Unjust Vexation

Unjust Vexation–Can a lessor padlock leased premises, cut utilities, or sell lessees' belongings in cases of non-payment of rent?

I've seen lease contracts that give power to the lessor to do these–and it's only rational. If a tenant could no longer pay rent, the logical thing to do would be to kick the tenant out and collect the deficiency in rent payments.

Legally, this is called "unjust vexation" (UV) or simplified as the act of taking the law into your own hands.

IF ACTIONS ARE NOT STATED IN THE LEASE CONTRACT

In Maderazo v. People of the Phils, Maderazo (the lessor) was found guilty of UV by the Supreme Court (SC) for padlocking a commercial stall rented by a tenant and for taking the goods that belonged to the tenant. The SC ruled that the lessor (then the town's mayor) should have coursed the eviction through the proper judicial channels.

***SIDE NOTE FOR BROKERS***

In the same case, the persons whom Maderazo ordered to padlock the stall WERE ALSO FOUND GUILTY OF UV. The SC said, "[People who padlocked the stall] cannot escape criminal liability by merely saying that they were following the orders of [the Lessor]

So, if you were a broker of the lessor and the lessor ordered you to cut off utilities/padlock the leased premises, I would think twice before following those orders.

***

IF ACTIONS ARE STATED IN THE LEASE CONTRACT

Some lessors write clauses allowing them to cut off electricity, padlock the premises, etc. Can they do this?

In the case, Irao v. By the Bay Inc., the Supreme Court ruled that the act no longer becomes illegal for as those acts are stipulated in the contract. Even the auctioning off of the tenant's equipment is permitted for as long as it's stipulated in the contract.

However, if the tenant merely wants to cause trouble, he could still sue the owner for unjust vexation. Anyway, the best way to avoid this situation is to choose your tenant carefully.

Here are clauses you could use if you wish to include those acts in your lease contract:

"Upon default by the LESSEE, and if the default remains uncured beyond the curing period provided, the LESSOR or authorized representative is hereby appointed as the LESSEE’s attorney-in-fact with full power to exercise, cumulatively, or separately, at its discretion, any of the following remedies without the need of court action:

a. Discontinue the supply of public utilities and services to the LP;

b. Open, enter, occupy, padlock, secure, enclose, and otherwise take full and complete physical possession and control of the Leased Premises (LP);

c. Assume ownership and take full control and possession of all alterations, improvements, or installations placed in or on the LP that cannot be removed without defacing or injuring any portion of the LP or cause the removal of the same at the expense of the LESSEE.

d. Take an inventory of the furniture, fixtures, equipment, fittings, goods, merchandise, chattels, samples, personal effects, contents, or articles located in the LP, which may be removed therefrom without defacing or injuring any portion of the LP, place any of the same in storage and charge the LESSEE the corresponding storage fees.

e. Have a preferred lien upon all the furniture, fixtures, equipment, fittings, personal effects, contents, or articles that are found or located in the LP to secure the payment of all lawful claims and damages the LESSOR may have against the LESSEE."