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The 1 Clause Every Lease in TN Should Have

The 1 Clause Every Lease in TN Should Have
9/05/2013 11:54 AM
  The One Clause Every Lease

 in Tennessee Should Have 

If you invest in the great state of Tennessee like I do, there is a clause that you should be sure that you have in your lease.  I say “should have” because it is not required.  But if you put this one clause in your lease, you will save yourself some time and hassle down the road.

Tennessee Code Annotated (T.C.A.) 66-28-201(c) states in part that:

Rent shall be payable without demand at the time and place agreed upon by the parties. Notice is specifically waived upon the nonpayment of rent by the tenant only if such a waiver is provided for in a written rental agreement.

What that law says is that you the landlord have to provide your tenant notice that he/she is late on their rental payments before you can take them to court, unless your lease specifically contains a clause stating that the tenant waives the right of notice.

When you go to eviction court here in Tennessee, one of the first things the judge is going to want to see is your lease.  The judge will ask if you have the notice clause in your lease.  If you do not, the judge will then ask if you served notice that rent was due.  If you have not served notice, guess where your case goes.  Yep, right out the door.  Ignorance of the law is no excuse.

I know it sounds silly.  The tenant knows they have not paid the rent, why do I need to notify them of it?  Plus, it takes time, effort and money to serve notice, time you do not have because they are not paying you!  You want them out so you can get it re-rented.  So put a simple clause in your lease like the following:

Rent is due without demand or notice from Manager/Landlord.

And be sure to have your tenant initial beside this clause when you are going over the lease with them.

Remember I’m not a lawyer and can’t provide legal advice.  I am only a landlord with several years experience.  So check with your own legal counsel.

Those of you in other states, I bet there are quirky laws like this for your state, so be sure to know and follow the laws in your state.  One good place to find out about local laws is at your local REIA group.  Find one and join up today.

For more tips on landlording go to:

Copyright 2013 
Republished with permission

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Jim Keller  (11/19/2013 10:41 AM) 
This is an ABSOLUTE MUST HAVE clause for every lease. Kevin is right on the money with his statements. I have referenced this clause in my leases during a court appearance for eviction and it stands up in court.
Curt Davis  (9/05/2013 11:04 PM) 
That is a great piece of info. Makes me wonder if the management companies I work with have this in their leases.
Kevin Perk
The 1 Clause Every Lease in TN Should Have

If you are a landlord in Tennessee there is one clause that you absolutely must have in your lease. If you do not, it will cost you time and money. Read more to find out what this clause is.
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