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Chapter 18 Quiz
Leases & the Landlord-Tenant Relationship
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A tenancy for years can be for:
1 point
(A) a certain number of days.
(B) a certain number of months.
(C) a certain number of years.
(D) any of the above.
Clear selection
A landlord orally leases a store to a tenant for one year. The lease is:
1 point
(A) valid.
(B) invalid due to the Statute of Frauds.
(C) a tenancy from year to year.
(D) a periodic tenancy.
Clear selection
A lease which is based on gross revenues is a:
1 point
(A) gross lease.
(B) net lease.
(C) percentage lease.
(D) annual lease.
Clear selection
A lease held by a tenant in an apartment building project is usually a:
1 point
(A) ground lease.
(B) gross lease.
(C) net lease.
(D) percentage lease.
Clear selection
Which lease provides for certain adjustments in rent?
1 point
(A) Ground lease.
(B) Net lease.
(C) Graduated lease.
(D) Long-term lease.
Clear selection
A lease of fixed time that automatically renews itself until the landlord or tenant takes action to terminate it is:
1 point
(A) an estate at will.
(B) a periodic tenancy.
(C) a tenancy at sufferance.
(D) a holdover tenancy.
Clear selection
If the lease requires the landlord to provide repairs and the landlord refuses to do so, the tenant, after giving proper notice, may:
1 point
(A) serve the landlord with a notice to quit.
(B) take an ejectment action against the landlord.
(C) have the repairs made and deduct them from the rent.
(D) pay a reduced rent reflecting the value of the rented premises without the required repairs.
Clear selection
A sublease is:
1 point
(A) an assignment of the lease.
(B) a transfer of the entire leasehold.
(C) a transfer of less-than-entire leasehold.
(D) void after 15 years.
Clear selection
Under a net lease, the lessee is responsible for all of the following EXCEPT:
1 point
(A) taxes.
(B) repairs.
(C) water charges.
(D) mortgage payments.
Clear selection
When a tenant is unable to occupy his leased premises for the purpose intended because of a physical condition, this is called:
1 point
(A) actual eviction.
(B) constructive eviction.
(C) dispossess eviction.
(D) passive eviction.
Clear selection
Assume a mortgaged property is leased. Because of default in payment, the mortgagee forecloses on the mortgage. Which of the following statements is TRUE regarding rights under the lease?
1 point
(A) The lessee is automatically released from any further obligation on the lease.
(B) The lease continues in effect despite the foreclosure.
(C) The lease is void because the mortgagor has no right to give a lease on mortgaged property.
(D) The lease may be terminated by the mortgagee but not by the lessee.
Clear selection
The term that best describes a tenant’s interest in the property is:
1 point
(A) a life estate.
(B) a reversionary interest.
(C) a remainder interest.
(D) a leasehold estate.
Clear selection
Landlord-tenant laws for residential properties provide for:
1 point
(A) one month’s notice to terminate a month-to-month tenancy.
(B) limitations on the amount of the security deposit.
(C) a prohibition against eviction unless there is a “good cause.”
(D) all of the above.
Clear selection
A lease which calls for a series of predetermined rent increases designed to offset inflation is called a:
1 point
(A) graduated lease.
(B) step-up lease.
(C) Both A and B.
(D) Neither A nor B.
Clear selection
A landlord and a tenant agreed to terminate a lease. This is known as:
1 point
(A) rescission.
(B) surrender.
(C) release.
(D) abandonment.
Clear selection
A lessee rents a building from February 1 to September 1. His tenancy is:
1 point
(A) month-to-month.
(B) periodic tenancy.
(C) fee simple estate.
(D) estate for years.
Clear selection
The person who most likely would make use of the remedy called “Summary Possession” would be:
1 point
(A) the trustor.
(B) the holder of a note in default.
(C) the lessor.
(D) the grantor.
Clear selection
A clause in a contract that permits an upward or downward adjustment of the obligation should certain events occur is known as a(n):
1 point
(A) escalation clause.
(B) acceleration clause.
(C) penalty clause.
(D) habendum clause.
Clear selection
The interest of a tenant who came rightly into possession by permission of the owner but continues to occupy the premises without permission is called:
1 point
(A) a sandwich lease.
(B) an estate at sufferance.
(C) an estate at will.
(D) an estate in remainder.
