Basics of an Arkansas rental lease agreement

What a rental lease agreement is

A rental lease agreement is a written document signed by a landlord and tenant that describes the terms of a rental agreement. It contains important information on responsibilities both parties have during the tenancy. Owners can use a rental lease agreement to:
In Arkansas, a rental lease agreement is not required at the start of a tenancy, however, it is a good idea to have a written lease even though it is not required . A rental lease assures both the owner and the tenant of their legal rights and responsibilities. If a dispute arises with a landlord or tenant that is not outlined in the rental lease, the law may be used to resolve the dispute. Courts will often interpret the terms of verbal agreements differently than they would a written agreement.

Components of an Arkansas lease

An Arkansas Lease Agreement for residential purposes will be similar to Lease Agreements that are used throughout the United States. There are some key native terms and Arkansas rental laws that may differ from other jurisdictions. This is a basic overview of the elements of an Arkansas Lease Agreement. There are additional forms that are required in Arkansas including a Security Deposit Receipt, Move-in Conditions Checklist, Move-in Utility Notice, and more.
A Rental Agreement in Arkansas is typically called a Lease Agreement. There is no formal state agency that can handle a rental property. The rental agreement between the landlord and tenant is governed by Arkansas law, however.
Similar to many lease agreements across the U.S., your Arkansas rental Agreement should consist of the following:
Tenant Name(s). Names of each tenant who will be sign and be responsible for rent (rent payment). Additional names can be added to the rental agreement.
Landlord Name(s). Names must be full first and last name of all landlords to whom rent is due.
Address of Premises. Full street address of the rental property, typically noted as the "Premises" or "Apartment".
Rent Amount. Amount of rent to be paid on a recurring basis.
Rent Due Date. The day of the month rent is due.
Rent Payment Method. The method in which rent will be paid (check, money order, direct deposit).
Lease Period. Month-to-month, year-to-year. Typically a Texas Lease would be for a 1 year term.
Tenant Signature / Date. Signature of tenant who is agreeing to the terms of the lease. A tenant will usually need to date a lease twice. Once at the top (signature) and once just above the signature line – for "date" purposes. Some rental agreements may not provide space for signing and dating the lease.
Landlord Signature / Date. Signature of landlord who is agreeing to the terms of the lease. A landlord will usually need to date a lease twice. Once at the top (signature) and once just above the signature line – for "date" purposes.

Leases under the law in Arkansas

The Rental Lease Agreement falls under the legal framework of both Arkansas contract law and Arkansas landlord-tenant residential lease law. Because a rental agreement is a real estate transaction, the sale of property or renting of space (and all the attendant duties and rights that go along with the sale or lease), the case law and statutes in Arkansas for real estate of all types can be utilized to help interpret the application of Arkansas lease law.
Arkansas Code Title 18, Chapter 17 – Landlord and Tenant Title 18, Chapter 17 of the Arkansas Code contains the Arkansas Residential Landlord and Tenant Act, which governs residential leases in Arkansas. The structure of the statute is complex and it is assumed that you are familiar with the general subject matter before you read the various sections. The statutes contain 40 sections and are divided into five subchapters: § 18-17-201, General Purpose – This section provides for a very broad introduction to the statutes governing the rental of residential property (lease agreements). Included in this section is what is generally known as the Warranty of Habitability, which is a basic implicit requirement that the landlord has a duty to provide a property that is safe and livable. § 18-17-202, Definitions – This section contains the last definitions of the relevant sections of Title 18, Chapter 17. While you are not required to read the definitions in order to understand the statutes, these definitions will go a long way in helping you understand what the lease statutes will require your landlord to do (or not do), and your obligations to your landlord. § 18-17-203, Applicability – This section informs you that Title 18, Chapter 17 does not apply to hotel and motel facilities; mobile home communities; customary student housing; facilities operated in accordance with state and federal laws and regulations and that provide college or university housing; facilities owned or managed by a public housing authority; non-profit hospital facilities; agricultural housing; or units controlled by a government agency. § 18-17-204, Unlawful Practice – This section saves you the cost and trouble of getting a lawyer involved to enforce Title 18, Chapter 17. It provides statutory damages for some violations of the statute and provides that a violation of the statute may be raised as a defense to an eviction action. However, it also provides the landlord with defenses to certain liability. § 18-17-205, Landlord’s Duties – This section is straightforward and provides general duties for the landlord concerning maintenance of a safe and habitable dwelling (again, the warranty of habitability). § 18-17-206, Rental Agreements – This section requires a disclosure of certain information to the tenant at the time the lease is signed and the keys are turned over to the tenant (or at such other time described in the statute). These include notices regarding bed bugs, radon, lead based paint and natural gas fuels. § 18-17-207, Notice – This section describes the notice requirements for landlords and tenants in terminating rental agreements. § 18-17-208, Rent – This section describes how rents are to be collected and describes late fees and returned checks. § 18-17-209, Entry by Landlord – This section is similar to the Missouri landlord-tenant act, and provides for entry and showing of the property by the landlord. It would be wise to have a provision in the lease for both landlord and tenant entry rights for maintenance, visits during sale or lease up periods, and for tenants who might be believe the landlord is entering without permission.

