Quick overview
- There are three basic ways to end a lease: by agreement between the tenant and the landlord, by notice or, in exceptional cases, by immediate termination.
- If the lease is agreed for an indefinite period, the tenant can terminate it at any time without giving any reason, by giving three months’ notice.
- In the case of a fixed-term lease, notice may be given only under the conditions laid down by law or by contract.
- Immediate termination of the lease without notice is only possible in the event of a serious breach of duty by the other party.
- Notice must always be in writing and properly served, otherwise it may not be valid.
Do you want to give notice but are not sure how to word it so that you are legally protected? We will be happy to draft it for you.
What are the ways to end a tenancy?
In practice, we often see that people only deal with ending a tenancy when the situation has escalated. Typically this is a sudden move, conflicts with the landlord or financial difficulties. It is in these situations that mistakes are then made which can lead to invalid notice or unnecessary disputes.
If you find yourself in a situation where you suddenly need to move, perhaps for a new job, and you need to end your current tenancy, then you basically have a few options. You can have an immediate notice of termination negotiated directly in the property lease for both parties, or you can agree with the landlord to terminate the lease. In the last and least pleasant case, you will not be able to reach an agreement with the landlord. If such a situation arises, the only option is to terminate the housing by immediate termination of the lease by the tenant.
Let’s take a closer look at how and under what conditions you can terminate a lease contract directly by law if you are a tenant, or even if you are a landlord and you find yourself in a situation where a non-paying tenant is occupying your apartment and you have been dealing with a really unpleasant situation – how to evict the tenant from the apartment – for a long time and the rent owed by the tenant is starting to reach astronomical heights. But we will also touch on less common cases than just tenant problems, namely termination of a lease of non-residential premises or perhaps termination of a ground lease.
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Have you found yourself in a difficult situation with the termination of your apartment lease?
Whether you are currently dealing with a landlord’s disagreement with your notice or you find yourself in a situation where your tenancy has been wrongfully terminated, we can advise you. Within 48 hours, we are able to propose a specific solution for your case.
Resolve the situation with the problematic termination of the apartment lease
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Immediate termination of the lease and what must the notice for the apartment contain?
The Civil Code has the notice of termination of tenancy in mind and lays down quite clear and detailed rules for it. A notice of termination is not a request to terminate the lease, it does not presuppose any compliance or consent of the other party. It is a unilateral legal act. That is why it is, of course, emphasised in terms of its form. First and foremost, it must be in writing; the lease cannot be terminated over the phone or orally. The notice must contain information about both parties and the name of the flat or house. We recommend that you send it by registered or recorded delivery letter to make sure it has been delivered.
However, even in terms of wording, it is very important to distinguish whether you have a fixed-term tenancy or an open-ended tenancy. In general, however, a notice of termination of tenancy could look like this:
Notice of lease – model
[Your name]
[Your contact]
[Address of the rented property]
[Lease agreement number]
[Date]
Dear [name of landlord],
i hereby give you notice of termination of the lease of the property I have rented from you on [date of agreement] due to a change in circumstances which were unforeseeable at the time of entering into the agreement and which have significantly affected my options and circumstances. Specifically, [briefly describe the change in circumstances, e.g. loss of employment, change in personal circumstances, economic or health problems, etc.].
These changed circumstances make it impossible for me to continue to rent the property under the original terms of the agreement. In accordance with Section 2287 of the Civil Code, I hereby give XXX months/days’ notice of termination of the tenancy, commencing on XXX (the date following receipt of this notice).
At [place] on [date].
[Your signature]
Termination of lease for an indefinite period
As a tenant, you can terminate your lease for an indefinite period at any time and without giving any reason with three months’ notice. The notice period starts on the first day of the calendar month following the date of delivery of the notice to the landlord. But what about fixed-term tenancies?
The most common mistake we encounter is the incorrect start of the notice period or the lack of a written form. People often assume that the notice will start immediately upon delivery, but this does not correspond to the law.
Termination of a fixed-term lease
A tenancy agreement concluded for a specific period of time naturally ends at its expiry. Unless you have agreed to an earlier termination directly in the contract, you cannot terminate the lease without giving a reason, as is the case with the indefinite lease described above. Therefore, neither party can terminate the lease just like that. The most common reason for terminating a lease is a change in circumstances. You may be moving to another city, health issues that make it impossible for you to continue the lease, and so on.
This is generally addressed by the Civil Code, which says that a tenant may terminate the lease of an apartment before the agreed term if the circumstances on which the parties based their obligation under the lease change to the extent that the tenant cannot reasonably be required to continue the lease.
However, you can easily get into a dispute with the landlord here, as the law does not clearly define what should be considered as such reasons for a change in circumstances.
Want to make sure your notice meets all the legal requirements? We will tailor it to your situation to ensure it is valid and effective.
