Business Communication and Office Management- Unit 10

8/2/2019 Business Communication and Office Management- Unit 10

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LEAH KOOME

CLASS; CCM JAN-JUNE 2012 FH5

ADMISSION NO NRB/50906

SUBJECT; PRINCIPALS OF COMMUNICATION

UNIT 10

BUSINESS COMMUNICATION AND OFFICE

MANAGEMENT

FACILITIES ADMINISTRATION


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BUSINESS COMMUNICATION AND OFFICE MANAGEMENTFACILITIES ADMINISTRATIONDEFINATIONFacilities Administration (carried out by Administrative services managers who work as facility managers)

is theplanning, designing, and managing buildings, grounds, equipment, and supplies, to bring efficiency

into an organizations operations.

It is the planning and designing, putting in to consideration new construction and renovation, and

management of an organization facilities, maintenance, safety, security and telecommunications

requirements; planning, initiating and tracking progress of all facilities-related to an organization.

Facility managers have Tasks or duties that fall into several categories, relating to operations and

maintenance, real estate, project planning and management, communication, finance, facility function,

technology integration, and environmental factors.

Tasks within these broad categories may include space and workplace planning, budgeting, purchase and

sale of real estate, lease management, renovations, or architectural planning and design.

Facility managers may oversee renovation projects to improve efficiency or ensure that facilities meet

government regulations and environmental, health, and security standards. For example, they may

influence building renovation projects by recommending energy-saving alternatives or production

efficiencies that reduce waste. Additionally, facility managers continually monitor the facility to ensure

that it remains safe, secure, and well-maintained. Often, facility managers are responsible for directing

staff, including maintenance, grounds, and custodial workers.

Facil it ies and Administration Costs (Indirect Costs)Facilities and Administration Costs are those costs also referred to as overhead, overhead costs, or

administrative costs. They are actual costs incurred to conduct the normal business activities of an

organization and are not readily identified with or directly charged to a specific area sponsored research

award. Facilities and Administration Cost expenses include:

General Administration

Departmental Administration

Sponsored Research Awards Administration

Operation and Maintenance

Library

Building and Equipment Depreciation

Non-Capitalized Interest


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RENTING AND LEASING OFFICE SPACE Leasing; A written agreement under which a property owner allows a tenant to use the property

for a specified period of time and rent. It is important to understand the terms of the lease

before signing It is a legally binding agreement, and not usually subject to revisions after it is

executed.

It is important that you know exactly what you want or what you must have and what you don't want, in

a lease before you begin looking for office space or initiate the negotiating process,

The Length of the Lease; The maximum lease that f its your needs; One year leasesare few and far between, with the most typical being three (3) years. It is important that you

take your growth potential into consideration. It will not be smart to sign a 1,200 square foot,five (5) year lease when you anticipate tremendous growth and will need 2,500 square feet in

three years. It might not be a bad idea to put a clause in your lease that addresses this if much

growth is anticipated.

Range of cost. Analyze the costs of the lease versus purchase problem through discountedcash flow analysis. This analysis compares the cost of each alternative by considering: the timing

of the payments, tax benefits, the interest rate on a loan, the lease rate, and other financial

arrangements. During the negotiations, you will need to have the amount of rent that you can

afford every month. Find out current market rental costs for the area in which you want to

relocate, or even for renegotiating at your present location. This shld be and to be between four

(4) and five (5) percent of your total operating cost

The ideal t imeframe, The ideal location. maximum and minimum amount of square footage that f its your needs The floor requirements; Does the nature of your business make the ground floor a necessity?

Is a panoramic view from the conference room important to you? Do you want a build-out of the

office from the concrete, meaning totally new floor, carpet, walls, etc.?

Security system in existence at the office space? Do you require one? The heating and air conditioning individually maintained? If not, how will you be charged

for it?

Do you require subletting?Determine all costs of the lease.It is essential that you determine the other costs associated with the lease of the space. For instance,

what portion of the heating and air conditioning are you responsible for; and what is the average monthly


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cost. Get types and figures on associated costs, from the landlord to avoid unexpected expense surprises.

Consider The common area used by all tenants of the building which include

building lobby,

all corridors,

janitorial and electrical closets,

Elevator rooms and rest rooms. The owner determines what percentage of the building these

areas represent and adds that percentage to the amount, the tenant occupies. And agree on all

finer points

Being knowledgeable about the current market trends for your area, the particulars of the real

estate you are looking at and what you want is crucial to obtain a successful lease.