Clear selection
All but which one of the following are necessary parts of a lease?
1 point
(A) Parties to the lease.
(B) Terms of the lease.
(C) Option to purchase.
(D) Terms of the rental payment.
Clear selection
An oral contract for the lease of real estate for one year in New Jersey is:
1 point
(A) voidable.
(B) valid.
(C) void.
(D) invalid.
Clear selection
In the event the landlord in a New Jersey residential month-to-month lease wishes to raise the rent, he must give the tenant how many consecutive days’ notice?
1 point
(A) 72
(B) 30
(C) 28
(D) 45
Clear selection
A tenant who is actually or constructively evicted by a landlord may consider his lease as being:
1 point
(A) renewed.
(B) terminated.
(C) assigned.
(D) sold.
Clear selection
Which of the following statements in reference to a residential lease is FALSE?
1 point
(A) The security deposit is the property of the lessor during the term of the lease.
(B) Unless a contrary agreement is in effect, the lessee may sublet.
(C) A security deposit remains the property of the lessee until actual damage occurs.
(D) The rental of a bungalow at the shore from August 1 to August 31 is a tenancy for years.
Clear selection
Which of the following does NOT possess a leasehold estate?
1 point
(A) Tenancy at sufferance.
(B) Tenancy at will.
(C) Life tenant,
(D) Tenant for years.
Clear selection
A percentage lease is:
1 point
(A) one which provides for the percentage that will be paid the broker as a commission.
(B) one where the usual rent is based upon the net receipts of the tenant.
(C) one which always allows the tenant to cancel his lease if his income falls below a desired amount,
(D) one in which the rent is determined by a percentage of sales made in the leased premises.
Clear selection
A lease which ends without notice on the last day of the term is called:
1 point
(A) a tenancy for years.
(B) an estate at sufferance.
(C) an estate at will.
(D) an estate in remainder.
Clear selection
Which one of the following involves a landlord-tenant relationship?
1 point
(A) Tenancy in common.
(B) Periodic estate.
(C) Joint tenancy.
(D) Tenancy by the entireties.
Clear selection
When the premises reach a physical condition whereby the tenant is unable to occupy them for the purposes intended, the situation is legally recognized as:
1 point
(A) a dispossess eviction.
(B) an actual eviction.
(C) a constructive eviction.
(D) a passive eviction.
Clear selection
By definition, an “estate for years”:
1 point
(A) must last for a year or more.
(B) must last for at least two years.
(C) is for a fixed term, whether a week, a month, a decade.
(D) requires a written lease.
Clear selection
During the term of a lease, the landlord has which of the following?
1 point
(A) Reversion interest.
(B) Tenancy at sufferance.
(C) Right of reentry.
(D) Remainder interest.
Clear selection
If it is not stipulated in the lease and the leased property is sold, the lease:
1 point
(A) has to be renewed.
(B) is binding on the new owner.
(C) creates a tenancy from month-to-month.
(D) materially affects the tenant.
Clear selection
The lessor under a net lease pays the:
1 point
(A) taxes.
(B) special assessments.
(C) maintenance.
(D) mortgage principal payments.
Clear selection
Under the terms of a typical lease, when the lessor dies:
1 point
(A) the lease terminates.
(B) the lessee has the option to terminate the lease.
(C) the lease is void.
(D) the lease is not affected.
Clear selection
A lease of land providing for improvements to be placed on the land by the tenant is known as a:
1 point
(A) ground lease.
(B) net lease.
(C) gross lease.
(D) sandwich lease.
Clear selection
The term “lessor” is most likely to be used to describe:
1 point
(A) a tenant.
(B) an owner.
(C) a vendor.
(D) an optionor.
Clear selection
A leasehold interest lying between the primary lease and the sublease is known as:
1 point
(A) a percentage lease.
(B) a sandwich lease.
(C) an inactive lease.
(D) an uncapitalized lease.
Clear selection
A graduated lease can best be defined as a lease:
1 point
(A) that includes an option to purchase.
(B) in which there may be an increase or decrease in rent at a stated future time.
(C) under which the owner or landlord pays all ownership charges such as taxes.
(D) that is passed intact from one owner to the next owner under terms of a contract.
Clear selection
The normal shopping center lease is a:
1 point
(A) net lease.
(B) percentage lease.
(C) gross lease.
(D) sublease.
