The term refers to the period of time starting with the Commencement Date and ending with the Expiration date. It does not include any “Early Possession” period.
Other terms included may be:
- Extension – moving the termination date of the current lease, typically for another full term
- Renewal – starting a new lease upon the expiration of the current lease
- Lease-to-own – methods by which a Lessee can purchase the leased property
The purpose of this section is to clearly state the period of time the lease is in effect. If the term is too vague (i.e. “one year”), the lease can be deemed unenforceable and merely a “tenancy at will” meaning the lease is only valid from month to month, and can be terminated at any time by either the tenant or landlord.