This will help prepare you and temper expectations greatly by making comparisons and knowing the

market trends and prices.

You should write down all the things you would like to see in the lease and any specific time frames. It is

important to have a clear cut idea of what you want which things are negotiable and which things are

not, what to compromise, give up flexibility and avoid desperation.

start your search early enough and be thorough. You should have a couple of properties which might

work for you, ranked in order of most desirable. Successful negotiations are easiest when you have

prepared yourself and really know what your needs are.

Here are some questions to ask before signing a lease:

Does the lease specifically state the square footage of the premises? The total rentable square

footage of the building?

Is the tenant's share of expenses based on total square footage of the building or the square

footage leased by the landlord? Your share may be lower if it's based on the total square footage.

Do the base year expenses reflect full occupancy or are they adjusted to full occupancy (i.e.,

base year real estate taxes on an unfinished building are lower than in subsequent years)?

Must the landlord provide a detailed list of expenses, prepared by a CPA, to support increases?

Does the lease clearly give the tenant the right to audit the landlord's books or records?

If use of the building is interrupted, does the lease define the remedies available to the tenant,such as rent abatement or lease cancellation?

If the landlord does not meet repair responsibilities, can the tenant make the repairs, after notice

to the landlord, and deduct the cost from the rent?

Is the landlord required to obtain no disturbance agreements from current and future lenders?

Does the lease clearly define how disputes will be decided?


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Legal Terminology in Leasing Office Space Escalation clause.

This clause spells out how much the rent will escalate with inflation. Ask for documentation on

what the percentage has been over the last five years.

Renewal option.Under this clause, you have the option of renewal under the original base rent.

Maintenance.The lease should spell out what repairs or maintenance items you will be responsible for under

the terms of the lease. For instance if the door lock jams, who is responsible to repair it? Is the

lesser, or management company, responsible for the cleaning service; and how often do they

clean? Even minor items, such as duplication of door keys should be addressed. If the building

has a mandatory security system, who is responsible for paying for it and maintaining contact

with the administrators?

Insurance.Often, the lesser will request proof of insurance coverage before the move-in. The lesser must

know that you are covered for any damage you may cause during the move-in, as well as have

adequate liability coverage for injuries. After you move in the same usually applies. The minimum

coverage the lesser expects should be detailed in the lease.

Move-in/delivery regulations.If you move into a multi-occupancy building, it is possible that the management company will

have rules regarding hours in which you may actually move-in and specific doors and elevatorswhich you must use to do so. In addition, there may be restrictions on times and types of

deliveries to your office once you have moved in.

Storage Space.If you require storage space, you should determine if the landlord has such space available and

the costs associated with its use. Or will you be allowed to build such an area in the space you

lease.

Sublease.The lease should clarify if a sublease is permissible, and the specific terms, if so.

Restrictions on Use.The lease should spell out any restrictions for use within the lease space. For instance thelandlord may restrict use of certain type of equipment within the space.

Improvements.There may be improvements which you agree to as part of the negotiations and these should be

reflected in the lease. The ownership of these improvements must also be addressed in the

lease. It should specify what happens to them when the lease terminates. On the other hand,

you may want to make changes within the space you have rented. The lease should address your


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rights, and the extent to which you can do so. This could be as simple as putting up a non-

bearing wall, or installing a security system. If you should decide your space would better serve

you with most of the walls removed, will you be able to do it? What will the restrictions be? Will

you be required to reinstate whatever you remove at the end of the lease? The reality of many of

these things depend on the length of the lease - the longer the lease the more you can ask for.

Renovations/Repairs.If there are items which you and the lessor agree should be done prior to, or even after, move

in, these items should be included in the lease.

Termination.The terms of your right to end the lease is crucial, as well as in which circumstances the landlord

can do the same.

Lease Contract Covenant and Tenure AgreementsA lease is a legal contract between your business and a landlord. Most businesses start in leased space.

Here are some steps to help you get a favorable lease agreement.

To lease space for your business:

Identify the prerequisites of the space you need to lease (location, square footage, parking, any

other critical factors.

Look for possible locations for your business.

Contact the leasing agent at the locations that seem possible, asking for rates, terms, and any

other needs you have identified.

Visit the possible spaces to inspect how well they meet your needs.

Once you have chosen your preferred space, begin negotiating the terms of the lease. Make certain the lease includes clarification of hours of use of the common areas by yourself and

your customers.

Ascertain what type of security and upkeep the facility provides.

