Housing rental contract with too many penalty provisions?


Questioner

I received a contract, and it has too many and too detailed penalty clauses. The real estate agency told me it is a standard model contract they downloaded from the ROZ website. But I don't understand the details and I'm afraid it can work against me after I sign it. Also, 'articles' are mentioned within the Article 11(Fine provision)--for example 'article 1 (use), 9 (garden), 13.1 and 13.2 (reporting damage), 14.1 (general areas)'--but in the contract, the last article number is 12.4, before the signing section in the end. Could you help me determine whether I can sign the contract or not? Extract from the contract: 11. Penalty provision 11.1 Tenant and Landlord agree that if Tenant fails to fulfill his obligation(s) under the following provision(s), he will forfeit to Landlord an immediately due fine as stated below: a. a fine of €20.00 for each calendar day that the violation continues, in the event of violation of Article 1 (use), 9 (garden), 13.1 and 13.2 (reporting damage), 14.1 (common areas), 14.3 sub a (pets), 14.4 (nuisance), 21.1 and 21.2 (deposit) of the general provisions, with a maximum of €4,000.00, without prejudice to his obligation to subsequently comply with this obligation and without prejudice to the landlord's right to (additional) compensation; b. a fine of €35.00 for each calendar day that the violation continues, in the event of violation of Articles 4.1 and 4.2 (changes and additions), 8 (antennas), 10 (sun blinds), 14.2 and 14.3 sub b (advertising, ventilation and smoke ducts) of the general provisions, with a maximum of €7,000.00, without prejudice to its obligation to subsequently comply with this obligation and without prejudice to the lessor's right to (additional) compensation; c. a fine of €50.00 for each calendar day that the violation continues, in the event of violation of Article 1.3 (change of purpose) of this rental agreement and of Article 12 (access), 15.2 (hazardous substances), 19 (timely and correct return) of the general provisions, with a maximum of €10,000.00, without prejudice to its obligation to subsequently comply with this obligation and without prejudice to the lessor's right to (additional) compensation; d. a fine of € 1,500.00 per violation, increased by an additional fine of € 75.00 for each calendar day that the violation continues, in the event of a violation of Article 2 ((temporary) subletting) of the General Terms and Conditions, with a maximum of € 15,000.00 without prejudice to (i) his obligation to comply with this obligation and (ii) the lessor's right to (additional) compensation, and (iii) the obligation to hand over the profit that he has (estimated) enjoyed by acting in violation of this prohibition; e. a fine of €5,000.00 per violation, increased by an additional fine of €100.00 for each calendar day that the violation continues, in the event of violation of Article 14.3 sub c (hemp and the like) of the General Terms and Conditions, with a maximum of €25,000.00, without prejudice to (i) his obligation to subsequently comply with this obligation and (ii) the lessor's right to (additional) compensation, and (iii) the obligation to hand over the profit that he (estimated) has enjoyed by acting in violation of this prohibition; 11.2 For each violation of an obligation under this rental agreement and associated general terms and conditions, insofar as not already mentioned in article 11.1, the tenant owes the landlord an immediately due fine of € 10.00 per calendar day, with a maximum of € 2,000.00, without prejudice to his obligation to still comply with this obligation and without prejudice to the landlord's right to (additional) compensation. If the landlord is a professional party, this article 11.2 does not apply.

Lawyer

I understand your concerns about the many detailed penalty provisions in the contract. This can indeed seem a bit intimidating. However, it's not uncommon for landlords to include penalties in their contracts. They do this to protect themselves from any potential misbehavior by the tenants. In your case, the landlord refers to the ROZ conditions. The ROZ is an asset management organization of municipalities, provinces, and the national government, known for its comprehensive and detailed contract templates. As for the missing articles you mentioned, there must undoubtedly be a reference to the General Provisions somewhere earlier in the contract. It is common practice that in addition to the specific lease agreement, a set of general provisions is also provided, which stipulates conditions that apply to all lease agreements of that landlord. Having said that, it's always a good idea to consult a legal expert before you sign a contract that you do not fully understand. You could also go to a specialized agency for assistance in reading and understanding your contract. I hope this helps, and remember, always seek legal advice before signing any contract.'

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