What a tenant is entitled to

The rights and responsibilities of tenants are detailed under the Arkansas Residential Landlord Tenant Act. When it comes to residential lease agreements, both the tenant and landlord have specific obligations to uphold. Although there is considerable wiggle-room in how these rules can be written, the laws of the state provide a great deal of protection to tenants.
At the outset, a landlord or property owner must make the rental property habitable. This means safe electrical, water and plumbing systems, heat sources, a safe way to enter and exit, and more. If any of these things are not in place, the tenant can withhold rent or break the lease without legal ramifications. The landlord must also agree to keep all appliances and systems in good working order (unless specified otherwise in the lease). Any deficiencies in the property must be disclosed by the landlord prior to signing a lease agreement. The landlord has up to 30 days to make necessary repairs upon receipt of a written request from a tenant. If the request is ignored, the tenant can file to have the rent withheld for the cost of repairs. A tenant is responsible for making sure the rental property is reasonably clean and sanitary. He or she cannot allow garbage or filth to accumulate. In addition, the tenant is responsible for minor repairs (such as filters or checking for leaks) that cost less than $300. A holder of a residential lease (whether it’s the original tenant or a sub-tenant) is responsible for paying rent and must file an eviction notice if the other party fails to pay. All rent must be paid on time as agreed, and partial payments can be turned away if they are not spelled out in the lease. Tenants also have an obligation to return the property as found when the lease ends, which includes any furnishings and appliances that were a part of the original property.

What a landlord must provide under the law in Arkansas

Landlords in Arkansas face a complex array of legal obligations relative to repair and maintenance of their properties. Two separate statutes regulate the extent of those obligations:
The Arkansas Residential Landlord Tenant Act, Ark. Code Ann. § 18-16-101 et seq.: This act requires a landlord to make necessary repairs to a dwelling in an effort to keep a property in a habitable condition, and to maintain common areas safely. It further requires exterior structural maintenance, and maintenance of electrical, plumbing, sanitary, heating, ventilating, air conditioning, and other facilities and appliances. The act requires a rental unit to be fit for human occupation. A rental unit is considered uninhabitable if it exposes the tenant to: • Conditions that will affect the tenant’s health or safety; • Risks of damage to the tenant’s property; or • There exists a substantial breach of a material obligation. A breach of a material obligation does not occur due to an isolated incident. However, a repeated violation may constitute a breach of material obligation.
Ark. Code Ann. § 20-56-501 et seq.: The Arkansas law regarding the delivery of utilities requires a landlord to deliver vital utilities to their premises, such as gas, electricity, and water. A "landlord" is defined as: a person or business entity that owned or managed property within this state, who rents or leases any part of residential or commercial property within this state to another for consideration , including but not limited to residential complexes, office complexes, apartments, retail space, warehouses, storage facilities, and industrial parks. A "vital utility" is defined as electricity, natural gas, propane gas, oil, water, waste disposal, or communications services such as telephone or internet. A "tenant" is a person or business entity renting or leasing a part of residential or commercial real estate from another party for consideration. A delivery charge will be due within 5 days of being billed for services. Failure to pay any charge for services will result in a $500 penalty, plus attorney fees incurred by the Plaintiff in collection of the charges.
Such obligations, however, do not apply to a single-family residential unit if the Colorado Department of Public Health and Environment has not established such requirements. In those cases, the tenant is responsible for any repairs, even if the cause of the damage was deliberate, negligent, or wrongful acts, or the failure of the tenant to exercise reasonable care to maintain the premises in a safe and sanitary manner. Maintenance obligations are only divided if each party has a clear understanding of their expectations. If so, then the allocation of responsibilities is a key factor that courts will consider when deciding whether the tenant violated his or her duties under the lease. Nevertheless, the act negates any ambiguous interpretation of lease provisions between landlords and tenants in the state.

