Month-to-Month or Verbal Lease: How Long and How to End

Short answer: A verbal lease is valid in the Philippines, and if no period was agreed, the law sets one from the way rent is paid: monthly rent means a month-to-month lease (Civil Code, Article 1687). Either side can end it at the end of a month by clear notice, but the landlord still needs a court case to remove a tenant who stays.

This guide is for landlords and tenants with no written lease, or a written lease that never set an end date. It explains how long the arrangement lasts, how either side can end it properly, where the Rent Control Act changes the answer, and what to do if the other side will not cooperate.

The rule at a glance

Question	Practical answer	Legal basis
Is a verbal lease valid?	Yes. A lease binds in whatever form it was made, if consent, object and price are present.	Civil Code Art. 1356
How long does it last?	It follows the rent cycle: month to month for monthly rent, year to year for annual rent.	Art. 1687
How does it end?	At the end of a rent period, once either party clearly says it will not continue.	Arts. 1673(1), 1687; Cruz v. Christensen
Can a court make it longer?	Yes, but only at its discretion, and only after over one year of occupancy on monthly rent.	Art. 1687; LL and Company v. Huang Chao Chun
Rent-controlled unit?	Ending the lease only because the month ran out may not be enough; the landlord may need a Section 9 ground.	RA 9653 Secs. 9, 12
Tenant refuses to leave?	The landlord files unlawful detainer within one year. No lock-outs or utility cut-offs.	Rule 70 Sec. 1; Art. 1147

Each row is explained below, with the steps for both sides at the end.

Is a verbal lease legally binding?

Yes. Article 1356 of the Civil Code says contracts “shall be obligatory, in whatever form they may have been entered into,” as long as the essential requisites are present. For a lease, that means the parties agreed on the place, the use, and the rent (Art. 1643 defines a lease of things as giving the use of a thing “for a price certain, and for a period which may be definite or indefinite”).

There is one important limit. Under the Statute of Frauds, “an agreement for the leasing for a longer period than one year” cannot be enforced in court unless it, or a note or memorandum of it, is in writing and signed by the party being sued (Art. 1403(2)(e)). So a verbal promise of a two-year or five-year lease is hard to enforce if the other side denies it. Two things soften this rule: the defect is cured if the other party does not object to oral evidence in court, or accepts benefits under the agreement (Art. 1405). A tenant who has been living in the unit and a landlord who has been collecting rent have usually both accepted benefits. For more on this rule, see which Philippine contracts need a writing.

In practice, most verbal leases are monthly arrangements with no end date. Those are not affected by the one-year rule, because the law itself fixes their period at one month at a time.

How long does a lease with no fixed period last?

Article 1687 answers this directly: “If the period for the lease has not been fixed, it is understood to be from year to year, if the rent agreed upon is annual; from month to month, if it is monthly; from week to week, if the rent is weekly; and from day to day, if the rent is to be paid daily.”

How rent is paid	Period the law implies	Court may fix a longer term after
Annual rent	Year to year	Not stated in Art. 1687
Monthly rent	Month to month	Over one year of occupancy
Weekly rent	Week to week	Over six months of possession
Daily rent	Day to day	Over one month of stay

A month-to-month lease is therefore treated as a lease with a period of one month that renews each month as long as both sides keep going. When one side clearly stops the renewal, the lease ends at the close of the current month.

The court’s power to fix a longer term is not automatic. In LL and Company Development and Agro-Industrial Corp. v. Huang Chao Chun (G.R. No. 142378, March 7, 2002), the Supreme Court said the power “is discretionary,” to be granted “where equities demanding extension come into play” and denied “where none appear,” and that it applies only where no period was fixed by the parties. A long-staying monthly tenant may ask the court for it, usually as a defense in an ejectment case, but should not count on it.

The same monthly period also applies when a tenant stays on after a fixed-term lease ends. If the tenant keeps using the unit for 15 days with the landlord’s acquiescence and no notice to the contrary, an implied new lease arises “not for the period of the original contract, but for the time established in articles 1682 and 1687,” with the other old terms revived (Art. 1670). For most homes and stores paid monthly, that means month to month. See what a landlord can do when a lease has expired.

How does a landlord end a month-to-month lease?

Article 1673(1) allows the landlord to judicially eject the tenant when “the period … fixed for the duration of leases under articles 1682 and 1687, has expired.” For a monthly lease, the period expires at the end of the month in which the landlord makes clear that the lease will not continue.

The Supreme Court applied this to a verbal month-to-month lease in Cruz v. Spouses Christensen (G.R. No. 205539, October 4, 2017). The tenant had occupied the property since 1969 on a verbal monthly lease. The Court held that when the owner refused to receive rent in 2002, she had already refused to renew the month-to-month lease, so it “had already long expired” before her demand letters. The Court also noted earlier rulings where a month-to-month lease was deemed to have expired upon receipt of a notice to vacate at the end of the month.

