A lease clause that benefits the tenant while placing a burden on the landlord is called a(n):

• A. Renewal option
• B. Sublease prohibition
• C. Option right
• D. Rent abatement

Answer: (C)

The main idea here is that some lease provisions give the tenant a future choice, while potentially constraining the landlord’s current options. Those are called option rights. A tenant-friendly option right allows the tenant to take a specific action later (like renewing or expanding) under predefined terms, which can bind or limit the landlord’s ability to re-lease the space or set terms anew when the option could be exercised. A renewal option is a concrete example of an option right, but the broader category being described is the option right itself—the general mechanism that benefits the tenant and can place a burden on the landlord.

Why this fits best: an option right describes a clause that provides the tenant with a future advantageous choice, while the landlord takes on potential obligations or reduced flexibility to respond to market conditions in the meantime. The other choices describe specific tools that don’t capture the general concept as accurately: a renewal option is a specific type of option right; sublease prohibition is a restriction that typically favors the landlord by limiting tenant actions; and rent abatement is a financial concession that benefits the tenant but doesn’t define the mechanism of a future tenant choice.