
Determination Of Rent Amount
Determination of Rent Amount
Agreements between the parties regarding the rent to be applied in renewed lease periods are valid on the condition that they do not exceed the rate of increase in the producer price index in the previous lease year. This rule also applies to lease agreements with a term of more than one year.
If the parties have not reached an agreement on this matter, the rent shall be determined by the court in accordance with fairness, taking into account the condition of the leased property, provided that it does not exceed the increase in the producer price index of the previous rental year.
Regardless of whether the parties have reached an agreement on this matter, in lease agreements with a term of more than five years or renewed after five years, and at the end of every five years thereafter, the rent to be applied in the new rental year shall be determined by the court in accordance with the principles set forth in the preceding paragraphs, taking into account the increase in the producer price index, the condition of the leased property, and comparable rents.
If the rent is agreed upon in foreign currency in the contract, no changes may be made to the rent until five years have passed. After five years have passed, changes in the value of the foreign currency shall also be taken into account when determining the rent.
A lawsuit regarding the determination of the rent may be filed at any time.
However, this lawsuit may only be filed if the complaint has been served on the tenant at least thirty days prior to the start of the new term, or if the landlord has provided written notice to the tenant within this period regarding the increase in the rent, if the lawsuit is filed by the end of the following new rental period, the rent amount determined by the court shall bind the tenant from the beginning of this new rental period.
If the contract contains a provision stating that the rent will be increased in the new rental period, the rent amount determined by the court in the lawsuit filed by the end of the new rental period shall also be valid from the beginning of this new period.
Prohibition on Provisions Disadvantageous to the Tenant
No additional payment obligations may be imposed on the tenant beyond the rent and ancillary expenses. In particular, agreements stipulating that a penalty clause will be paid or that subsequent rent payments will become due in the event of late payment of the rent are invalid.
As explained, the “acceleration” and “penalty clauses” that cause difficulties for tenants are deemed invalid.
Accordingly, agreements stipulating that a penalty clause will be paid or that subsequent rent payments will become due in the event of late payment of the rent are void.