Question

Josephine is leasing a parking lot between her shop and the store next door. The owner hasn't decided yet whether to keep the parking lot or sell it, so he signs an estate at will lease with Josephine. Either Josephine or the owner may terminate with notice. If either Josephine or the owner dies, the lease terminates.

This is an example of

Estate for years

Tenancy at will

Answer 1

The lease signed between Josephine and the owner is a 'Tenancy at will' which allows either party to terminate with notice and automatically ends if one party dies. It allows flexibility and does not bind to a fixed term.

Step-by-step explanation:

The leasing arrangement described is an example of a Tenancy at will. This type of lease agreement is characterized by its flexibility for both the tenant, Josephine, and the owner. The tenancy can be terminated by either party with proper notice, and it automatically ends upon the death of either party. In terms of termination, either party may give a 30-day written notice to end the lease. If an owner cannot deliver possession on the agreed date, the agreement can be canceled and terminated by either party. Finally, in the long run, any changes in the business needs or goals can be accommodated as the lease does not bind the tenant to a fixed term.