Phil Querin Q&A: Non Renewal of Lease

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Phil Querin

Question:  We have a resident that we would like to not renew on a long-term lease.  Their renewal is coming up in several months.  Do we have to provide the notice of lease expiration and the new documents (rules and regulations)?  Can we simply not renew?

 

Answer. ORS 90.545(Fixed Term Tenancies) provides that upon reaching the end of the term, the lease becomes a month-to-month tenancy on the same conditions as the lease. The only exception to this is for the landlord to submit a proposed new rental agreement to the tenant at least 60 days prior to the ending date of the term. Any provisions that are new, i.e. not in the prior lease, are to be summarized in a written statement; the same applies if the landlord is submitted new community rules.

 

Note that the new lease terms or new rules must “(f)airly implement a statute or ordinance adopted after the creation of the existing agreement; or Are the same as those offered to new or prospective tenants in the community. 

 

Further, the new lease terms or rules cannot relate to the “…age, size, style, construction material or year of construction of the manufactured dwelling” *** and cannot “…require an alteration of the manufactured dwelling *** or new construction of an accessory building or structure.

 

The tenant must accept or reject the proposed new lease at least 30 days prior to the ending of the term by giving written notice to the landlord.

 

Under the recently enacted SB 608, there is a “3-stikes” rule that applies as follows. At the end of the lease it does notautomatically become a month-to-month tenancyif:

  • Landlord gives the tenant notice in writing not less than 90 days prior to the ending dateor
  • 90 days prior to the date designated in the notice for the termination of the tenancy, whichever is later,and: 
    • The tenant has committed three or more (3+) violations of the lease within the preceding 12-month period and
    • The landlord has given the tenant a written warning notice at the time of each violation:
      • Specifying theviolation;
      • Stating that landlord may choose to terminate the tenancy at the end of the fixed term if there are three violations within a 12-month period preceding the end of the fixed term;and
      • Stating that correcting the third or subsequent violationis nota defense to termination under this subsection; and
  • The 90-day notice of termination due to violations muststate:
    • That the rental agreement will terminate upon the specified ending date for the fixed term or upon a designated datenot less than 90 days after delivery of the notice, whichever is later;
  • Thereasonfortheterminationandsupportingfacts;and
  • Is delivered to the tenant concurrent with  or  after the  third or subsequent written warningnotice.

So, the bottom line is that under ORS 90.545, a landlord may not non-renew a tenant at the end of a lease term. You may only offer a new lease as discussed above, or follow the “3-strikes” protocol under SB 608.

Of course, you may always terminate the lease at any time for cause, pursuant to: ORS 86.782(6)(c) (foreclosure trustee sale),90.380(5) (dwelling posted asunsafe by gov’t),90.392 (termination for cause),90.394 (termination forfailure to pay rent),90.396 (termination on 24-hour notice),90.398(termination drugs, alcohol),90.405 (termination, unpermitted pet),90.440(termination in group recovery facility)or90.445 (termination for criminalact) 

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