Juridical Analysis of Oral Agreements in Residential LeaseContracts

Abstract

The purpose of this study is to analyze the validity and binding force of prohibitions conveyed by the homeowner, as well as the tenant’s right to remain in the rented house despite violating these prohibitions in an orally agreed rental contract. This research employs a normative legal method, focusing on the analysis and examination of legal literature through a normative case study approach. The findings indicate that the instructions or prohibitions delivered by the homeowner in the oral rental agreement have binding legal force because they were accepted by the tenant. Furthermore, the tenant legally forfeits the right to reside in the house due to the absence of good faith in fulfilling the agreed terms, which constitutes a legal consequence for the tenant in an oral rental agreement. Therefore, homeowners should include specific provisions—such as prohibitions or obligations—in a written contract to avoid multiple interpretations and to facilitate evidence in the event of future disputes. Likewise, tenants must understand and comply with all terms of the agreement, whether written or verbally communicated, as a manifestation of the principle of good faith in contractual relations.