Notice to Pay or Quit (10-Day Demand for Past-Due Rent) - North Carolina

NOTICE TO PAY OR QUIT — 10-DAY DEMAND FOR PAST-DUE RENT — NORTH CAROLINA

TABLE OF CONTENTS

1. Caption and Parties
2. Statement of Tenancy
3. Statutory Demand for Past-Due Rent
4. Itemization of Sums Due
5. Permitted Methods of Cure
6. Consequences of Non-Cure
7. Reservation of Rights and Non-Waiver
8. Servicemembers and Subsidized Housing Notice
9. Self-Help Eviction Prohibited
10. Signature and Service
11. Proof of Service
12. North Carolina Practice Notes
13. Sources and References

1. CAPTION AND PARTIES

Premises: [STREET ADDRESS, UNIT, CITY, COUNTY, NC ZIP] (the "Premises").

Date of Notice: [__/__/____]

2. STATEMENT OF TENANCY

2.1. Landlord and Tenant are parties to a [written / oral] rental agreement dated [__/__/____] (the "Lease") for the Premises.

2.2. The Lease establishes a [monthly / weekly / fixed-term] tenancy with rent of $[________] due on the [___] day of each [month / week], payable to [PAYEE] at [ADDRESS / METHOD].

2.3. [Forfeiture Clause Election — choose ONE of the following two paragraphs and delete the other.]

2.3-A. [USE IF LEASE HAS EXPRESS FORFEITURE/REENTRY CLAUSE FOR NONPAYMENT] Section [___] of the Lease provides that nonpayment of rent works a forfeiture of the term and authorizes Landlord to reenter and recover possession through judicial process. Landlord intends to enforce that clause if Tenant fails to cure.

2.3-B. [USE IF LEASE IS SILENT OR ORAL] The Lease does not expressly provide for forfeiture upon nonpayment. Pursuant to N.C. Gen. Stat. § 42-3, a forfeiture of the term is implied upon Tenant's failure to pay all past-due rent within ten (10) days after demand by Landlord.

3. STATUTORY DEMAND FOR PAST-DUE RENT

3.1. DEMAND IS HEREBY MADE pursuant to N.C. Gen. Stat. § 42-3 for payment of all past-due rent itemized in Section 4 below. If the implied forfeiture occurs after nonpayment, the ordinary summary-ejectment ground is § 42-26(a)(2).

3.2. YOU HAVE TEN (10) DAYS from the date of service of this Notice to either:

(a) Pay in full the sums itemized in Section 4 by a method accepted under Section 5; or

(b) Vacate and surrender the Premises to Landlord, returning all keys and removing all personal property.

3.3. The 10-day period is computed in accordance with N.C. R. Civ. P. 6(a): the day of service is excluded, the last day is included, and if the last day falls on a Saturday, Sunday, or legal holiday, the period extends to the next business day.

3.4. Partial payment will not, by itself, cure the default unless Landlord expressly accepts it as a full cure in writing. Landlord reserves the right to accept partial payment with a written non-waiver and to proceed with summary ejectment.

4. ITEMIZATION OF SUMS DUE

5. PERMITTED METHODS OF CURE

5.1. Tender of cure must be made by one of the following methods, at Landlord's option as designated below:

5.2. Personal checks [are / are not] accepted. [If accepted: only if drawn on a North Carolina financial institution and clearing within ___ days.]

5.3. Cash [is / is not] accepted. [If accepted: only at the address in Section 5.1 during the hours stated.]

5.4. Tender by means not designated above will not constitute cure unless Landlord accepts it in writing.

6. CONSEQUENCES OF NON-CURE

6.1. If Tenant fails to cure or vacate within the 10-day period, Landlord intends to file a Complaint in Summary Ejectment (AOC-CVM-201) in the Small Claims Court of [COUNTY] County, North Carolina, seeking:

(a) Possession of the Premises pursuant to N.C. Gen. Stat. § 42-26(a)(2);

(b) A money judgment for unpaid rent, accrued late fees within the § 42-46 cap, and the eviction-related fees specifically authorized by § 42-46(e)–(g);

(c) Court costs and sheriff service fees per § 7A-305 and § 6-21;

(d) Reasonable attorney's fees if and to the extent authorized by the Lease and not otherwise barred by N.C. Gen. Stat. § 6-21.2.

6.2. The magistrate hearing will be scheduled within seven (7) days of issuance of the summons (subject to the magistrate's calendar). Tenant has the right to appear, file an Answer (AOC-CVM-202), and assert any defenses, including warranty of habitability (§ 42-42), retaliation (§ 42-37.1), discrimination, defective notice, improper service, and security-deposit setoff.

