A landlord and tenant complete a one-year lease. The following week, the landlord dies. Which of the following is true?

A landlord and tenant complete a one-year lease. The following week, the landlord dies. Which of the following is true?

• A. The lease is cancelled and must be re-written.
• B. The tenant must continue to abide by all lease terms.
• C. The tenant may annul the lease at his or her option.
• D. The landlord's heirs may cancel the lease at their option.

Answer: (B)

A lease is a binding contract, and the death of the landlord does not automatically end it. When the landlord dies, ownership typically passes to heirs or the estate, but the lease remains in force. The new landlord steps into the landlord’s position and is bound to honor the existing terms, including continuing to rent to the tenant and enforce the lease obligations. So the tenant must continue to abide by all lease terms, such as paying rent and following any rules, for the remainder of the lease term unless the lease expires, is terminated by mutual agreement, or contains a provision allowing for termination on death. The heirs or estate don’t have the unilateral right to cancel the lease at their option.

A lease is a binding contract, and the death of the landlord does not automatically end it. When the landlord dies, ownership typically passes to heirs or the estate, but the lease remains in force. The new landlord steps into the landlord’s position and is bound to honor the existing terms, including continuing to rent to the tenant and enforce the lease obligations. So the tenant must continue to abide by all lease terms, such as paying rent and following any rules, for the remainder of the lease term unless the lease expires, is terminated by mutual agreement, or contains a provision allowing for termination on death. The heirs or estate don’t have the unilateral right to cancel the lease at their option.