The Texas Apartment Association Lease: What It Covers
The Texas Apartment Association lease contract is a document that spells out the rights and obligations of an apartment community and the tenant about to move into that apartment unit. In addition, the lease between the parties may also regulate use of common areas, fees for use of amenities, and utilities to be paid by each party. It is probably the most common contract used when renting an apartment tenant in the State of Texas .
Because there are so many apartment complexes in Texas, the Texas Apartment Association lease contract is a good option for landlords in Texas. It is generally a good form because it has been reviewed by the Texas Apartment Association and other landlord groups.
However, just because the contract is a "good form" or "standard" does not mean that it cannot be negotiated between the tenant and management.
Terms of the TAA Lease Contract
The Texas Apartment Association lease contract is broken into three components: the lease contract itself, the property addendum, and the house rules and regulations. The items contained in these sections are customarily not negotiable, and they generally cannot be modified unless otherwise noted in a separate addendum made a part of the lease contract.
Section A: Parties / Guarantor – This first section of the lease contract lists the full name(s) of all adult tenants on the lease and the full name of the credit-worthy guarantor. This section is critical because the lease will be enforced against all tenants listed here should any tenant fail to perform under the terms of the lease, including but not limited to the full and timely payment of rent.
Section 1: Apartment to be Rented – This section of the lease contract describes each apartment rented. The apartment number, address, square footage, parking space number(s), monthly rent, rent due date and other applicable charges are discussed here.
Section 2: Obligation of Tenants – This section contains several important clauses that every tenant should know. First, it addresses the lease’s "community" nature. Generally, tenants are free to use amenities such as pools, spas and fitness centers; however, under this section, landlords reserve the right to restrict or close certain amenities with or without warning. Second, this section contains rules concerning late rental payments. Typically, there is a grace period during which the resident may pay rent after its due date without penalty. At the expiration of the grace period, a late fee may be applied to the resident’s account. Failure to pay rent may result in eviction under Texas and federal law.
Section 3: Security Devices – This section of the lease contract sets out the amenity fee charged by most landlords to provide key controlled and electronic entry security systems. This first sub-section of Section 3 sets out the specific options and their respective amenity fees. The second sub-section requires tenants to pay a re-keying fee when a key is lost or otherwise misplaced. The third sub-section requires the tenant to pay a fee to have a lock changed in the event keys are lost. The fourth sub-section covers lost remote controls for garages and the like. Finally, the fifth sub-section requires the resident to notify the landlord of any changes in locks or other devices and renders any locks changed without notice to the landlord as ineffective to keep out any person.
Section 4: Security Deposit and Other Fees – This section includes numerous provisions regarding security deposits and other fees charged by the landlord. The first sub-section describes the amount of the amenity fee and states that this amount will be refunded if there are no outstanding charges at the end of the lease term. The second sub-section addresses returned check fees. The third sub-section addresses the information required for resident checks. The fourth sub-section requires tenants, on completion of their move-out apartment inspection, to provide the landlord with a valid forwarding address for the return of the security deposit. The fifth sub-section imposes a $50.00 inspection fee in the event the landlord must hire a locksmith or locksmith service to open or replace a lock, door or hardware. Finally, the sixth sub-section states that the amenity fees listed in Section 3 of the lease are the only amenity fees which may be charged and sets out fees charged for pets and utility metering (if applicable).
Tenant’s Rights and Responsibilities
Tenant Rights and Responsibilities
Lease Contract
The lease between a tenant and a landlord is the contract that defines the rights and responsibilities of each party. When a lease is entered into, whether a written or oral agreement, each party expressly undertakes to fulfill the promises contained in the lease.
In the Texas Apartment Association Lease Contract for Residential Lease of Apartment (TAA Lease), all terms of the agreement are incorporated by reference, with the lease being divided into three parts:
General Conditions. This section of the lease includes provisions concerning the process for making rent payments, the amount due and late fees to be charged if the rental payment is not submitted in the required time, rent increases, and any other information or rules that are applied to the entire property. This section also generally describes the obligations of tenants regarding maintenance responsibilities, submission of notices to the landlord, and procedures for requesting modifications to the lease contract. For example, the TAA Lease requires a tenant to provide notice to the landlord prior to vacating the apartment or changing the locks and to notify the landlord within 7 days if the apartment has been damaged.
Special Provisions. The Special Provisions section of the lease is an area where comments, requests, or expectations of the tenant may be included in the lease contract. It is important to remember that the lease contract is still in effect despite any negotiated special provisions agreed upon by the tenant and the landlord.
Landlord’s Duties and Protections
In the Texas Apartment Association Lease Contract, the Owner (or "Landlord") is granted many obligations to provide a safe and habitable residence for the Resident (but note potential limitations under any local ordinance). The Victims of Family Violence Provision ("Chapter 92.016") in the lease contract requires assistance and cooperation from the Resident before an Owner may take any action. This is typically a notice prerequisite stating that the person being evicted has a protective order against him or her. It is important to note the change to the Chapter 92.016 notice a Resident must provide to the Owner if he or she claims to be a victim of family violence. Under the new law that became effective on January 1, 2016, a Resident must provide an Owner with a copy of a protective order or other evidence of family violence before the Owner can begin the eviction process.
The Chapters of the TAA Lease Contract that address the Owner’s rights to give residents 24 hours notice to enter the unit, as well as the Owner’s right to enter without notice, include the following: Chapter 22 – Entry By Owner, Chapter 23 – Landlord’s Disclosure, Chapter 24 – Statement of Tenant’s Rights, and Chapter 25 – Condition of Premises. The Chapters outline the Owner’s right to enter the unit and inspect it, make repairs, or show the apartment for rental.