Clear selection
When a lease provides that the lessor shall be responsible for expenses such as taxes, insurance, heat, utilities and maintenance, it is known as which of the following?
1 point
(A) Gross lease.
(B) Net lease.
(C) Indexed (escalated) lease.
(D) Graduated (step-up) lease.
Clear selection
Which of the following is true when a lease is assigned?
1 point
(A) The assignment cannot be made without the consent of the lessor.
(B) The assignee will pay rent directly to the lessor.
(C) It automatically extends the term of the lease.
(D) The lease is not assignable unless it specifically states that it is.
Clear selection
If a landlord takes legal action to evict a tenant for non-payment of rent, it is called a (an):
1 point
(A) assignment.
(B) constructive eviction.
(C) self-help eviction.
(D) actual eviction.
Clear selection
An example of a non-freehold estate is:
1 point
(A) fee simple.
(B) defeasible fee.
(C) determinable fee.
(D) a lease.
Clear selection
Which of the following is a non-freehold estate?
1 point
(A) Tenancy by the entirety.
(B) Tenancy in common.
(C) Tenancy for years.
(D) Tenancy in severalty.
Clear selection
Which of the following is NOT a leasehold estate?
1 point
(A) Estate at will.
(B) Estate at sufferance.
(C) Estate for years.
(D) Life estate.
Clear selection
A net lease:
1 point
(A) generally requires the lessor to pay operating expenses.
(B) is usually used for apartments.
(C) cannot be used for industrial properties.
(D) generally requires the lessee to pay operating expenses.
Clear selection
A tenant who transfers part of the remaining term of his or her lease is:
1 point
(A) assigning the lease.
(B) subleasing the premises.
(C) a sublessee.
(D) an assignee.
Clear selection
In New Jersey, if a landlord refuses to rent to a family because they have a child under 18 years old, it would be:
1 point
(A) a violation of the New Jersey Law Against Discrimination.
(B) a violation of the Federal Fair Housing Law.
(C) a violation of license laws.
(D) both A and B.
Clear selection
Mark rents a dwelling unit to Susan, who in turn transfers a portion of her lease term to Katy. Concerning this example, all of the following statements are correct EXCEPT:
1 point
(A) Katy is the sublessee.
(B) Mark is the lessor in the original lease.
(C) Susan is the lessee in the original lease.
(D) Katy is the lessor in her lease with Susan.
Clear selection
In New Jersey a landlord may legally evict a tenant for which of the following reasons?
1 point
(A) The tenant joined a tenant organization.
(B) The tenant failed to pay rent on an oral lease.
(C) The tenant is too old.
(D) The tenant of a two-bedroom apartment gave birth to a child.
Clear selection
A lessee or tenant who grants a sublease to another. 18-368
1 point
Lessee
Lessor
Sublessee
Sublessor
Clear selection
A lease in which the tenant pays rent for occupancy, plus maintenance and operation expenses, usually including taxes and insurance. 18-366
1 point
Sublease
Gross Lease
Ground Lease
Net Lease
Clear selection
Possession and occupancy of land terminable at the will of either party. 18-365
1 point
Percentage Lease
Security Deposit
Tenancy at Sufferance
Tenancy at Will
Clear selection
A lease with fixed increases at stated intervals, or increases based upon periodic appraisals at stated times; AKA step-up lease or graded lease. 18-366
1 point
Percentage Lease
Escalator Clause
Ground Lease
Graduated Lease
Clear selection
A lease given by a lessee for a portion of the unexpired balance of his term, or one given for a portion of the leased premises. 18-368
1 point
Lease
Sublease
Net Lease
Gross Lease
Clear selection
A legal process by a landlord to remove a tenant and regain possession of real property due to some breach of the lease agreement by the tenant. 18-367
1 point
Summary Possession
Eviction
Dispossess Proceedings
Escalator Clause
Clear selection
To convey an estate for years; synonymous with lease.
