09 Dec 2012
Words Tim Admin

The Motel Lease - Repairs and Maintenance

A motel lease should clearly set out the obligations of the tenant and the landlord, particularly when it comes to the repair and maintenance of the motel. It is a feature of most well drawn Leases that responsibility for maintenance and upkeep of the motel is very much left to the tenant. The rationale behind this is that the motelier does not want his business suffering whilst he waits for a tardy landlord to effect repairs to the property. It is far more desirable that the motelier be in control of the maintenance of his own building so that his business is not adversely affected. The clauses relating to repairs and maintenance are often disputed when negotiating a lease and are often disputed during the term of the lease. For this reason it is essential that the clauses be as clear as possible as the clearer the lease the easier it is for both parties to understand their obligations. The most difficult part of the repairs and maintenance clause is determining who owns what in the motel and who is responsible for the replacement of an item if it comes to the end of its life. The general rule should be that the each party replaces their own property however it is all maintained by the tenant. The starting point when it comes to repairs and maintenance is the AAA Report which is prepared annually. The lease should require the tenant to comply with all requirements and recommendations contained in the AAA Report within a reasonable time (except for those requirements of a structural nature). More specifically, the Tenant will generally be required to: (a) keep the motel and the landlord's property clean and in good repair and repair any damage to the motel and the landlord's property caused by the tenant or the tenant's agents; and (b) keep the tenant's property clean and in good repair; and (c) replace damaged plate glass and other glass in the motel; and (d) maintain and repair the services. The tenant should not be responsible for any structural repairs, latent defects or, as mentioned above, the replacement of the landlord's property. To remove any doubt as to what is the landlord's property and what is the tenant's property, our plain English motel lease lists the types of items that landlord and the tenant will be respectively obliged to replace when the item comes to the end of its life. This is an important aspect of the negotiations prior to settling the terms of the lease.