In temporary letting of residential accommodation the termination of the lease has to be announced in due time. What do lessors have to keep in mind with regard to the notification of termination?
Lease agreements regarding residential accommodation are usually for a minimum period of 1 year with an automatic renewal for an indefinite period. The lessee enjoys rent protection; the lessor is only allowed to terminate the lease if he can produce a statutory ground for giving notice, such as conduct as a bad tenant or that the accommodation is urgently required for own use. In practice, this means it is difficult for lessors to terminate a lease.
Since 1 July 2016, there are more options for temporary lease of residential accommodation. Rent protection is reduced if residential property is leased out for a maximum period of 2 years (self-contained accommodations) or for a maximum period of 5 years (shared accommodation). The lease is terminated by operation of law at the end of the lease term, provided that the lessor has notified the lessee in writing in due time (not earlier than 3, and not later than ultimately 1 month before) the end of the lease.
During the past few months there were a number of judgments that show the court applies the notification requirement strictly. The Almere subdistrict court decided a late notification would irrevocably lead to a lease for an indefinite period and full rent protection of the lessee. In the respective case the lessor had provided the notification a day too late. The Amersfoort subdistrict court decided that the lease will be continued for an indefinite period if the lessor cannot prove that the lessee has received the notification in due time. The lessor had sent the notification per e-mail, manifestly without delivery or read receipt and without also sending a notification per registered mail.
The Rental Market Flexibility Act provides opportunities for lessors regarding temporary rental of housing accommodation for a defined period and with restricted rent protection. In this case, lessors have to comply strictly with the notification requirement. If they do not do so, it will be difficult to terminate the lease.
Would you like to learn more about the right to rent protection or temporary letting? Or do you have any other questions regarding lease agreements? Please contact us:
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