6.3. Tenant has a statutory right to redeem the tenancy by paying all past-due rent and the costs of the action at any time before judgment is entered, pursuant to N.C. Gen. Stat. § 42-3 (last sentence: "all further proceedings in such action shall cease").

6.4. After a judgment for possession, Tenant has ten (10) days to appeal de novo to the District Court under N.C. Gen. Stat. § 7A-228, conditioned on payment of court costs and (for stay of the writ of possession) compliance with the bond requirements of § 42-34.

6.5. A writ of possession will issue no earlier than ten (10) days after entry of judgment and will be executed by the [COUNTY] County Sheriff. Tenant will have additional time before the Sheriff's padlock per § 42-36.2, with notice posted at the Premises.

7. RESERVATION OF RIGHTS AND NON-WAIVER

7.1. Acceptance of partial rent does not waive this Notice. Landlord expressly reserves the right to apply any partial payment to past-due rent and to continue with summary ejectment unless and until the full demanded sum is paid.

7.2. Landlord does not waive any other breach of the Lease, including unauthorized occupants, pets, criminal activity on the Premises, or property damage. Landlord reserves the right to issue separate notices and pursue separate remedies for those breaches.

7.3. Landlord does not waive the right to recover any sums that accrue after the date of this Notice, including future rent, future late fees, and damages.

7.4. This Notice is given without prejudice to any rights or remedies available under the Lease, the North Carolina Residential Rental Agreements Act (Article 5 of Chapter 42), the Tenant Security Deposit Act (Article 6 of Chapter 42), or any other applicable law.

8. SERVICEMEMBERS AND SUBSIDIZED HOUSING NOTICE

8.1. Servicemembers Civil Relief Act (SCRA), 50 U.S.C. § 3951. If Tenant or any household member is a member of the uniformed services on active duty, federal law may bar or stay this eviction. Tenant must promptly notify Landlord in writing of any active-duty status.

8.2. Subsidized Housing. If the Premises are part of a Section 8 (Housing Choice Voucher), Project-Based Section 8, public-housing, LIHTC, USDA Rural Development, or HUD-insured tenancy, additional federal notice and grievance procedures apply, and the cure period and grounds may differ from those stated above. The HUD lease addendum or the applicable PHA's Administrative Plan governs.

8.3. CARES Act covered properties. If the Premises are a "covered dwelling" within the meaning of 15 U.S.C. § 9058 (federally backed mortgage or covered housing program), additional federal notice may be required. Verify property status before relying on this Notice as the sole pre-suit notice.

9. SELF-HELP EVICTION PROHIBITED

9.1. Landlord WILL NOT engage in any self-help measures. Pursuant to N.C. Gen. Stat. § 42-25.6, a residential tenant may be evicted only by judicial process under Article 3 (summary ejectment) or Article 7 (expedited eviction for criminal activity) of Chapter 42.

9.2. Landlord will not change the locks, remove doors or windows, remove or damage Tenant's personal property, terminate or interrupt utilities (water, electricity, gas, heat, telephone, internet) furnished by Landlord, or take any other action calculated to oust or constructively oust Tenant from the Premises.

9.3. Tenant remains in lawful possession until removal pursuant to a writ of possession executed by the Sheriff.

10. SIGNATURE AND SERVICE

Issued this [___] day of [MONTH], 20[__].

LANDLORD:

By: ____________________________________
[NAME], [TITLE — e.g., Owner / Member-Manager / Property Manager / Authorized Agent]

[ENTITY NAME, IF APPLICABLE]
[MAILING ADDRESS]
[CITY, NC ZIP]
Telephone: [___-___-____]
Email: [________________________________]

11. PROOF OF SERVICE

I, the undersigned, declare under penalty of perjury under the laws of the State of North Carolina that I served the foregoing NOTICE TO PAY OR QUIT on Tenant by the method(s) checked below:

☐ Personal delivery to [TENANT NAME] at the Premises on [__/__/____] at approximately [___:___] [AM / PM].

☐ Substituted service by leaving a copy with [NAME, RELATIONSHIP, AGE — must be of suitable age and discretion] residing at the Premises on [__/__/____].

☐ Posting and mailing by affixing a copy to a conspicuous part of the Premises and depositing a copy in the U.S. mail, first-class postage prepaid, addressed to Tenant at the Premises and at [LAST KNOWN MAILING ADDRESS] on [__/__/____].

☐ Certified U.S. mail, return receipt requested, article number [________________________________], deposited on [__/__/____].

☐ Email to [EMAIL ADDRESS] on [__/__/____] [only if Lease authorizes electronic notice].

