Puerto Rico Residential Lease Agreement

Puerto Rico Residential Lease Agreement

Contrato de Arrendamiento Residencial de Puerto Rico

FORM PL-PR-RL01 · REV. 08/2026

Terms and Conditions

This Puerto Rico Residential Lease Agreement (“Agreement”) is entered into as of the Agreement date stated in the Data Schedule, by and between the Landlord and Tenant(s) identified in the Data Schedule. The dwelling leased under this Agreement is located in the municipality and at the Premises address stated in the Data Schedule (“Premises”). Landlord leases the Premises to Tenant, and Tenant leases the Premises from Landlord, on the terms stated in this Agreement. This Agreement is governed by the Civil Code of Puerto Rico of 2020 (Ley Núm. 55-2020), including Articles 1331 through 1350 (31 L.P.R.A. §§ 10101–10173), and other applicable Commonwealth and federal law.

1. Term. This Agreement begins on the Commencement Date stated in the Data Schedule, under the term elected in the Data Schedule. If a fixed term is elected, this Agreement ends at 11:59 p.m. on the Termination Date stated in the Data Schedule unless extended in a signed writing or continued under Article 1335 of the Civil Code of 2020 and § 16 (Tenant’s Holdover). If a month-to-month tenancy is elected, this Agreement continues from month to month until either party gives the other at least thirty (30) days’ prior written notice of termination, unless a longer period is stated in this Agreement or required by law. If neither option is elected in the Data Schedule, the tenancy is deemed agreed for one (1) year from the Commencement Date under Article 1333 of the Civil Code of 2020, and thereafter continues under Article 1335 until terminated by notice as provided in this § 1. Under Article 1343 of the Civil Code of 2020 (as amended), a lease of immovable property for a term greater than six (6) years must be in writing.

2. Rent. Under this Agreement, Rent means all monetary obligations owed to Landlord by Tenant, except that the Security Deposit is not Rent. The parties expressly agree that Rent is payable in advance (por períodos adelantados) under Article 1341 of the Civil Code of 2020. Tenant shall pay the Monthly Rent stated in the Data Schedule, in advance, on or before the Rent due date stated in the Data Schedule, to the payee at the payment address and under the payment instructions stated in the Data Schedule. If the Commencement Date is not the first day of a calendar month, Rent for the first partial month will be prorated on a 30-day month unless another method is stated in the Data Schedule; prorated first-month Rent due at signing or move-in is stated in the Data Schedule.

Acceptable payment methods (check all that apply):

Personal check Money order Cashier's check

Electronic payment by: Other:

If any payment by Tenant is returned for insufficient funds or if Tenant stops payment, Tenant shall pay Landlord a returned-payment charge equal to $30.00 or 5% of the amount of the payment, whichever is greater, plus any fee Landlord’s bank charges Landlord because the payment was not honored, and Landlord may require in writing that future Rent payments be remitted by certified funds, money order, cashier’s check, or another lawful payment method specified by Landlord.

3. Security Deposit (Fianza / Depósito). Upon execution of this Agreement, Tenant shall deposit with Landlord, as a security deposit (fianza or depósito de seguridad), the Security Deposit stated in the Data Schedule. Puerto Rico does not impose a general statutory cap or fixed return deadline for ordinary private residential security deposits; the amount, purpose, and handling of the Security Deposit are governed by this Agreement and the Civil Code of 2020. Subject to this Agreement and applicable law, Landlord may apply the Security Deposit to unpaid Rent, late fees, utilities or other charges owed under this Agreement, damage beyond ordinary wear and tear, and other amounts Tenant actually owes. Within thirty (30) days after termination of the tenancy and Tenant’s surrender of the Premises and written forwarding address, Landlord shall return any remaining Security Deposit together with a written itemization of deductions, if any. No interest is required on the Security Deposit unless the parties agree otherwise in writing or a special housing program requires otherwise. This section does not apply to separately regulated public, subsidized, or voucher housing to the extent different program rules control.

4. Use of Premises. The Premises shall be used and occupied exclusively as a private residential dwelling by Tenant and the following approved occupants:

Approved occupant name(s):

Tenant shall not allow any person other than the named Tenant(s), approved occupants, transient guests, and any person permitted by applicable fair-housing or other law to occupy or use the Premises as a resident without Landlord’s prior written consent. No part of the Premises shall be used for unlawful activity, nuisance, lodging or short-term rental as a hotel or transient accommodation, or any purpose other than a private residence, except as Landlord authorizes in writing. Tenant shall comply with all applicable federal, Commonwealth, and municipal laws and rules affecting the Premises. Nothing in this section limits occupancy or use in a manner that violates the federal Fair Housing Act or other applicable anti-discrimination law.

