In Chapter 11, we learned the essential elements of a contract. In Chapter 12, we learned the various methods through which an offer can be accepted. In Chapter 14, we learned about consideration. This exercise seeks to have you apply your new comprehensive knowledge while strengthening your writing skills. Using clear and unambiguous language, you will draft a contract no less than three pages using Times New Roman font no bigger than 12-pt and margins no wider than 1-inch on all sides, based on the following fact pattern:
Holly Homeowner owns a condominium apartment located at 148-36 89th Avenue, Unit 2A, Jamaica, Queens, NY 11435 which she would like to rent as an Airbnb destination. Unfortunately, she lives and works in Garden City, Long Island and will not be able to handle the day-to- day management of the vacation rental. Furthermore, she has no free time to spend advertising the unit or managing the online presence. The option of contactless check-in is not available, so someone has to meet guests to turn over entry card, however guests can leave cards in the apartment when they leave. The unit will need to be cleaned and restocked between stays and maintained when there is the need for repair. Any guest issues need to be addressed swiftly. The building has its own set of house rules which are updated as needed by the Condo Board and must be adhered to by all residents and visitors.
Hillary Host offers short-term rental stylist and management services for a fee. Hillary lives close by and boasts having the support of a professional team consisting of real estate agents, assistants, photographers, handymen and cleaning services.
You represent Hillary Host, draft a contract for the retention of her short-term rental management and staging services. Anticipate issues that may arise from this relationship in the future and address them in the contract. A few things you should consider along with other thoughts:
How long will this relationship last and how will it end?
How will parties communicate?
Who will assist when Holly is not available (i.e., sick or on vacation)?
Should some issues which can change over time be addressed by attaching a Rider or Schedule?
What legal or insurance issues should be addressed? (HINT: NY is looking to pass new laws related
to short-term rentals.)
How will Hillary Host be compensated?—flat fee? Commission? how often? by check/cash/Zelle?
Will Hillary seek blanket authority to retain the services of other professionals as needed? Or in emergency situations only? Will she need to seek approval before incurring each expense? How
will third-party/subcontractors be compensated?
