What Is A Schedule Of Dilapidations

When an landlord and a tenant sign an lease agreement there is typically a requirement that the leased property is maintained to a standard level and that the tenant cannot damage the property without possible financial repercussions associated with the property. Because of this, a tenant may be required, depending on the terms of the agreement, to respond to a schedule of dilapidations that is provided by the landlord to the tenant. Understanding what this schedule of dilapidations is and how it will be completed is important for tenants and landlords alike.

What is an Schedule of Dilapidations?

A schedule of dilapidations is a form that is provided to a tenant by a landlord that indicates the damage to the property that is being leased by the tenant and the required renovations needed in order to make the landlord whole. Typically this provides individually identifying the damage on the property as well as the level of improvements needed. Some landlords will handle these dilapidations by defining the cost of each form of damage and indicating the amount of money needed for reimbursement of these dilapidations. Others will keep the requirements vague in the schedule.

What should a tenant do when they receive a schedule of dilapidations?

When a tenant receives a schedule of dilapidations they should immediately review the list in conjunction with their lease agreement and determine which items appear to be reasonable and accurate and which require a significant amount of negotiation around. Some landlords are reasonable while others are less so and a tenant may require legal representation to address. From there, a tenant should respond to the schedule of dilapidations by performing the repair, providing evidence that the request is not reasonable, or formally responding to the schedule of dilapidations.