5. Condition of Premises. Tenant acknowledges that Tenant has had an opportunity to inspect the Premises before signing. Except for conditions identified on a inspection list attached as the inspection exhibit (or a substituted list labeled the inspection exhibit), and except for latent defects and Landlord’s nonwaivable duties under Article 1345 of the Civil Code of 2020, Tenant accepts the Premises in their visible condition as of move-in. Landlord and Tenant should complete a written inspection list at or before delivery of possession. Nothing in this section waives Landlord’s duties under Article 1345, including the duties to deliver the Premises in a condition adequate for the agreed use and to make necessary repairs within a reasonable time after Tenant’s notice.

Landlord may attach a different or more comprehensive inspection list, which, when attached and labeled the inspection exhibit, constitutes the inspection list under this Agreement.

6. Assignment and Subletting. Tenant shall not assign this Agreement, sublet the Premises, or grant any license to use the Premises without Landlord’s prior written consent. This section is an express prohibition on assignment and subletting within the meaning of Article 1336 of the Civil Code of 2020, except to the extent Landlord grants written consent. If Landlord considers a requested assignment or sublease, Landlord may refuse consent when the proposed assignee or subtenant lacks substantially the same economic qualifications as Tenant or when the proposed activity or use would cause economic prejudice to Landlord, and may impose other reasonable conditions permitted by law. Any assignment, sublease, or license without Landlord’s prior written consent is a material default and is voidable by Landlord to the fullest extent permitted by law. Consent to one assignment or sublease is not consent to any later one.

7. Alterations and Improvements. Tenant shall make no alterations, installations, additions, or improvements to the Premises without Landlord’s prior written consent, except urgent necessary repairs that Article 1346 of the Civil Code of 2020 authorizes Tenant to make at Landlord’s expense after notice to Landlord. Unless otherwise agreed in writing, alterations and improvements made by Tenant become Landlord’s property and remain on the Premises at the end of the tenancy, except that under Article 1347 Tenant may remove useful or luxury improvements Tenant installed if removal does not damage the Premises and Tenant restores any damage caused by removal.

8. Non-Delivery of Possession. If Landlord cannot deliver possession of the Premises to Tenant on the Commencement Date through no fault of Landlord or Landlord’s agents, Rent will abate until possession is delivered. If possession cannot be delivered within thirty (30) days after the Commencement Date through no fault of Landlord or Landlord’s agents, either party may terminate this Agreement by written notice, and Landlord will refund any prepaid Rent and Security Deposit not otherwise lawfully due.

9. Hazardous Materials. Tenant shall not keep on the Premises any dangerous, flammable, explosive, hazardous, or extra-hazardous item that might unreasonably increase the danger of fire, explosion, or other casualty on the Premises, except ordinary household products used in customary amounts and in a safe manner.

10. Utilities. Tenant is responsible for arranging and paying for the following utilities and services:

Tenant utilities/services: Landlord utilities/services, if any:

Tenant must keep all required utility service active during the tenancy unless interruption is caused by the utility provider or by Landlord’s responsibility under this Agreement or applicable law. Under Article 1346 of the Civil Code of 2020, Tenant shall pay promptly the supplies, charges, and contributions proper to Tenant’s use of the Premises as allocated in this section.

11. Habitability; Landlord Repairs; Maintenance and Rules. Landlord shall deliver the Premises in a condition adequate for the agreed residential use and shall make necessary repairs within a reasonable time after Tenant gives notice of the need for repair, as required by Article 1345 of the Civil Code of 2020. Nothing in this Agreement waives Landlord’s duties under Article 1345. Tenant shall promptly notify Landlord in writing of any condition requiring repair, of any usurpation or disturbance affecting the Premises, and of any other matter Article 1346 requires Tenant to report.

Subject to the foregoing, Tenant will keep the Premises clean and sanitary and will be responsible for damage, stoppages, or repair costs caused by Tenant, Tenant’s occupants, guests, invitees, pets, or agents, ordinary wear and tear excepted. Tenant must: (a) not obstruct driveways, sidewalks, courts, entryways, stairs, halls, or other common access areas; (b) keep windows, glass, window coverings, doors, locks, and hardware clean and in good condition, except for repairs that are Landlord’s responsibility; (c) use plumbing fixtures only for their intended purposes and pay for damage or stoppages caused by misuse; (d) ensure that Tenant, occupants, guests, invitees, and pets do not unreasonably disturb other residents; (e) during tropical storms, hurricanes, and other severe weather, secure outdoor items and close windows and doors; and (f) if the Premises are subject to condominium or homeowners’ association rules, comply with current rules affecting the Premises or appurtenant common areas, a copy of which Landlord shall provide to Tenant.