Talk with other businesses leasing in this building to find out what their experience has been and

terms they wish had been included in their leases.

Consider negotiating for a one year lease with option to renew, rather than a two year or longer

lease. Then, if you grow faster than anticipated, you have the freedom to move or expand.

Ask for the right to expand within the building should you building grow. One way to do this is to

have the right of first refusal on any space that comes open in the building.

Find out what the rent includes: taxes, insurance, repairs, utilities?

Ask what security deposit is required.

Specify the improvements the landlord needs to make before you occupy the space.

Improvements can range from a simple coat of paint to major remodelling of the space.

If the landlord will not pay for remodeling, but you like the location, write into the lease a

clarification of what improvements you are allowed to make at your own expense.

Make certain the person signing the lease is authorized to commit to the terms of the lease.


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Tips:1. There are varying time lengths on lease agreements. However, a lease for more than one year

must be in writing to be legally enforceable.

2. A 'lessor' is the landlord; a 'lessee' is the tenant.

3. The landlord will most likely present you with a written lease. Consider it a starting point for

negotiation, not something you need to accept if you are taking the space.

Procurement of off ice ServicesBudgetHow much can you afford for space?

What is the maximum amount your are willing to spend?

What is the ideal amount to spend?

EmployeesNumber of employees by type of work they do?

Amount and type of work areas each employee needs?

Special needs for disabilities?

Features:The things you must have in your office space?

The things you absolutely don't want in your office space?

What your ideal space would be given you could afford it?

Layout:How many private offices?

How much open work area is needed?

How much storage?

How many restrooms?

Any other specialized space needed (e.g., reception area, lunch room, conference room)?

Ease of access for customers and suppliers?

Lease OptionsWhat are your contractual obligations?

What are their contractual obligations?

Is there space for expansion?

How long is the lease for?

What are the terms for extending the lease?

What are the terms for terminating the lease?


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Who handles maintenance and repairs?

What else is provided (e.g., air conditioning, elevator)?

LocationUrban/Suburban/Rural?

Easy to reach by your target market?

Location in relation to major roads?

Alternate transportation access (e.g., bus, subway)?

ParkingHow much parking is immediately available?

How much parking is needed for employees and customers?

Is there an extra cost for parking?

SecurityWhat type of security is available with the space?

Is there limited access to the building at certain hours?

What additional security is needed?

How safe is the neighborhood?

Timing:How soon is it available?

How long will it take to move and be set up for business?

Work AreasWhat types of work areas are needed?

How large do the work areas need to be?

How to Choose Equipment for Your Business; Make sure an equipment is absolutely essential for running your business. how much time is the

tool going to take to learn to use well as compared to time lost to finding other solutions to

replace that function.

Determine how much this equipment should cost.

Make a list of the equipment that might be useful to have.

Make a list of the equipment that it would be just plain fun to have.

Figure out what portion of your budget can go towards equipment. It should cover the barenecessities and let you have at least a few of the 'nice-to-have' items.

Identify the features on the equipment lists that you want for each piece of equipment.

List the manufacturers of each of the types of equipment, including the models and features they

make.

Identify all the different places you might purchase each piece of equipment. Don't forget to

include the possibility of purchasing directly from the manufacturer.


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Visit some vendors to see the different features demonstrated.

Start down your list of basics and price out every model from each possible vendor by phone.

Make your basic purchases.

Add up how much was spent on basics to see how much money is still available.

Prioritize your remaining to lists (would like to have, would be fun to have).

Decide how many of the items you can purchase and purchase them.

Save the list of unpurchased items for rewards when you reach certain financial goals in your

business.

Tips:

If you are purchasing a lot of equipment at a time, contact each potential purchase site to see if

you can get special pricing or terms.

Many vendors offer lease with an option to buy. If this is a new brand or type of equipment for

you, this may be a good way to try it out without too much of a financial commitment.

For very large equipment purchases that would be used infrequently, consider buying it in a

partnership with one or more other entrepreneurial ventures.

1. Consider a simple example is a fax machine. Not having a fax machine can mean lost

business opportunities, but the addition of machine means learning to use the machine,

maintaining it, keeping supplies on hand, and deciding whether it warrants an additional

phone line. There are now multipurpose machines on the market that can handle more than

one of these functions.

2. The disadvantage of multifunction machines is that if it is broken, you lose not only your fax

capabilities, but also your copy capabilities and perhaps even your printing capabilities.