1 point
Surrender
Lease
Demise
Net Lease
Clear selection
A lease of property in which the rental is based upon the volume of gross sales made on the leased premises. 18-366
1 point
Graduated Lease
Gross Lease
Percentage Lease
Periodic Tenancy
Clear selection
One who rents property under a lease contract. 18-365
1 point
Lessee
Lessor
Sublessee
Sublessor
Clear selection
The residue of an estate left to the grantor or his heirs after termination of all prior estates and interests; the right of a lessor to recover possession of leased property upon the termination of the lease, with all subsequent rights to use and enjoy the property. 4-190
1 point
Eviction
Assignment
Net Lease
Reversion
Clear selection
A lease; an interest in land by virtue of a contract for the possession for a definite and limited period of time. 18-365
1 point
Estate for Years
Escalator Clause
Percentage Lease
Graduated Lease
Clear selection
Willful destruction of any part of the land which would injure or prejudice the landlord's or remainderman's reversionary right. 4-190
1 point
Sublease
Waste
Net Lease
Lease
Clear selection
The method or manner by which a right or contract such as a lease or mortgage is transferred from one person to another. 9-239
1 point
Gross Lease
Ground Lease
Surrender
Assignment
Clear selection
A tenant who remains in possession of a property after expiration of the lease term. 18-367
1 point
Holdover Tenant
Lessor
Sublessee
Lessee
Clear selection
A lessee or tenant who is granted a sublease from another. 18-368
1 point
Lessor
Sublessor
Sublessee
Lessee
Clear selection
A tenancy arising when the tenant wrongfully holds over after the expiration of his term. The landlord has the choice of evicting the tenant or accepting him for a similar term and under the conditions of the previous holding. 18-365
1 point
Escalator Clause
Tenancy at Will
Tenancy at Sufferance
Dispossess Proceedings
Clear selection
Deposit made to assure performance of an obligation, usually by a lessee. 18-369
1 point
Security Deposit
Percentage Lease
Periodic Tenancy
Tenancy at Will
Clear selection
Tenancy of property for an indefinite period, which can be terminated by either party with proper notice. 18-365
1 point
Ground Lease
Gross Lease
Percentage Lease
Periodic Tenancy
Clear selection
Notice to a tenant to vacate. 19-404
1 point
Tenancy at Will
Security Deposit
Estate for Years
Notice to Quit
Clear selection
A contract whereby the lawful owner of the property transfers his rights of use and possession to another for a specified term. 18-365
1 point
Sublease
Lease
Net Lease
Waste
Clear selection
Breach of the covenant warranting quiet enjoyment in a lease; when a landlord performs an act depriving the tenant of quiet enjoyment of the premises, thereby causing the tenant to move. 18-367
1 point
Constructive Eviction
Tenancy at Sufferance
Dispossess Proceedings
Percentage Lease
Clear selection
An owner who enters into a lease with a tenant. 18-365
1 point
Sublessee
Lessee
Sublessor
Lessor
Clear selection
A lease for the use of the land, usually providing for improvements to be placed on the land by the user. 18-366
1 point
Ground Lease
Graduated Lease
Net Lease
Gross Lease
Clear selection
A lease provision that allows rent increases during the term of a lease to reflect increased operating expenses such as higher taxes, maintenance costs and fuel oil. 18-366
1 point
Graduated Lease
Estate for Years
Percentage Lease
Escalator Clause
Clear selection
An estate or right in real property that involves possession but not ownership. 4-190
1 point
Leasehold Interest
Percentage Lease
Estate for Years
Graduated Lease
Clear selection
The cancellation of a lease by an act of mutual consent of lessor and lessee. 18-367
1 point
Sublease
Surrender
Assignment
Net Lease
Clear selection
Actual eviction; A legal proceeding by a landlord to recover possession of leased premises from a tenant due to some breach of the lease contract. 18-367
1 point
Dispossess Proceedings
Graduated Lease
Estate for Years
Summary Possession
Clear selection
A legal proceeding by a landlord to recover possession of leased premises from a tenant due to some breach of the lease contract. 18-367
1 point
Eviction
Net Lease
Dispossess Proceedings
Reversion
Clear selection
A present right to future possession of an estate. 18-365
1 point
Reversionary Interest
Security Deposit
Tenancy at Sufferance
Leasehold Interest
Clear selection
In a percentage lease, a clause that allows the landlord to cancel if the volume of busines falls below a stated minimum. 18-366
1 point
Escalator Clause
Recapture Clause
Percentage Lease
Estate for Years
Clear selection
A lease of property in which the lessor meets all property charges incurred through ownership. 18-366
1 point
Gross Lease
Net Lease
Percentage Lease
Sublease
Clear selection
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