When does a Guest become a Tenant?

When does a Guest become a Tenant?

The question of whether a guest may be a tenant can be difficult and may have long-reaching ramifications for a homeowner. Most people asking this question did not intend to become a landlord, yet may be facing a situation where they are unable to remove a family member or friend who has outstayed their welcome. This article addresses the main considerations as to whether a person is a guest or a tenant, and what a homeowner (and perhaps now a landlord) can do about it.

How does someone become a tenant in the first place?

The starting point in considering whether a guest may be legally considered a tenant is to determine what defines a “tenant.” Minnesota law defines a residential tenant as “a person who is occupying a dwelling in a residential building under a lease or contract, whether oral or written, that requires the payment of money or exchange of services, all other regular occupants of that dwelling unit, or a resident of a manufactured home park.”

This is a somewhat lengthy definition, but can be broken down into several key points. First, a residential tenant is a person occupying a residential building and using it as a dwelling. This excludes persons using property solely for non-residential reasons. Additionally, the person is occupying the building under an oral or written contract that requires some form of consideration (or payment). This does not have to be payment of money, but could even be payment of services. Often, where a familial relationship exists, we see a tenancy created where a parent agrees to allow their adult child stay with them in exchange for some services - such as mowing the grass, shoveling the driveway, or paying for utilities. This sort of exchange could create a landlord-tenant relationship.

Who would not be considered a tenant?

The definition of a tenant provided above is very broad, which raises the question “who is not considered a tenant?” This question can be tricky to answer, as many cases are very fact-specific. What sort of agreement is there? How long is a person staying? Do they have a permanent residence elsewhere? Each of these questions may play into a court’s consideration of whether a person is a tenant.

However, in most cases where the stay is temporary and there is no agreement concerning payment, a tenancy has not yet been created. Additionally, Minnesota courts have also analyzed whether a person has a different permanent residence in order to determine whether their residence at a property is simply transient. In other words, a friend who is staying the night or a family member who is spending a week without providing any payment are likely guests. However, depending on each factual situation, there is a possibility that a guest becomes a tenant in a short matter of time.

How do I make sure that I do not create a landlord-tenant relationship?

The first and most straightforward answer to this question is: do not allow friends or family to reside at your home for lengthy periods of time unless you intend for a landlord-tenant relationship to be created. However, this is not always possible, so if you do allow family or friends to reside with you for a length of time, it is important to avoid accepting any form of payment or services from them that could prompt formation of a landlord-tenant relationship. Additionally, it is important to make clear to the resident that the stay is temporary and that you do not intend to form any ongoing landlord-tenant relationship.

How do I get rid of a guest who has overstayed their welcome?

Unfortunately, in many cases it may already be too late to avoid creating a landlord-tenant relationship. In this case, terminating the relationship may take considerable time and resources, depending on the lease that is in place. Oftentimes verbal leases created in these situations are unclear or are disputed by both the unwilling landlord and the tenant, which can lead to even more headache for a homeowner.

Homeowners do have several remedies when it comes to terminating a guest’s stay, however, the first of which would be to formally terminate the stay in writing. It is advisable to contact an experienced Minnesota landlord attorney about termination, as the amount of notice needed may vary depending on the situation. If improper notice is given to a tenant, the landlord/homeowner will need to start the entire process over again, which can create a large unnecessary delay. In addition to terminating the agreement, a homeowner may be able to evict the guest in court. While this is often not ideal, it provides the only legal recourse to forcibly removing the tenant. Minnesota landlords are prohibited from removing the tenant on their own, and can face significant penalties if they violated that law.

It is highly advisable to contact a Minnesota landlord attorney if faced with a situation involving a guest who has overstayed their welcome. While often a major headache for a homeowner, a potentially problematic situation may be able to be avoided with the help of a knowledgeable landlord-tenant attorney. If you are involved in a situation such as those described in this article, call the landlord attorneys at RAM Law PLLC or fill out our online form to set up a free consultation.