Whereas if you had both a fax machine and a copy machine, you could always make copieson the fax machine should the copier be broken. Making backup plans for down time on all

your equipment is critical because it will happen no matter how well you take care of your

equipment.

3. set a budget and live within it. Decide on the minimum you can live with to start. List the

others you would like to keep as "bonuses" to buy as a celebration when you make a great

sale or close a critical deal. It is good in any business to have a reward system for yourself.

4. you will find that changes over time both because new items are introduced and/or new

features are added to equipment or because your business takes a different direction and

what seemed critical is no longer so. Limit your buying, but don't strap your business either.

Equipment Maintenance Having a regular maintenance schedule is critical for every piece of equipment used in your

business. This avoids wasting time on repairs, and money on new purchases every now and

then.


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Have file of all the papers that came with each piece of equipment for warranty service, including

copies of invoices. Set up a calendar of maintenance for all the equipment. For a small office, it

may be one day every six months that you give a thorough cleaning to each item. Include

vehicles in this list. This is time that needs to be programmed that is not for business production,

but for taking care of what you have.

For larger items, insurance may be critical - and these maintenance files will be good

documentation for obtaining the insurance. Appropriate surge protection for all electrical items

also fits under maintenance. Look for other hazards like cords running across an open space or

possible fire hazards.

Be aware of opportunities for theft. Are important pieces of equipment secured well? Take time

to step back and look at potential hazards. Put procedures in place in having a safe environment

safe with minimal downtime for broken equipment.

Purchasing Equipment The critical component at this stage is to think through the purchases carefully. Control the urges

to race out and buy whatever is the cheapest. Take your time. Make each purchase a gift to your

business.

Think through the long term consequences of each choice. While it may seem imperative to have

a certain piece of equipment immediately, taking your time will make for better decisions and

fewer choices that you regret later.

Get advice from other business owners. Invest in equipment you can trade-in or upgrade when

you are ready. Try to keep your options open by leasing before buying so you can see if the

equipment is right for you before you make the leap.

Enjoy making the decision and enjoy using the new equipment in your business. If you have

followed all the steps above, you deserve it!

Equipment LeasingLeasing operating equipment, such as computers, vehicles, and machinery, often makes more sense than

buying. However, while favorable leases are often good bets, unfavorable ones can easily sink an

emerging venture.

Benefits of Leasing Equipment1. Leasing is Flexible.

Companies have different needs, different cash flow patterns, and sometimes irregular streams of

income. For instance, startup companies typically are characterized by little cash and limited debt

lines. Mature companies might have other needs - to keep debt lines free, to comply with debt

covenants, and to avoid committing to equipment that may quickly become obsolete. Therefore,

your business conditions - cash flow, specific equipment needs, and tax situation may help define


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the terms of your lease. Moreover, a lease provides the use of equipment for specific periods of time

at fixed rental payments. Therefore, leasing allows you to be more flexible in the management of

your equipment.

2. Leasing can be Cost-Effective.

Equipment is costly and some of the costs are unexpected. When you lease, your risk of getting

caught with obsolete equipment is lower because you can upgrade or add equipment to best meet

your needs. Further, your equipment needs can change over time due to changes to your company,

such as diversification. Leasing allows you to stay on the cutting edge of technology.

3. Leasing Has Tax Advantages.

Rather than deal with depreciation schedules and Alternative Minimum Tax problems, you, the

lessee, simply make the lease payment and deduct it as a business expense.

4. Leasing Helps Conserve Your Operating Capital.

Leasing keeps your lines of credit open. You don't tie up your cash in equity. Also, you avoid costly

down payments. With other advantages such as off-balance sheet financing, leasing helps you

better manage your balance sheet.

Although leasing does provide benefits to business owners, there are hidden costs to deal with, and

business owners need to be aware of such costs.

Hidden Costs of Leasing1. Non-Cancellable Agreement

when entering into a lease contract, the business owner agrees to make all the lease payments tothe end of the term. While there is no penalty for early payoff, the full payments are normally

required to pay off the lease early.

2. Document Fees

These fees are administrative costs due upon signing the lease depending upon the complexity of

the lease contract and size of the transaction.

3. Licence Fee

these are fees required by the local gov where the equipment is being leased. The fee is usually is a

one-time percentage that is due upon signing the lease documents.4. Taxes

In most states, there is a tax on goods purchased. The tax is factored into the lease payments.