Termination for violation of rules by the landlord
It may happen that the landlord breaks the rules of the agreed lease, leading the tenant to terminate the fixed-term lease early. For example, if repairs to the flat are necessary and they must be carried out to such an extent that the flat cannot be used. Or if the landlord breaches its obligations in a particularly serious way, causing significant harm to the tenant.
The tenant may also terminate the tenancy if the use of the apartment is prevented by a provision of law or a decision of a public authority issued on the basis of law. There are several such statutory grounds. These may typically be situations where the use of the apartment would be dangerous (chemical contamination, disturbed statics of the building, etc.).
We know from practice that it is often the landlord’s notices that are invalid. They lack a specific reason or are not sufficiently described. In such cases, the tenant can defend himself and challenge the notice.
What rights does the landlord have when giving notice for a fixed term?
The landlord can only terminate a fixed-term contract for the reasons provided by law, i.e.:
- if the tenant grossly breaches his or her obligations under the lease, for example, by stopping paying rent,
- if the tenant is convicted of a deliberate crime committed against the landlord or a member of the tenant’s household, or against a person who lives in the house where the tenant’s flat is located, or against someone else’s property located in the house,
- where the flat is to be vacated for reasons of public interest, for example where it has to be demolished to make way for a ring road.
The law protects the tenant as the weaker party to the contract for these precise reasons.
When can the landlord terminate your permanent contract?
If the landlord wants to terminate the permanent contract, he can only do sofor legal reasons. Specifically, for the same reasons as in the case of a fixed-term contract, and in addition if he wants to move into the flat himself or wants it for his spouse in the event of a divorce.
This also applies if he needs it for his relatives, e.g. children who have started university. However, the relatives should actually move into the flat. A fake need may lead to a claim for damages and generally call into question the validity of such a statement.
Have you received a notice of termination of tenancy and are not sure if it is justified? Have it checked by a solicitor. We can help you assess its validity and suggest a course of action.
Notice of lease of business premises
A lease of business premises can be terminated, particularly for reasons you have agreed in the lease agreement, so care on both sides in negotiating the agreement itself is very important. However, if you do not have the exact grounds for termination of the lease of non-residential business premises set out in the contract, the statutory conditions will apply. This is similar to the case of a lease of an apartment.
The law also allows a tenant of a space used for business to terminate a fixed-term lease if, for example, he or she ceases to be fit to carry on the business. Legislation may change and the tenant may not be able to use the premises for business as intended in the contract.
Both parties may want to terminate the lease because of a so-called material change of circumstances. This change can be almost anything. We therefore recommend that you set out the exclusive grounds for termination of the lease of non-residential premises directly in the contract.
How to proceed after the end of the lease?
However you end your tenancy, it is your responsibility to hand over the apartment to the landlord. How should both parties proceed with this final step? The tenant must hand over the flat to the landlord on the day the tenancy ends. The landlord is entitled to compensation against the tenant in the amount of the agreed rent if this is not done. This shall continue for as long as the tenant fails to hand over the apartment.
In practice, disputes are often about the condition of the apartment and any damages. Although the law does not oblige anyone to draw up a handover report on the return of the apartment to the landlord, we recommend that you draw up a handover report. The protocol should include a description of the condition in which the apartment is being handed over, details of the status of the electricity, water and gas meters, if installed, and a list of the equipment being handed over and a description of its condition.
The Parties are also not precluded from recording the condition of the apartment at the time of handover in detail by means of photographic documentation. As the landlord, do not forget to give the tenant a bill for the services connected with the lease and for the return of the rent deposit .
Summary
Termination of the lease is possible by agreement with the landlord, by notice or, as a last resort, by immediate termination in the event of a serious breach of duty. An open-ended lease can be terminated at any time with three months’ notice, whereas a fixed-term lease requires a statutory reason, such as a material change in circumstances. The landlord can only terminate the contract for statutory reasons, such as non-payment of rent or the need for the flat for self-occupation.
For non-residential premises, similar rules apply, with early termination depending on contractual or statutory conditions. At the end of the lease, the tenant must hand over the apartment, preferably with a handover report and photo documentation. The notice must be given in writing and delivered by registered mail. The best solution is always an agreement between the parties.
Frequently Asked Questions
How does the notice period for renting an apartment start?
The period of notice does not start from the moment of delivery of the notice, but only from the first day of the calendar month following its delivery.
Does the notice have to be in writing?
Yes, the notice must be in writing. If it is not, it is not valid.
When is it possible to terminate the lease immediately without notice?
Only when the other party seriously breaches its obligations. Typically, these are situations where the tenancy cannot fairly be required to continue.
What must the service statement contain at the end of the tenancy?
The statement must include the actual cost of each service and a summary of the advances paid so that the existence of overpayments or underpayments can be verified.
What happens if the tenant does not vacate the apartment at the end of the lease?
The landlord can seek eviction through the court and then enforcement if the tenant does not leave voluntarily.
