If you`re renting a property in Alberta, Canada, chances are you`ll be required to sign a lease agreement to clarify the terms of your tenancy. However, did you know that a verbal lease agreement may also be legally binding in Alberta?
A verbal lease agreement is simply an agreement made orally between a landlord and a tenant, without any written documentation. While it`s always best to have written documentation of your lease agreement, Alberta`s Residential Tenancies Act recognizes verbal lease agreements as valid contracts.
The Act states that a lease agreement can be in writing or “implied from the conduct of the parties.” This means that if you and your landlord reach an agreement on the terms of your tenancy, even if it`s not in writing, you`re still bound by the terms discussed.
However, the key to a successful verbal lease agreement is clarity. Both the landlord and tenant should be clear on the terms of the agreement, including the rent amount, payment due date, length of the tenancy, and any conditions or rules. It`s also a good idea to discuss how disputes will be resolved and what happens if either party needs to end the tenancy early.
If you`re considering a verbal lease agreement, it`s important to keep in mind that written documentation is always preferable. A written lease agreement provides both parties with a clear understanding of the terms and conditions and can serve as a reference in case of any disputes.
Additionally, it`s important to note that if a dispute arises and there`s no written lease agreement in place, it may be challenging to prove the terms of the verbal agreement. This is why it`s always best to get everything in writing, to avoid any confusion or misunderstandings down the line.
In conclusion, while a verbal lease agreement is legally binding in Alberta, it`s always best to have a written lease agreement in place. This ensures that both the landlord and tenant are clear on the terms of the tenancy and can avoid any misunderstandings or disputes. If you`re unsure about the terms of your lease agreement, it`s always a good idea to consult with a legal professional for guidance.