Terminating a lease: Terms and rights


Questioner

I ask you to read the following piece of text from a lease agreement between a natural person and a sole proprietorship for a retail property, and my question is: 1) If I cancel the agreement as of 01 Feb 2016, what is the notice period? 6 months, 12 months or am I now obliged to rent for 5 years from the start of the agreement because the term in point 3.1 has expired? Duration, extension and termination 3.1 This rental agreement has been entered into for a period of 18 months, commencing on 04-11-2013 (hereinafter referred to as “ effective date”) and running until 01-04-2015 3.2 This rental agreement will, after the expiry of the period referred to in 3.1, be terminated unless of this lease agreement by notice of termination by the tenant alone in accordance with 3.4; 3.5 and 3.6 continued for a consecutive period of 5 years. 3.3 After the expiry of the period referred to in 3.2, this rental agreement shall continue for an indefinite period, unless this rental agreement is terminated by notice of termination by the tenant or the landlord in accordance with 3.4; 3.5 and 3.6. 3.4 Termination of this rental agreement by notice after the expiry of the period referred to in 3.1 shall take place by the tenant to the landlord, observing a notice period of at least 6 months. 3.5.1 Termination of this rental agreement by notice after expiry of the period referred to in 3.2 or, in the case of a rental agreement for an indefinite period, takes place by the tenant to the landlord or the landlord to the tenant, taking into account a notice period of at least 12 months before the end of the current rental period. The landlord will observe the statutory grounds for termination. 3.5.2 Termination of this rental agreement must be done by bailiff's writ or by registered letter.

Lawyer

The new term of 5 years has then commenced, although the use of the word after is not really clear, yet I understand from the context and the normal rules in commercial lease law that you can terminate the first period (can prevent extension) with due observance of 6 months. So you are too late.

Questioner

Ok, clear. So if I cancel now, do I have to continue paying for another 12 months or do I have to complete those 5 years? Thank you for your answer. Can you also explain to me how I should interpret the following?: Under point 3.4 it is stated that if the period in 3.1 has expired, there is a notice period of 6 months and under point 3.5.1, if the period in point 3.2 has expired, there is a notice period of 12 months? Or am I reading this completely wrong? Thank you in advance

Lawyer

The notice period of 12 months does not apply to the first period of 18 months but to the following ones, namely those of 5 years and indefinitely

Questioner

Ok, clear. So if I cancel now, do I have to continue paying for another 12 months or do I have to complete those 5 years?

Lawyer

Complete 5 years and cancel just before the fourth year.

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