5. Insurance

A section in the lease documentation will require that the equipment be covered by insurance. Here


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the leasing company is protecting their interests. They want to make sure they will be fully

compensated for the equipment in the event of fire, theft, flood, etc. Most business owners will

already have adequate insurance on their building to cover such equipment (if it is contained and

used inside). However other companies using more portable equipment (such as lift trucks, golf

carts, hydraulic lifts, bulldozers, etc.) may need to take out additional insurance to assure adequate

coverage.

The bottom line is that when you are deciding to lease equipment, be certain you are aware of all costs

involved with the transaction. Then balance them against the benefits to choose the appropriate choice

for you and your business.

Office Insurance and disaster preparedness Review your insurance coverage. What does your insurance policy cover? What does it exclude?

Review your deductible. You will have to pay at least this much if you have a covered loss.

Be sure you understand the difference between replacement cost and actual cash value.

If you have replacement cost coverage and the cost to repair the property is greater than thecost to replace it, the insurer will pay the replacement cost once you have actually replaced theitem with like kind and quality. However, the dollar amount is limited by the maximum amountlisted on the declarations page of your policy.

If you have actual cash value coverage and the cost to repair the property is greater than itsactual cash value, the insurer will reimburse you the dollar amount to replace the property minusthe amount of accumulated depreciation. For example, if your five-year-old lawn mower wasdestroyed, and the average lawn mower lasts 10 years, the company will only reimburse you forhalf (10 years minus five years) the cost of the item, minus your deductible.

File your claim as soon as possible. Call your insurance company or agent with your policynumber and other relevant information. Your policy may require that you notify the insurer withina certain time frame.

Cooperate fully with the insurance company. Ask what documents, forms, and data you will needto file a claim. Keep a diary of all conversations with insurers, creditors, or relief agencies.

Give your insurer all the information requested. Incorrect or incomplete information will onlycause a delay in processing your claim.

If your home is damaged to the point that you cant live there, ask your insurer about additionalliving expenses.

Take photos or video of the damage.

Make the repairs necessary to prevent further damage to your property, such as covering brokenwindows, leaking roofs, and damaged walls. Dont make permanent repairs until your insurerinspects the property and you reach an agreement on the cost of repairs. Be prepared to providethe claims adjuster with records of any improvements you made prior to the damage.
http://www.insurance.wa.gov/consumers/home/disaster-preparedness.shtml#top


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Keep any damaged personal property for the adjuster to inspect.

Ask the adjuster for an itemized explanation of the claim settlement offer.

Save all receipts, including those from the temporary repairs covered by your insurance policy.

Make sure you properly contain and dispose of any hazardous materials, such as chemicals,

paints, antifreeze, bug and weed killers.

Be wary of contractors who demand an upfront payment before work is initiated or payment infull before work is completed. If the contractor needs payment to buy supplies, go with thecontractor and pay the supplier directly.

If there is a disagreement about a claim, ask the insurer for the specific language in the policy inquestion to determine why you and the insurer interpret your policy differently.

If the first offer made by an insurance company does not meet your expectations, be prepared tonegotiate to get a fair settlement.

Review and Update Your InsuranceTo begin a review, start with your inventory. Creating an inventory and storing it in a safe location or ina safe is one of the most basic - and effective - disaster preparedness steps you can take to help protectyourself and your financial future. This can save you time and headaches when filing a claim following adisaster.

It is important to review your inventory each year. Remember to note the make, model, serial number,purchase price and date of purchase of any new items and keep copies of receipts for major purchaseswith your inventory. Have all purchases appraised. And, don't forget to take photos and/or video of thenew items. Once you have a complete inventory, talk with your insurance agent or company to makesure you're not under- or over-insured.

Also, make sure you know whether your policy includes coverage for replacement cost or actual cash

value in case of a loss.Actual cash value (ACV) is the amount it would take to repair damage to yourhome or to replace its contents after allowing for depreciation. Replacement cost is the amount it wouldtake to rebuild or replace your home and its contents with similar quality materials orgoods, without deducting for depreciation.

Store copies of your insurance policies with your inventory in a safe location away from the office or insafe so that these records can be easily retrieved in the event of a loss. Before you store the insurancepolicies, review them to verify that they meet your needs. Make sure you know your policy limits,deductibles, exclusions and policyholder claims notification requirements, before disaster strikes.

Keep a list of contact details for your insurance agent and/or company with your policies. Include office

phone numbers, mailing addresses, Web site addresses and all of your policy numbers for quick

reference.

Ensure all types of losses have got specific covers, eg fire, flooding,

Disaster Preparation Insurance Checklist:1. Have you updated your home inventory to include photos, appraisals and receipts of any new

purchases and stored copies of it in safe, remote locations?


