A rental agreement is a legally binding contract that outlines the terms and conditions of a rental arrangement between a landlord and a tenant. It is important for both parties to fully understand and agree to the terms of the agreement in order to avoid misunderstandings or disputes.
However, it is not uncommon for rental agreements to contain ambiguous terms, which can lead to confusion and misunderstandings. In the state of Missouri, if a rental agreement contains ambiguous terms, those terms will generally be interpreted in favor of the tenant.
An ambiguous term is a term that is unclear or open to more than one interpretation. Ambiguity in a rental agreement can arise from a variety of sources, including unclear language, conflicting provisions, or a lack of detail.
If a rental agreement contains ambiguous terms, it is important for both parties to seek clarification and resolution before signing the agreement. If the ambiguity is not resolved before the agreement is signed, it may be necessary to seek legal assistance to interpret the ambiguous terms.
In Missouri, there are several ways that courts may interpret ambiguous terms in a rental agreement. One common method is to consider the context in which the ambiguous term was used and the overall purpose of the agreement. This can help to determine the parties' intent when the agreement was entered into.
Another method is to consider the "reasonable expectations" of the parties. This means that the courts will consider what a reasonable person in the position of the landlord or tenant would have expected the ambiguous term to mean at the time the agreement was signed.
If the ambiguity cannot be resolved through the above methods, the courts may also consider extrinsic evidence, such as the parties' negotiations or communications leading up to the signing of the agreement. This can help to shed light on the parties' intentions and understanding of the ambiguous term.
It is important to note that the presence of ambiguous terms in a rental agreement does not necessarily invalidate the entire agreement. If a rental agreement contains both ambiguous and clear terms, the clear terms may still be enforceable.
A common example of this is when landlords recycle contracts without checking to make sure that they update each paragraph. In one paragraph the monthly rent of $900 is written out in typographic font, yet on the first page the handwritten rental amount is $1,000. If this is disputed and the tenant claims the intent of the agreement was to pay $900 in rent, then it is likely going to go in the tenant’s favor (the non-drafting party).
Types of Ambiguity
Ambiguity refers to uncertainty or lack of clarity in the terms of a contract. There are two types of ambiguity: latent ambiguity and patent ambiguity.
Latent ambiguity, also known as hidden ambiguity, is an ambiguity that is not immediately apparent upon reading the contract. It may only become apparent when the contract is being applied or when an issue arises that requires interpretation of the ambiguous term. Latent ambiguity is typically resolved by considering the context in which the ambiguous term was used and the overall purpose of the contract.
Patent ambiguity, also known as obvious ambiguity, is an ambiguity that is immediately apparent upon reading the contract. It is a clear and obvious inconsistency or contradiction in the terms of the contract. Patent ambiguity is typically resolved by considering the parties' intentions and the reasonable expectations of the parties at the time the contract was signed.
Apex Law firm has drafted, enforced, and successfully argued rental contract terms and knows the ins and outs of the rental industry (not to mention our lead attorney was a landlord of many units for a decade). Contact us for a free case evaluation and check if the terms of the contract you assented to are legal/enforceable.