Date: [__/__/____]

By: ____________________________________
[NAME OF SERVER]
[TITLE / RELATIONSHIP TO LANDLORD]

12. NORTH CAROLINA PRACTICE NOTES

12.1. Why the 10-day demand matters. N.C. Gen. Stat. § 42-3 implies a forfeiture of the term when all past-due rent remains unpaid for 10 days after demand. After that forfeiture, § 42-26(a)(2) supplies the ordinary summary-ejectment ground because the tenant has omitted an act by which the lease estate has ceased. Section 42-26(a)(3) instead concerns a tenant in arrears who deserts and leaves the premises unoccupied and uncultivated.

12.2. The three statutory grounds for summary ejectment under § 42-26(a).

(a) Holdover — tenant remains after the lease term expires. No additional notice is needed if the lease has a stated end date.

(b) Breach of forfeiture-clause condition — tenant violates a lease covenant for which the lease itself authorizes forfeiture and reentry. Notice content and timing follow the lease.

(c) Nonpayment of rent — the present template's ground; § 42-3 demand required (in practice).

A separate ground under Article 7 (§§ 42-59 to 42-63) authorizes expedited eviction for criminal activity on the premises.

12.3. Late-fee cap. A late fee on residential rent is limited to the greater of $15.00 or 5% of the monthly rent (§ 42-46(a)) and may not be charged before the rent is five (5) days late.

12.4. Eviction fees (§ 42-46(e)–(g)). Three "eviction fees" may be charged, but only after a judgment for possession: complaint-filing fee (≤ 15% of rent), court-appearance fee (≤ 10% of rent), and second-trial fee (≤ 12% of rent). These cannot be demanded in a § 42-3 pre-suit notice.

12.5. Returned-check fee. Capped at $25 under § 25-3-506 and may be charged only once per check.

12.6. County-level resources. Wake, Mecklenburg, Durham, Forsyth, Guilford, and Buncombe Counties operate eviction-diversion or right-to-counsel programs; Tenant may seek assistance from Legal Aid of North Carolina (1-866-219-5262), the local bar pro bono program, or the courthouse self-help center before the magistrate hearing.

12.7. Attorney's fees. N.C. Gen. Stat. § 6-21.2 governs and limits attorney's fees provisions in residential leases. Fees are recoverable only after notice to the obligor and only at the statutory percentage (15% of the outstanding balance), regardless of any higher figure stated in the lease.

12.8. No early lockout. Even after a judgment, Landlord must wait for the writ of possession and Sheriff execution. Acting unilaterally exposes Landlord to actual damages, statutory penalties, and attorney's fees under § 42-25.6 and possible UDTPA treble damages under § 75-1.1.

12.9. Manufactured-home parks. Tenants of leased lots in manufactured-home communities have additional protections under the Manufactured Home Park Act (Article 7) and require sixty (60) days' notice for non-renewal in many circumstances. This template is not appropriate for that context without modification.

12.10. Vacation rentals. Short-term vacation rentals are governed by the Vacation Rental Act (Chapter 42A) and not by Article 3 / Article 5 of Chapter 42. Use a different template for those tenancies.

13. SOURCES AND REFERENCES

• N.C. Gen. Stat. § 42-3 — Term forfeited for nonpayment of rent.
• N.C. Gen. Stat. § 42-14 — Notice to quit in certain tenancies.
• N.C. Gen. Stat. § 42-25.6 — Manner of ejectment of residential tenants.
• N.C. Gen. Stat. § 42-26 — Tenant holding over may be dispossessed in certain cases.
• N.C. Gen. Stat. § 42-29 — Service of report and notice of hearing.
• N.C. Gen. Stat. § 42-34 — Undertaking on appeal and order staying execution.
• N.C. Gen. Stat. § 42-36.2 — Notice to tenant of execution of writ for possession of property.
• N.C. Gen. Stat. § 42-46 — Late fees, eviction fees, returned-check fees.
• N.C. Gen. Stat. § 42-50 et seq. — Tenant Security Deposit Act.
• N.C. Gen. Stat. § 7A-216, § 7A-228 — Small Claims Court jurisdiction and appeal.
• N.C. Gen. Stat. § 6-21.2 — Attorney's fees in obligation contracts.
• AOC-CVM-201 — Complaint in Summary Ejectment (NC Administrative Office of the Courts).
• AOC-CVM-202 — Answer to Complaint in Summary Ejectment.
• AOC-CVM-401 — Magistrate's Judgment in Summary Ejectment.
• 50 U.S.C. § 3951 — Servicemembers Civil Relief Act.
• 15 U.S.C. § 9058 — CARES Act eviction notice (where applicable).
• UNC School of Government, On the Civil Side: G.S. 42-3 — The Landlord's Life Preserver.
• Legal Aid of North Carolina, Eviction Defense Manual (most recent edition).