12. Insurance; Natural Hazards. Puerto Rico is exposed to hurricanes, flooding, and other natural hazards. Tenant may obtain hazard information, including flood-hazard information, from FEMA (www.fema.gov) and other public sources. Landlord’s insurance does not cover loss of Tenant’s personal property.

Renter’s insurance (check one):

Tenant is required to maintain renter’s insurance with personal property and liability coverage in the minimum amount of $ and to provide proof of coverage upon Landlord’s request.

Tenant is advised, but not required, to maintain renter’s insurance and, where appropriate, flood insurance to protect Tenant’s personal property and liability exposure.

Landlord, Landlord’s agent or manager, and any condominium or homeowners’ association are not responsible for insuring Tenant’s personal property or vehicles against loss or damage except to the extent required by applicable law.

13. Damage to Premises. If the Premises are destroyed or rendered wholly uninhabitable by fire, storm, earthquake, flood, or other casualty not caused by Tenant, this Agreement terminates from that time except for rights that have already accrued, and Rent will be accounted through the date of destruction. If a portion of the Premises is rendered uninhabitable by casualty not caused by Tenant, Landlord may repair the damaged portion or either party may pursue resolution or rent reduction as permitted by Articles 1345 and 1349 of the Civil Code of 2020 and other applicable law. Rent will abate in proportion to the portion of the Premises that is uninhabitable until the Premises are restored or this Agreement is terminated. Nothing in this section limits Landlord’s duties under Article 1345 or Tenant’s remedies under Article 1349.

14. Inspection of Premises. Landlord and Landlord’s agents may enter the Premises for justified cause, including inspection, necessary repairs, improvements that cannot be deferred, supply of agreed services, showing the Premises near the end of the term, or enforcement of this Agreement. Except in an emergency, when Tenant has abandoned or surrendered the Premises, or when entry is otherwise permitted by law or court order, Landlord shall give Tenant at least seven (7) days’ prior notice before entry, as provided in Article 1346(h) of the Civil Code of 2020. No advance notice is required in an emergency. Within forty-five (45) days before the end of the term, Landlord may display usual “for rent” or “for sale” signs and show the Premises at reasonable times after notice as required by this section.

15. Subordination of Lease. This Agreement and Tenant’s interest under it are subordinate to mortgages, liens, encumbrances, advances, renewals, extensions, and modifications now or later placed on the Premises by Landlord, to the extent permitted by law.

16. Tenant’s Holdover. Under Article 1335 of the Civil Code of 2020, when the agreed term ends, this Agreement continues on the same terms until either party notifies the other of the intent to terminate the contract. Either party may end a continued tenancy by giving at least thirty (30) days’ prior written notice, unless a longer period is required by this Agreement or applicable law. If the parties state a holdover monthly rent in the Data Schedule and Tenant remains in possession with Landlord’s consent after the original Termination Date, the monthly rent during the continued tenancy will be that holdover amount; otherwise rent continues at the Monthly Rent stated in the Data Schedule.

17. Surrender of Premises. At the expiration or earlier termination of this Agreement, Tenant shall surrender the Premises in as good a condition as at commencement, ordinary wear and tear and casualty not caused by Tenant excepted, consistent with Article 1346(i) of the Civil Code of 2020.

18. Pets and Assistance Animals. Pets are permitted only as stated below. Assistance animals, service animals, and other animals that must be permitted as a reasonable accommodation under applicable fair-housing or disability law are not pets and are not subject to pet rent, pet fees, or pet deposits, although Tenant remains responsible for damage caused by such animals to the extent permitted by law.

PERMITTED PETS

MAXIMUM NUMBER

REFUNDABLE PET DEPOSIT, IF ANY ($)

NONREFUNDABLE PET FEE, IF ANY ($)

MONTHLY PET RENT, IF ANY ($)

Any refundable pet deposit is part of the Security Deposit for accounting and return under § 3. Any nonrefundable pet fee must be clearly identified as nonrefundable.

19. Quiet Enjoyment. Tenant, upon payment of all sums due and performance of Tenant’s obligations under this Agreement, may peacefully and quietly have, hold, and enjoy the Premises for the term of this Agreement, subject to this Agreement and applicable law.

