Duties during the Lease of Business Premises

The landlord is under an obligation to vacate the business premises for the tenant on the agreed date. Upon commencement of the tenancy, the premises must be in such condition as the tenant may reasonably require, taking into consideration the age of the premises, local stock of business premises and other relevant factors. It is possible for the parties agree in further detail regarding the condition of the premises. Maintenance and reparation of the premises are the landlord’s duty, but the parties may agree on the tenant assuming these duties. The generally used term “in its current state of repair” is not binding in case of deficiencies which the tenant was not aware of or could not have discovered.

The tenant may rescind the contract due to material delays in vacating the premises for use by the tenant as well as material defects in the premises. The right of rescission is subject to landlord’s failure to remedy the defects despite being requested by the tenant to do so. Instead of rescission of the agreement, the tenant may also repair the defects at the landlord's expense. In this case, however, the tenant must ensure that the repair costs remain reasonable.

Alternatively, the tenant may claim a discount on the rent or release from the obligation to pay rent for the period during which the premises have not been available for use by the tenant, or in the agreed condition. The right to discount applies, however, only after the landlord has become aware of a defect regarding the premises that has appeared during the term of the lease. Accordingly, the tenant should without delay notify the landlord of damages or defects in the premises.

Additionally, the tenant can claim damages. Liability for damages requires willful misconduct or negligence on the part of the landlord.

The tenant must care for the premises and use them for their intended purpose only. The tenant is liable for damages resulting from a breach of the tenant’s duties. If the tenant, or a guest of the tenant, damages the premises in such a way that cannot be deemed to constitute normal wear and tear, the tenant is liable for such damage towards the landlord. Such damage could be, for example, cluttering the walls of the premises. The demanded compensation may be adjusted if it is unreasonable.

The tenant must permit the landlord to access the premises without delay at the agreed time, for purposes of monitoring the repair or maintenance of the premises. The tenant must also permit the landlord to show the premises to third parties, for the purposes of selling or further leasing the premises. Such demonstration of the premises shall, however, take place at a time that is convenient for the tenant.