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2. Have you stored copies of your insurance policy with contact details for your insurance agent andcompany with your inventory?

3. Do you know whether your policy includes replacement cost or actual cash value (ACV) for

losses?4. Have you decided if you need a separate flood insurance policy?5. Have you talked with your agent to make sure you don't have too much or too little homeowners

or renter's insurance?

Disaster Strikes: Before and After an EmergencyMitigationThere are steps you can take to mitigate - or lessen - your exposure to some types of disasters. In ahurricane-prone area, this might mean installing storm shutters, covering windows or checking the sidingand roof of your home prior to the storm. In a wildfire area, this might mean clearing brush from the

perimeter of your home. In areas where tornadoes frequently occur, this might mean removing damagedor diseased tree limbs hanging over your home.

Assessing the DamageWhen assessing your home following a disaster, remember to photograph and/or video tape any

damage. You should also make repairs necessary to prevent further damage to your property (e.g., coverbroken windows, leaking roofs, etc.), but do not make permanent repairs until you have received writtenapproval from your insurance company or their designated representative. Keep receipts for anynecessary inspections or repairs you make, because they might be reimbursable under your policy. Untilthe claim is settled to your satisfaction, keep any damaged personal property for the adjuster to inspect.

Fil ing a ClaimFile your claim as soon as possible. Call your insurance company or agent with your policy number and

other relevant information. Keep a detailed list of conversations and correspondence with your insurancecompany and/or agent. Include the name of the person you spoke with, their contact information, thedate and time of the conversation and notes of what was said. Be sure to cooperate fully with the

insurance company and provide all information requested. Providing incorrect or incomplete informationmight cause an unnecessary delay in processing your claim.

Claims SettlementsIf there is a disagreement about the claim settlement, ask the company for the specific language in the

policy that is in question. Find out if the disagreement is because you and the insurance companyinterpret your policy differently. If this disagreement results in a claim denial, make sure you obtain awritten letter from the company explaining the reason for the denial and the specific policy language inyour policy under which the claim is being denied.

If offers made by an insurance company do not meet your expectations, be prepared to negotiate with

the company to get a settlement that meets your expectations.

Landlord Tenant relationship


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A landlord-tenant relationship exists when the landlord (lessor) provides the claimant (lessee) with a

lease for a self-contained unit within the property owners residence. This usually means a separate

kitchen, bath, and bedroom.

The homeowner must maintain a lease agreement, have separate utility bills, have other evidence of a

self-contained unit

UNDERSTANDING THE LANDLORD-TENANT RELATIONSHIP

The essence of the Landlord-Tenant relationship is that of a contract. That contract may be written in theform of a lease or implied under State law. Each party has obligations to the other that must be fulfilled.

The Landlord must provide a housing unit that is safe, secure, and up to building code and must also

respect the privacy and quiet enjoyment of the unit by the tenant.

The Tenant must pay the rent on time and maintain the premises in a sanitary and safe condition. They

cannot create a public nuisance or engage in disruptive or illegal behaviors. If there are specific clauses inthe written lease, the tenant must abide by them unless those clauses are in conflict with local, State, orFederal law.

Disputes between Landlords and Tenants must be resolved by prescribed legal means, not throughunilateral actions. Any changes in the relationship between Landlord and Tenant must be in writing andcomply with the law.

The purpose of the Fair Housing of Sonoma County (FHOSC) web site is to provide an overview of the

laws, practices and procedures pertaining to the Landlord-Tenant relationship in Sonoma County, and toprovide assistance and referrals to help housing providers and housing consumers to understand theirrights and responsibilities under the law.

Basics of the Landlord Tenant Relationship

Get it in Writing

When you make an agreement with your landlord, roommate, or any individual, a general rule is toalways get it in writing. This may seem like advice that is only going to make your life more difficult, but

oral agreements are often confused or forgotten entirely and have little weight in court because neitherperson can prove exactly what was said.

When signing a lease, you may want to add things or your landlord may make oral promises aboutrepairs, utilities, etc. which you will want to get in writing. Write any additional agreements on both your

copy and the landlord's copy.If there is not room on the lease form, write the additional agreement ontwo pieces of paper, date them, and both of you should sign each copy.

It should be an easy agreement that can be understood, without explanation, by an average person. Ifyour landlord refuses to sign provisions added to your lease, you have good reason to doubt that he orshe will honor the agreement later. Landlords are business persons and understand that signing anagreement will make it binding. If they intend to honor the agreement, they should not hesitate to sign

it.


