpockets.com/files/category/contracts

Stacy Davis · Answer

Thank you Nathan, how you put it is exactly what I was looking for!

Stacy Davis · Answer

Hi Matt, I appreciate the response. Unfortunately drugs, particularly heroin isn't limited to inner city or lower class anymore. It's pervasive in every area. They were screened well. No evictions, prior landlords checked out, credit scores higher than most and good jobs. The typical "junkie" now is nowhere near what it used to be.

Stacy Davis · Answer

Hi Matt, thank you for your response. Unfortunately drugs, particularly heroin isn't limited to inner city or lower class anymore. It's pervasive in every area. They were screened well. No evictions, prior landlords checked out, credit scores higher than most and good jobs. The typical "junkie" now is nowhere near what it used to be.

Fred Dray · Answer

@Stacy Davis  I cut and paste the above and it wouldn't let me edit text.  So for (b) I would change to Arrest of tenant or tenant's guest(s) for....and leave the rest as is

Hope this helps...

Stacy Davis · Answer

Screening process is pretty good I think. They had no arrests, no evictions and high credit scores. Unfortunately drugs (particularly heroin) is not just in the slums of inner city anymore. Heroin use isn't limited to lower class anymore either. Miss America could be a heroin addict. Junkies aren't what they used to be.

Frank Eimiller · Answer

If drugs is the only problem you can specifically think of right now maybe you should give a little more attention to your screening process! -- best of luck!!

Robert M. · Answer

@Stacy Davis  I sent you a PM with a request for your e-mail. Respond and I will send you a lease I use in Pennsylvania.

Lease seems lacking. Point me in the right direction please?

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