Cruz also held that the prior “demand to pay or comply with the conditions of the lease and to vacate” under Rule 70, Section 2 is unnecessary when the ejectment case is based on the expiration of the lease rather than on unpaid rent or a broken condition. Even so, the safest course is to give a clear written notice anyway. It fixes the date the lease ended, starts the one-year filing window, and avoids a fight about whether the case is really about unpaid rent, which does require the Section 2 demand (15 days for land, 5 days for buildings). For what that letter should say, see demand letter to pay and vacate.

What the landlord cannot do is take the unit back by force. Padlocking, removing doors, cutting water or power, or throwing out belongings exposes the landlord to liability. Possession must be recovered through the court. See whether a tenant can be evicted without a court order.

Does the Rent Control Act change the answer?

It can, for residential units covered by the Rent Control Act of 2009 (RA 9653). Section 12 says that “except when the lease is for a definite period,” Article 1673(1) is suspended for covered residential units while the Act is in effect. In other words, for a covered unit leased with no definite period, the landlord may not be able to rely on the month simply running out.

For covered units, Section 9 lists the grounds for judicial ejectment:

subleasing or assigning the unit, or taking in boarders or bedspacers, without the landlord’s written consent;
rent arrears totaling three months;
the owner’s legitimate need to use the unit for the owner or an immediate family member, but only after a lease for a definite period has expired, with formal notice three months in advance, and with no renting to a third party for at least one year after repossession;
necessary repairs required by a condemnation order, with the tenant given first preference to return; and
expiration of the period of the lease contract.

Whether a monthly verbal lease counts as a lease “for a definite period” for these purposes is a fact-specific point that the parties should not assume either way. A landlord of a covered unit is on firmer ground relying on one of the specific Section 9 grounds. Section 10 also bars ejecting a tenant of a covered unit just because the property was sold or mortgaged.

Coverage depends on the monthly rent, the location and whether rent regulation has been extended for the current year, which is set by the housing authorities under Section 6. Check current coverage before relying on any of this: see who is covered by the Rent Control Act, and confirm with the Department of Human Settlements and Urban Development (DHSUD).

How does a tenant end a month-to-month lease?

The tenant ends it the same way: by telling the landlord, clearly and before the next rent period starts, that the tenant will not continue and will leave at the end of the month. The Civil Code does not set a fixed number of days of notice for a monthly lease, so check whether you agreed on one (in messages, receipts or house rules). If nothing was agreed, giving notice at least a full rent period ahead is the practical way to avoid a dispute over the last month’s rent.

On leaving, the tenant must return the unit “as he received it,” except for ordinary wear and tear and loss from time or inevitable causes (Art. 1665). If there was no inventory or move-in record, the law presumes the tenant received it in good condition unless proven otherwise (Art. 1666), so photos at move-out matter. The deposit, less only proper deductions, should come back: see security deposit rules.

There is one case where the tenant can leave at once. If a dwelling is in such a condition that its use brings “imminent and serious danger to life or health,” the tenant may terminate the lease immediately by notifying the landlord, even if the tenant knew of the condition or waived the right (Art. 1660).

What if the landlord refuses to accept rent?

A tenant who wants to stay should not simply stop paying. In LL and Company, the Court said that “the failure of the owners/lessors to collect or their refusal to accept the rentals is not a valid defense.” The tenant’s protection is consignation: if the landlord refuses a proper tender without just cause, depositing the amount due releases the tenant (Art. 1256). For covered units, RA 9653 Section 9(b) adds that the tenant may deposit the rent in court, with the city or municipal treasurer, with the barangay chairman, or in a bank in the landlord’s name with notice, within one month after the refusal, and then deposit monthly within ten days of each month.

Remember the other side of Cruz: a landlord’s refusal to accept rent can itself be the act that ends a month-to-month lease. Consignation keeps the tenant from falling into arrears, but it does not guarantee the tenant can stay if the lease has validly ended.

How do you prove a verbal lease?

Most disputes over verbal leases are really disputes over facts: when the tenancy started, how much the rent is, and when notice was given. Useful evidence includes:

rent receipts, bank deposits and e-wallet or GCash transfer records showing amount and date;
text messages, chats or emails about rent, repairs, increases or moving out;
receipts for advance rent and deposit;
utility bills in the tenant’s name at that address;
barangay records of any earlier complaint or settlement;
neighbors or caretakers who saw the arrangement; and
dated photos or video of the unit at move-in and move-out.

Keep originals and save digital records in a form that shows the date and sender. Do not edit screenshots.

