Real estate lease agreement according to the Law of Contract and Torts

According to the provisions of the Law of Contract and Torts lease agreement shall be defined as a contract by which one person shall assume the obligation to deliver a specific object to another person (lessee) for use, and lessee shall assume the obligation to pay him in return a specified compensation (rent) and to restore him the rented thing after the termination of the contract. The use shall also include collecting yields, unless otherwise provided by contract or by trade usage.

The lease agreement is named contract because it is regulated by law, onerous, consensual – it is formed in accordance with the consenting minds, bilaterally binding and simple contract – it does not contain elements of the other contracts.

Also according to the provisions of the Law of Contract and Torts the lease agreement is an informal contract. Continue reading Real estate lease agreement according to the Law of Contract and Torts