Common Disputes and Resolutions
With regard to the Texas Apartment Association Lease Contract, one of the most common disputes I have seen are non-payment of rent cases. Many times landlord and tenant associations will refer these tenants to adjustments with their water or electricity providers, try to work with the tenant to arrive at a solution that saves them both the headache of an eviction, or sometimes just threaten to evict a tenant. When working within the Texas Apartment Association lease contract, there are just over 10 different sections that give the apartment community and tenant an "out" in certain situations.
For example, section eight of the lease contract addresses tenant’s default. It states that, "If Tenant fails to comply in any material respect with any provisions of this lease, Landlord may give notice requiring remedy or payment of the cost of the prohibited act… If either Landlord or Tenant fails to comply within thirty (30) days after the notice is given, then the other party may, without further notice , terminate the lease." This means that the landlord has an obligation to provide notice to the resident saying that they are in violation of the lease contract and that it would be remedied within 30 days or the resident would owe the cost of the violation. If after 30 days the tenant has not cured the default, both parties can terminate the lease.
Section 22 of the lease contract gives a tenant the ability to hold the landlord liable for their failure to comply with obligations under the lease contract. A tenant or resident can send a written notice of the lease violations to their landlord, and if after 7 days the landlord still has not complied with his or her obligations, the resident can obtain the costs of bringing the property back into compliance or the market rent for similar properties in the area for that duration.
Most of these disputes will never escalate into the courts if the parties communicate with one another. However, on those occasions where they do, there are mediation services available to help settle the dispute before it gets to court. The better thing to do is always try to resolve the dispute before you have to move to a litigation stage.
Managing Lease Renewals and Ending Tenancies
The Texas Apartment Association Lease Contract contains specific clauses dedicated to the renewal and termination of a lease contract. These clauses provide time periods during which either party can exercise their right to renew or terminate a lease contract. If the landlord and tenant do not exercise the renewal or termination provisions, then the lease will automatically renew for another term as specified in the lease contract.
Notice must be given to the other party in order for the leases renewal/termination clause to be valid. A lease contract may have specific language regarding the notice period a party must give to the other party as well as a timeframe in which the other party may respond to that notice. If the rent is paid via electronic method, the notice period begins when the recipients notice is sent to its electronic email. If rent is paid by check or other manual method, the notice period begins when the landlord either personally delivers the notice to the tenant or sends the notice via first-class United States mail.
If the tenant does not renew the lease contract and fails to vacate the unit, the tenant may be accessed a daily fine for each day after the lease expiration date which the tenant remains in possession of the unit.
If a tenant properly exercises the right to terminate, the contract will terminate 30 days from the date the notice was given. A tenant has the right to move out on the last day of a lease contract, however, if the tenant chooses to remain in the unit beyond the last day of the lease, the contract may be extended on a month-to-month basis.
Legal Protections and Considerations
The Texas Apartment Association (TAA) lease contract is governed by Texas law. As such, tenants and landlords can avail themselves of all tenant protections spelled out in the Texas Property Code (the Code). While some of the Code provisions are not waiverable, many can be waived by the landlord if it is clearly spelled out in the lease. For example, a landlord is required to make a diligent effort to repair. The diligent effort requirement can be waived, reducing the landlord’s obligation to however a court might interpret "diligent effort." The Code does require that the landlord follow a 7 day written notice and cure period for most complaints before a tenant can file suit for a rent offset or termination of the lease. Courts have been consistent in requiring this period be satisfied before a tenant will be permitted to file a forcible detainer. A tenant may feel they are being wrongfully evicted. If you believe you cannot afford to move even though your landlord requires you to vacate, you should consult an attorney to determine if a lawsuit will help.
Negotiating a Favorable Lease
In order to be able to negotiate some of these concerns favorably, however, you have to know whether the term is even negotiable (and how it is supposed to read from the perspective of the resident). A brief list of potential terms is set out below. Some of these terms will obviously be negotiable if entered into prior to occupancy and not after (and thus, not in an application/admission context). But you can make sure that these terms are clear and favorable to the resident, helping to protect him/her regardless of when the contract was signed:
Once you review the contract and determine what aspects are not fully favorable to the resident, you should try and get those terms changed before signing. There is only so much that you can negotiate individually or as a group, but if a group of residents asks a landlord to make a specific change (in writing) to the contract, it is hard for the landlord to resist the request.
If you have already signed the landlord’s standard form contract, you may be stuck with its terms. In that event, you need to make sure that the resident is educated on how the contract works and that he/she has recourse through the management company’s personnel and/or property management company itself. Adding clarity to questionable terms can be accomplished by sending an email to an owner’s representative or onsite manager. Take the lease requirement that "any money required by this lease shall be promptly paid…" If there is a question of when rent is due for purposes of assessing a late fee, simply ask the question in an email . Management has to put something in writing in response to that question. Be sure to maintain a record of your communications with management.
You should also be aware of the requirements imposed upon a landlord in the event rent is not paid in full. Depending on your state’s laws, you may have to be given up to twenty-four hours to pay the rest of the rent or get out of the reasonable dress and drive of your benefits, taking into account residency laws and the like. Some governmental entities have even more stringent requirements, and it important to know whether or not local law provides protections to you as well. For example, the Austin City Code Regulating Residential Rental Property requires a landlord give its resident up to five business days to pay any eviction-related fees owed before an eviction may be filed (or up to fifteen business days for nonpayment of rent). William V. Justice Court Group C Justice Court v. Jennings provides that a landlord (or their agent) may not recover attorney’s fees in an eviction suit unless he or she gives the resident (or former resident in that case) a meaningful opportunity to cure any lease violations and bellies reasonable attorneys’ fees incurred to enforce the lease.
Finally, you should be familiar with laws governing the management of security deposits in your state as well as your rights to inspect your apartment in the event a landlord seeks to enter your apartment.