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Once you move in, if you develop problems requiring the need for changes or repairs, make your requestto your landlord in writing. A polite note, dated and signed requesting the repairs needed is all that isrequired. Keep track of the dates of letters sent and the repairs requested so you can refer to them later

if needed. It is a good idea to make a copy for yourself of every letter you send. If there is any delay ingetting work done, do not accept oral promises, but ask that the landlord provide you with a letterstating what work will be done and when. The letter should be signed by the landlord and dated. If your

landlord does not want to send a letter, write a note from your landlord to yourself stating, for example:"I will repair (repair) in the apartment located at (address) as requested by (tenant) on (date)." Ask thelandlord to sign and date this note. If he or she will not sign it, then you have reason to doubt that he or

she will honor the promise. See the section of this handbook, "If Repairs Are Not Done."

This same procedure is often necessary between two unrelated tenants living together (roommates,lovers, etc.). If rent, food, utilities or any other payments are not to be equal, tenants should write outtheir agreements on these matters and date and sign them.

It is especially important that you get and keep your own copies of the lease and all correspondencebetween you and your landlord. Also, if you pay cash for rent, a deposit or anything else, get a receiptand keep it. Without one, you cannot prove that you actually made the payment.

Many people have problems when they pay a deposit for a housing unit, but do not sign a lease anddecide to rent elsewhere. As long as the landlord is still willing to rent to you, he or she may not be

obligated to return your deposit to you. If you are not sure that you want a particular housing unit, donot make any payment unless you are willing to give up that money if you change your mind. If you givea landlord any money, get a receipt. If you have an agreement that the money will be returned if youdecide not to rent, be sure it is in writing. An agreement to return a deposit to you can be written on thereceipt and initialed and dated by both you and the landlord. For example: "(Landlord) agrees to returnto (tenant) the amount of ($) given as deposit on (address) if (tenant) decides not to rent." Signed and

dated.

An Oral Lease Is a LeaseIf you pay rent, but have not signed a written lease, then you and your landlord have an OralLease agreement. This is a binding contract. Generally, these agreements are from month-to-month,

although they may be from week-to-week or for any period of time as long as it is less than a year. Therental period begins on the day your rent is due and renews itself automatically. This oral lease will rununtil it is properly terminated.

There is one advantage with an oral lease agreement -- you are not bound for more than one rentalperiod. However, the disadvantages of not having a written agreement should cause you to be uneasy

about having an oral lease. Your rent may be increased to any amount at any time with very littlewarning. Also, you can be evicted at any time with very little warning - Problems may arise between youand your landlord over "rules and regulations" that you know nothing about.

Ending an oral lease can also cause problems. If you want to move, you must give your landlord a fullrental period's notice in writing. If you pay rent weekly, you must give your landlord seven days' written

notice of your intent to move. If you pay rent monthly, then you must give 30 days' written notice. Thedate that you give notice must be the first or last day of the rental period. This means if you pay rent onthe 1st of every month, your lease can only be terminated on the 1st or 31st of any given month.

If your landlord wishes you to move, he or she must give you written notice.


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Rent increases on an oral lease are much the same as notice to move. Your landlord should not raise therent without first giving you a full rental period's notice of the increase in writing. If you want to moveinstead of paying the increase in rent, you still must give your landlord proper notice. If you have a

written lease, your rent cannot be increased until the end of the lease. This is another reason to avoidoral leases.

Moving InOnce you know where you are going to be living, there are a few things you should do immediately to

make your apartment your home.

1. Get your landlord's name, address and telephone number. Also, get the name, telephone numberand address of the manager of the property if it is different from the landlord. Make sure you getthe name and telephone number of a person to contact in case of emergencies if it is differentfrom the landlord or manager.

2. If you have not already done so, ask your landlord which utilities you are responsible to pay for.This could include electricity/gas, water, garbage collection and/or telephone. Usually if you mustpay for them, then you are responsible for having them turned on. Make arrangements before

you move in to have these turned on and have the meters read. By planning ahead, service canbe scheduled the day you move in.3. Put the names of everyone living in the apartment on the mailbox as soon as possible. The post

office may not deliver mail to you until this is done, even if the mail is properly addressed.Women should, as a safety measure, list only their first initial and last name. Men should do thesame out of consideration for women.

