Legal Definitions - Periodic Tenancy

A Periodic Tenancy is a type of rental agreement that automatically renews for a specific period (such as month-to-month, week-to-week, or year-to-year) until either the landlord or the tenant provides proper notice to end it. Unlike a fixed-term lease, which has a definite end date, a periodic tenancy continues indefinitely, rolling over from one period to the next.

This type of tenancy can be established in two main ways:

• Expressly: When the landlord and tenant explicitly agree to a periodic arrangement, such as a written "month-to-month" lease agreement.
• By Implication: When no specific end date is agreed upon, but rent is paid and accepted regularly (e.g., weekly, monthly, or quarterly), implying that the tenancy continues for those payment intervals. This often occurs when a fixed-term lease expires, and the tenant continues to pay rent, which the landlord accepts.

To terminate a periodic tenancy, the party wishing to end the agreement must typically provide notice equivalent to at least one full rental period. For instance, in a month-to-month tenancy, a month's notice is usually required, unless the agreement specifies different terms for termination.

Here are some examples to illustrate a Periodic Tenancy:

• Example 1: Residential Month-to-Month Apartment

  Maria rents an apartment from Landlord B. Instead of signing a one-year lease, they agree to a written "month-to-month" rental agreement. Maria pays her rent on the first of each month. This arrangement is a periodic tenancy because it automatically renews every month. If Maria decides to move out, she typically needs to give Landlord B at least one month's notice before her intended departure date, as per the terms of their agreement.

• Example 2: Commercial Retail Space

  A small boutique, "Chic Finds," rents a retail space. Their initial three-year lease expired, but the landlord and Chic Finds agreed to continue the arrangement with rent paid quarterly, without signing a new fixed-term lease. The landlord continues to accept the quarterly payments. This situation creates a periodic tenancy on a quarter-to-quarter basis. If either party wishes to terminate the agreement, they would generally need to provide notice equivalent to one full quarter.

• Example 3: Post-Lease Holdover

  John's one-year lease for his townhouse expired on August 31st. He didn't sign a new lease, but he continued to live in the townhouse and paid his September rent, which the landlord accepted. By accepting the rent after the lease expired, the landlord implicitly created a periodic tenancy, likely on a month-to-month basis, because the rent was paid monthly. John is now a periodic tenant, and either he or the landlord must provide proper notice (usually one month) to end the tenancy.