20. Indemnification. To the fullest extent permitted by law, Tenant will indemnify and hold Landlord harmless from claims, damages, losses, costs, and reasonable attorney’s fees arising from the negligent, willful, or wrongful acts or omissions of Tenant, Tenant’s occupants, guests, invitees, pets, or agents, or from Tenant’s breach of this Agreement. This section does not release Landlord from liability for Landlord’s own negligence, willful misconduct, violation of law, or nonwaivable duties under the Civil Code of 2020, including Article 1345.

21. Default; Remedies; Desahucio. If Tenant fails to pay Rent when due and the default continues for two (2) consecutive rent periods, Landlord may resolve this Agreement under Article 1348(c) of the Civil Code of 2020 and may pursue all remedies available at law, including a desahucio action under 32 L.P.R.A. §§ 2821 et seq. Before filing a desahucio action for nonpayment, Landlord should make a written demand for the past-due Rent. Ordinary private residential nonpayment desahucio in Puerto Rico is generally a court-filing workflow and does not use a mainland-style statutory pay-or-quit notice period; special overlays (including federally subsidized or federally backed housing) may impose additional notice requirements.

For material nonmonetary default, Landlord may give written notice specifying the default and, if Tenant fails to cure within a reasonable time stated in the notice (not less than five (5) days after delivery unless a shorter period is justified by emergency or law), may pursue resolution and remedies permitted by Articles 1348 and 1350 of the Civil Code of 2020 and other applicable law.

Landlord shall not use self-help to recover possession. Changing locks, shutting off essential utilities, removing Tenant’s belongings, or otherwise forcing Tenant out without court process is prohibited. Possession may be recovered only through desahucio or other lawful process.

If Tenant vacates early without a ground permitted by this Agreement or law, Tenant remains liable for Rent and other amounts due, subject to Landlord’s duty to make reasonable efforts to mitigate damages by reletting the Premises, credit for net rent actually received from reletting, and any limitations imposed by applicable law. This Agreement does not accelerate the entire remaining term’s Rent as an automatic remedy upon default.

Tenant may resolve this Agreement for Landlord’s material breach as provided in Article 1349 of the Civil Code of 2020, including Landlord’s failure to keep the Premises fit for the agreed use after notice and a reasonable opportunity to repair.

22. Late Charge. If any payment required under this Agreement is not received within three (3) days after it is due, Tenant must pay the late fee stated in the Data Schedule, which the parties intend to compensate Landlord for administrative costs and other losses caused by late payment and not as a penalty.

23. Abandonment. If Tenant abandons the Premises, Landlord may recover possession only as permitted by law, secure the Premises, relet the Premises, and handle personal property left behind only as permitted by applicable law and any applicable court order. Landlord may treat personal property as abandoned only after Landlord has lawfully recovered possession and only to the extent permitted by applicable law.

24. Attorneys’ Fees. If any dispute between Landlord and Tenant results in litigation concerning a breach of this Agreement, the court may award reasonable attorney’s fees and costs to the prevailing party to the extent permitted by Puerto Rico law and applicable rules of procedure. Nothing in this section limits a court’s authority to allocate fees and costs as provided by law.

25. Recording of Agreement. Tenant shall not record this Agreement in the Property Registry or any public office without Landlord’s written consent, except to the extent recording is reasonably necessary to give the lease effect against third parties under Article 1342 of the Civil Code of 2020 and Landlord has been given prior written notice. Unauthorized recording is a material default.

26. Governing Law; Language; Forum. This Agreement shall be governed, construed, and interpreted under the laws of the Commonwealth of Puerto Rico. The operative text of this form is in English. Court proceedings in Puerto Rico are commonly conducted in Spanish. Any desahucio or other judicial proceeding relating to the Premises shall be brought in the competent Puerto Rico court for the place where the Premises are located, subject to applicable venue rules.

27. Severability. If any provision of this Agreement or its application is invalid or unenforceable, the remainder of this Agreement and the application of the provision to other persons or circumstances shall not be affected and shall be enforced to the maximum extent permitted by law.

28. Binding Effect; Death of Tenant. The covenants, obligations, and conditions in this Agreement bind and benefit the parties and their permitted heirs, legal representatives, and assigns. Under Article 1334 of the Civil Code of 2020, if the Premises are a dwelling and Tenant dies, family members who resided with Tenant during the six (6) months before death, or a person who resided with Tenant for the same period, may substitute for Tenant on the terms of this Agreement, unless otherwise agreed in a manner permitted by law. Death of Landlord or alienation of the Premises does not end this Agreement except as the parties agree in writing or as law provides.

29. Descriptive Headings. The descriptive headings in this Agreement are for convenience only and do not affect the rights or obligations of Landlord or Tenant.

30. Construction. Words in the singular include the plural, and words in the plural include the singular, as the context requires. “Including” means “including without limitation.”

