Oregon Commercial Lease Agreement

An Oregon commercial lease agreement is a contract to lease retail, office, or industrial space to a tenant. The contract sets the responsibilities and rights for both landlords and tenants, as well as details about rent, deadlines, penalties, and other information. The Oregon law that governs commercial leases is Oregon Revised Statutes Volume 3, Chapter 91. These types of leases are longer and more complicated than a residential lease, so consulting with a lawyer is advisable.

Oregon Commercial Landlord-Tenant Law

• 10-Day Termination for Unpaid Rent: If a commercial tenant does not pay the rent within 10 days that it is due (or other longer limit stated in the lease agreement), then this automatically terminates the lease. There is no need to give any notice to pay rent or quit. The landlord can immediately start the eviction process after waiting only 10 days. [1]
• No Notice Required for Fixed-Term Lease: If a lease has a fixed term, then it automatically ends on its termination date and no notice is required. [2]
• Ejectment: If a person who is not a tenant refuses to vacate a commercial property, then they are removed by ejectment, not eviction. [3]

Writing Oregon Commercial Lease Agreements

An Oregon commercial lease agreement should generally contain the following:

• Landlord’s name and contact information
• Tenant’s name and contact information
• Description of the lease property
• Authorized use of the lease property
• Type of lease (gross, modified-gross, or triple-net)
• Term of the lease and the start date
• Option to renew the lease (if any)
• Rent and landlord’s profit participation in operations (if any)
• Penalty for late/non-payment of rent (including eviction process)
• Designation of the responsible parties for certain expenses and utilities
• Security deposit and refund policy
• Permissible leasehold improvements allowed by the landlord
• Landlord and tenant contact information and form for legal service
• Place for the signatures of all parties
• Miscellaneous terms specific to the lease

Sources

The failure of a tenant to pay the rent reserved by the terms of the lease for the period of 10 days, unless a different period is stipulated in the lease, after it becomes due and payable, operates to terminate the tenancy…

A tenant entering into the possession of real estate may, by the terms of the lease, fix the date of expiration of the tenancy, and when so fixed, no notice is required to render the holding of the tenant wrongful and by force after the expiration of the term as fixed by the lease.

Any person who has a legal estate in real property and a present right to the possession of the property, may recover possession of the property, with damages for withholding possession, by an action at law…

Frequently Asked Questions

Does a commercial lease need to be notarized in Oregon? Does a commercial lease need to be notarized in Oregon? No, a commercial lease does not need to be notarized in Oregon in order to be a legally valid document; however, any party to the lease may request to have the commercial lease notarized if they so desire. Read more »