Issues in an Arkansas lease

As a landlord or even sometimes as a tenant, issues can arise in lease agreements in Arkansas. Most people think the biggest and most common issues arise with security deposits, but it can go much further than that. In this section, I will go into some of the most common issues I have seen and how we can help customers resolve them.
SECURITY DEPOSITS: Security deposits do not need to be accounted for by a tenant during the term of their lease; however, when they move out, establishing whether or not the tenants have received their security deposit back can be a problem. If they have not received their security deposit back, an action in district court should be filed to properly assert your tenant rights.
REPAIRS: Repairs are often issues where tenants feel like their landlord is not upholding their window of the agreement, and it is the tenant’s right to complain when their landlord is not. When and if a tenant refuses to pay their rent, again an action in district court should be filed to address the issue.
SAFEY: Risk of safety due to lack of repairs is another common dispute. Landlords are required by law to provide their tenants with a safe environment to live in. Failure to do so is grounds for the tenant to take legal action against you.
EVICTION: Because of rental leases, sometimes things do not go as planned. It could be the landlord’s fault or possibly the tenants, but either way, if an eviction becomes necessary, the proper paperwork must be filed in district court.

Amending a lease agreement

When it comes to rental leases and lease agreements that have been duly executed and signed in the state of Arkansas, the law is well established that those agreements can be modified in a couple of different ways. First, and often, the terms of the lease agreement may be altered by the mutual agreement of the parties. This means that prior to the expiration of the term in the lease agreement, the landlord and tenant may agree to change some or all of the conditions contained in the agreement. This might mean that the initial rental rate was $2,000 a month but for the next year, the two parties might agree to modify the rental rate so that it goes up to $2,500 a month. Likewise, the parties might agree to change the terms contained in the lease agreement so that a certain type of maintenance is going to be handled by the landlord as opposed to the tenant with the responsibility for handling such items.
The agreement to modify the terms of the lease should be an enforceable document just like the lease agreement itself. While many landlords will have their attorneys draft up the lease, they might have one of their skilled legal professionals draft up the additional addendum changing the terms of the lease. When there is a potential for a dispute regarding what the terms of the lease agreement actually are, the addendum document would be the one that prevails as opposed to the original lease agreement document.
Most alterations to a lease agreement made pursuant to the aforementioned are typically somewhat inconsequential. However, there are some changes that might not be able to readily be made. These include but are not limited to:
If a landlord or a tenant desires to read that these types of provisions be altered, consideration should be made to drafting up a new lease agreement. These types of changes, especially if performed by an unskilled individual may backfire on the parties should it ever come to light in court that there was a different lease agreement than what was filed with the court.
When it comes to remediating the situation where a lease agreement needs to be modified, it is important to remember those changes may or may not require a new lease agreement to be drafted. A new document should always be created if the changes are major in nature.

How to terminate an Arkansas lease

A rental lease is a legally binding agreement between you and a landlord. As such, you may term the lease only according to Arkansas law. Leases in Arkansas are usually terminable after the specified period by giving notice and vacating the premises. A termination is also allowed for various other lawful reasons. If a tenant vacates the property before the term expires and without a sufficient reason, the landlord may be awarded money damages rather than possession. According to the Code of Arkansas, termination after the lease term can be effectuated by a written or oral notice given at least 30 days before the expiration of the term.
If the lease is silent as to the exact notice requirements, the notice must be given at the earliest one month after the receipt of the rent payment that falls within the notice period. If at the time of executing the lease the landlord and tenant discussed and understood that the tenant could terminate the lease before the term by giving advance notice, then a notice of termination given at any time during the lease term is sufficient. The termination of the lease may be given in person or in writing, as long as it is in the hands of the tenant or a person authorized by them.
Tenancy at will is different from terminating a lease term. Under this arrangement, unless the lease says otherwise, either the landlord or the tenant can terminate the lease by giving notice. Even if there is an agreement to the contrary , unless a different advance notice period is specified within the agreement, the party in possession of the property must be given at least 10 days’ notice to vacate the premises. When the tenancy is not at will, Arkansas law requires advance notice of three full monthly rent payments. A lease containing a royalty payment-a payment for the extraction of minerals, timber or other natural resources-may be terminated five days after the end of the month of the prescribed notice. If a lease term is jointly executed in the name of more than one party, each party is jointly entitled to the same notice requirements.
A landlord in Arkansas is not required to give notice of termination in any of the following circumstances: if the tenant has not paid the required rents; if the tenant is habitually absent from the premises while possessing it; if an order of attachment has been attained against the tenant’s goods; removable machinery has been attached to the property by the tenant and the landlord has permission to sell it to pay the rent; if the tenant has breached a duty imposed on him or her by the landlord; if the tenant has acted in a way that materially injures the leased property; if the tenant brings a suit against the landlord to recover possession; if the tenant attempted to purchase the property using any part of the rent; the tenant used the premises for an unlawful purpose; or if the tenant breaches any other condition of the lease.

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