4. Before you unpack anything, it is a good idea to check for roaches, ants or signs of rodents. Ifyour landlord is responsible for spraying for bugs and rodents, make sure your apartment hasbeen sprayed recently. If not, ask the landlord to do it. If he or she agrees to do it, get the

agreement in writing. If your landlord refuses to spray, find out if he or she is responsible to doit. See the "Housing Code Checklist" section of this handbook.

5. Make a list of the conditions in your apartment. There is a form for listing the conditions in thishandbook entitled Moving In/Moving Out Checklist. Consider taking pictures and date them. This

might be necessary if you are concerned about the landlord keeping your security deposit oraccusing you of causing damage to the apartment. Find out if your landlord has insurance to

cover loss or damage to your personal belongings due to theft, fire, vandalism, smoke, naturaldisaster, etc. If not, (which is generally the case) you may want to check into the possibility ofrenter's insurance. Usually, these policies cover loss or damage to all of your personal belongingsfor a reasonable sum. Renter's insurance does not include insurance for the apartment itself.

Various policies cover different things, so ask an insurance agent about the different types ofcoverage. Check around because rates do vary.

6. Check the security of the apartment. This is explained in the "Security and Safety" section of thishandbook.

7. You may want to have your apartment inspected by the Code Enforcement Department beforeyou move in. See the Housing Code Checklist section of this handbook.

Know Your LandlordWhen you are renting an apartment, both you and your landlord have certain responsibilities. Therefore,it is important to know the name, address and phone number of your landlord. If the person you aredealing with is a manager, make sure you know her/his name, address and phone number and find outwho owns the property. Make sure you know where to pay your rent and where to contact your landlordfor repairs or problems. If you do not have the basic information about your landlord, how will you

contact him for emergency repairs?


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If you wish to find information about your landlord, here are some suggestions:

o Phone books and directory assistance have phone numbers and/or addresses.

o If your landlord has ever sued anyone, his name and address will be recorded in the plaintiff's

index at the Small Claims Clerk's Office.

o County Recorder's Office holds information about deeds and mortgages.

o Tax assessor's office holds the records which give the value of properties. It also records theamount of taxes and who pays the tax.

Making sure you can reach your landlord can make your life much easier. If problems do arise, knowingwhere to reach your landlord may be essential.

Landlord and Tenant Responsibilities

[ Moving In | The Initial Inspection | Paying Rent |Landlord and Tenant Responsibilities| HouseholdPests ]

At the beginning of a landlord-tenant relationship, both parties should understand their basic rights and

responsibilities and they should communicate their expectations to each other. Once the landlord screens,finds and accepts a tenant's application, the relationship starts. When a tenant signs the lease and/orpays the rent, the legal contract to move in activates. If either party breaks the rental agreement at thispoint, compensation may be in order for the wronged party.

Sometimes situations arise that require the attention of both landlord and tenant. They need to rely oneach other to ensure emergencies, repairs and even complaints, are handled in a timely manner. A goodrelationship where both parties respect the rights of the other facilitates problem solving. Difficultlandlord-tenant relationships can require mediation or costly legal intervention to settle conflicts.

In all provinces, landlords are legally obliged to ensure that the rental unit complies with the rules and

regulations pertaining to minimum health, safety, housing and maintenance standards. Before a landlordrents a property, it must meet municipal property standards, zoning bylaws, fire safety regulations and

local building codes. The premises might have met the acceptable standards upon rental and it is thelandlord's responsibility to ensure that the place does not deteriorate below these standards.

Landlords must... Tenants must...

Maintain the tenant's home in a good state ofrepair and fit for habitation and at thelandlord's expense comply with health, safety,

housing and maintenance standards.

Not withhold, during a tenant's occupancy, thereasonable supply of fuel, electricity, hot and

cold water and other utility services (cable,Internet) unless the tenant has agreed to

obtain and pay for these services.

Not interfere with the reasonable enjoyment ofthe tenant and the members of his or herhousehold and guests.

Pay the rent on time.

Behave well, clean the rental premiss, repair

damage caused by an willful or negligent act ofthe tenant or a person whom the tenantpermits on the premises.

Not harass, obstruct, coerce, threaten orinterfere with the landlord.

Contact the landlord as soon as possible whena serious problem arises involving repairs orservices.

Permit entry (with proper notice) for repairs or
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Not seize, without legal process, a tenant'sproperty for rent default or for the breach of

any other obligation of the tenant.

Not harass, obstruct, coerce, threaten orinterfere with the tenant.

showing of premises for next tenant orpurchaser.

Documents

Business Communication and Office Management- Unit 10