Your options and what to do next

Option	Who uses it	Where to go	Timing
Written notice not to renew	Landlord or tenant	Directly to the other party, with proof of receipt	Before the next rent period begins
Written agreement	Both, if they want to continue	Signed lease, ideally notarized if over one year	Any time; avoids Art. 1403 problems
Barangay conciliation	Either party, if both live in the same city or municipality	Lupon of the barangay where the property is located (real property disputes, Local Government Code Sec. 409(c))	Before filing in court, unless an exception applies
Consignation of rent	Tenant whose rent is refused	Court, or for covered units also treasurer, barangay chairman or bank	Within one month of refusal for covered units
Unlawful detainer case	Landlord	Municipal or Metropolitan Trial Court where the property is	Within one year of the unlawful withholding

If you are the landlord:

Check first whether the unit may be covered by rent control. If it may be, identify which Section 9 ground you rely on.
Send a written notice that the lease will not be renewed and that the tenant must vacate at the end of a stated month. Deliver it personally with a signed receipt, or by registered mail or courier, and keep proof.
If rent is also unpaid, include a demand to pay and to vacate that gives the Rule 70 period (5 days for a building, 15 days for land).
If the tenant stays, bring the matter to the barangay where conciliation applies and get a certificate to file action. See barangay conciliation and the certificate to file action.
File unlawful detainer within one year (Rule 70 Sec. 1; Civil Code Art. 1147). The step-by-step process is in how to legally evict a tenant.

If you are the tenant:

If you are leaving, give written notice before the next rent period, pay through your last month, document the unit’s condition and ask in writing for your deposit.
If you want to stay, keep paying on time. If the landlord refuses payment, tender it in writing and consign it rather than stopping payment.
If you received a notice to vacate, check whether your unit may be covered by rent control and whether the landlord cited a valid ground.
If you have stayed over a year on monthly rent and have strong reasons to stay longer, raise Article 1687 as a defense in any ejectment case. Courts are not bound to grant it.
Never ignore a court summons. Ejectment cases move fast, and a missed deadline can lose the case.

Bring to any barangay, PAO or lawyer meeting: proof of rent payments, all messages about the arrangement, the notice to vacate and proof of delivery, deposit and advance receipts, a valid ID, and a short timeline of dates. If you cannot afford a lawyer, the Public Attorney’s Office may assist if you qualify.

First action today: write down the date the tenancy began, the rent and how it is paid, and every payment made in the last 12 months. That one page decides which rules apply.

Key takeaways

Verbal leases are valid; a verbal lease promised for more than one year is hard to enforce unless it is in writing or has been acted on.
With no fixed period, monthly rent means a month-to-month lease (Art. 1687).
Either side can end it at the end of a month with clear notice; written notice is the safest proof.
Courts may, but need not, fix a longer term for a monthly tenant who has stayed over a year.
Rent-controlled units follow RA 9653 Section 9 grounds, and Article 1673(1) is suspended for leases without a definite period.
A tenant who stays after the lease ends can only be removed through an unlawful detainer case filed within one year.

Frequently asked questions

Is a 30-day notice required to end a month-to-month lease?

The Civil Code does not set a fixed notice period for a monthly lease. It ends at the end of a rent month once a party clearly refuses to continue. Check whether you agreed on a notice period, and give written notice before the next rent period to avoid disputes.

Can my landlord evict me because there is no written contract?

No. A verbal lease is a valid lease. The lack of a written contract changes how long the lease runs, not whether you have one. The landlord must still end it properly and, if you stay, file an ejectment case in court.

I have rented for years on a verbal deal. Does that give me a long-term lease?

Not automatically. The lease remains month to month. After over one year of occupancy on monthly rent, a court may fix a longer term under Article 1687, but this is discretionary and depends on the equities of your case.

How long does a landlord have to file an ejectment case?

An unlawful detainer case must be filed within one year after the unlawful withholding of possession (Rule 70 Sec. 1; Civil Code Art. 1147). After that, the landlord must use a slower ordinary action to recover possession.

Sources

Civil Code of the Philippines (RA 386), Arts. 1147, 1256, 1356, 1403, 1405, 1643, 1660, 1665, 1666, 1670, 1673, 1687 — LawPhil
Rent Control Act of 2009 (RA 9653), Secs. 5, 6, 9, 10, 12 — LawPhil
Local Government Code (RA 7160), Secs. 408–409 (Katarungang Pambarangay) — LawPhil
Rules of Court, Rule 70, Secs. 1–2 — LawPhil
Cruz v. Spouses Christensen, G.R. No. 205539, October 4, 2017 — LawPhil
LL and Company Development and Agro-Industrial Corp. v. Huang Chao Chun, G.R. No. 142378, March 7, 2002 — LawPhil
Department of Human Settlements and Urban Development (rent control coverage)

Sources rechecked as of: October 26, 2026

This article is general legal information, not legal advice. For advice on your situation, consult a lawyer or the Public Attorney’s Office.

Month-to-Month and Verbal Leases in the Philippines: How They End