31. Non-Waiver. No waiver by Landlord of any breach or default is effective unless in writing and signed by Landlord. Landlord’s delay, indulgence, or failure to enforce any provision is not a waiver of Landlord’s right to enforce that provision or any other provision later.

32. Modification; Exhibits and Addenda. This Agreement contains the entire agreement between the parties and may be modified only by a written amendment signed by all parties, observing the formalities required by Article 1344 of the Civil Code of 2020. All exhibits, addenda, and disclosure attachments referenced in this Agreement, including the inspection list (the inspection exhibit), any Lead-Based Paint Disclosure Addendum, and any checked attached addenda or disclosures, are incorporated into and made part of this Agreement.

33. General Notices. Except where a different method is required by law or expressly stated in this Agreement, notices may be given by certified mail, return receipt requested; personal delivery; any additional method checked below; or any other method permitted by Puerto Rico law. Notice addresses, and any email addresses for courtesy copies or agreed electronic notices, are stated in the Data Schedule.

Email notice election. If checked, the parties agree that any notice under this Agreement — other than a notice for which applicable law requires a specific delivery method — may be given by email to the email addresses stated in the Data Schedule. Email notice is effective when sent unless the sender receives an automated non-delivery response. Each party shall keep its email address in the Data Schedule current by written notice to the other party.

34. Landlord Authority; Owner and Manager Information. Landlord represents that Landlord has authority to lease the Premises. If the Premises are co-owned, Landlord should ensure all required co-owner consents are obtained under Article 1338 of the Civil Code of 2020.

OWNER / AUTHORIZED PERSON NAME

OWNER / AUTHORIZED PERSON ADDRESS

PERSON AUTHORIZED TO MANAGE THE PREMISES

MANAGER ADDRESS

If any name or address above changes, Landlord shall notify Tenant in writing within thirty (30) days.

35. Disclosures and Attached Addenda. (a) Lead-Based Paint. Check one:

The Premises were built in 1978 or later. No federal lead-based paint disclosure addendum is required based on construction date.

The Premises were built before 1978 or construction date is unknown. Before Tenant is obligated under this Agreement, Landlord must complete and attach the federal Lead-Based Paint Disclosure Addendum, provide the EPA-approved pamphlet, disclose known lead-based paint and lead-based paint hazards, and provide available records and reports as required by federal law.

(b) Attached addenda and disclosures. The following are part of this Agreement if checked or if required by applicable law:

inspection list (the inspection exhibit) Lead-Based Paint Disclosure Addendum and EPA/HUD pamphlet, if required

Military / SCRA termination rights acknowledgment Condominium / homeowners’ association rules

Pet Addendum Renter’s Insurance Addendum

Local government or property-specific disclosure:

Other:

Additional provisions:

36. Military Service Member Termination. Tenant may terminate this Agreement as permitted by the federal Servicemembers Civil Relief Act, 50 U.S.C. § 3955, and any other applicable military-service law, by giving Landlord the required written notice and documentation. Landlord will comply with the termination date, rent proration, and other requirements imposed by applicable law. No lease clause may waive rights protected by the SCRA.

37. Early Termination Option (Optional). Optional early-termination election under Article 1350 of the Civil Code of 2020:

If checked, either party may terminate a fixed-term tenancy early by giving at least thirty (30) days’ prior written notice and paying an early-termination amount of $ (or months’ Rent), in addition to Rent through the effective termination date and any amounts then owing. This option does not limit termination rights that exist under §§ 21 or 36 or applicable law.

38. Smoke and Carbon Monoxide Alarms. Landlord shall provide smoke alarm(s), and carbon monoxide alarm(s) if required for the Premises, in working order at commencement. Tenant shall test them periodically, replace batteries as needed, not disable them, and promptly notify Landlord in writing of any malfunction.

39. Local and Property-Specific Requirements. Landlord must attach any municipal, condominium, homeowners’ association, licensing, registration, utility, flood, mold, pest, or other property-specific disclosure or addendum required for the Premises. If no such disclosure is required, Landlord should check:

☐ No additional local or property-specific disclosure is required based on Landlord’s review.

The parties have executed this Agreement and agree to be bound by its terms as of the date first written above.

LANDLORD SIGNATURE

DATE

PRINTED NAME

LANDLORD/AGENT SIGNATURE

DATE

PRINTED NAME

TENANT SIGNATURE

DATE

PRINTED NAME

TENANT SIGNATURE

DATE

PRINTED NAME

TENANT SIGNATURE

DATE

PRINTED NAME

TENANT SIGNATURE

DATE

PRINTED NAME