What does the term 'lease' encompass?

The term 'lease' encompasses any rental agreement, regardless of duration. A lease is a contractual arrangement in which one party, the lessor, grants another party, the lessee, the right to use an asset for a specified period in exchange for payment. This definition includes both short-term leases, such as month-to-month rental agreements, and long-term leases, such as those lasting several years.

Understanding that a lease can apply to various contexts—ranging from residential rentals to commercial spaces and even equipment rentals—highlights the flexibility of the term in legal and real estate discussions. The inclusion of all types of rental agreements means that the term 'lease' is not limited by timeframes, allowing it to adapt to various needs and circumstances in the rental market.