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  • LEASES – LESSEE’S RIGHTS IN THE CASE OF UNAUTHORIZED CONSTRUCTIONS BY THE LESSEE WITHIN THE LEASED PROPERTY

LEASES – LESSEE’S RIGHTS IN THE CASE OF UNAUTHORIZED CONSTRUCTIONS BY THE LESSEE WITHIN THE LEASED PROPERTY

by spiliopouloslaw / Monday, 30 May 2022 / Published in Legal Issues for Individuals

According to the provisions of Articles 592 and 594 of the Civil Code, respectively “The lessee is not liable for damage or changes due to the agreed use” and “The lessor has the right to immediately terminate the lease and at the same time claim compensation if the lessee, despite the lessor’s protests, does not treat the leased property with care and as agreed or does not behave appropriately towards other tenants.”

The agreed use is determined by the interpretation of the contract (Civil Code 173, 200, 281, 288). Any arbitrary change constitutes misuse, regardless of whether or not it results in the deterioration of the leased property.

If the lessee fails to fulfill their obligation to make good use of the leased property, i.e., misuses it, the lessor may exercise their legal rights against the lessee. In particular, they are entitled to:

1) demand proper and appropriate fulfillment, i.e., cessation and omission in the future,

2) terminate the lease immediately, without notice, if, despite his protests, the lessee continues to misuse the leased property, and

3) to claim compensation regardless of whether or not he has exercised his right of termination. A prerequisite for termination is the prior complaint of the lessor and not necessarily multiple successive complaints.

With regard to the question of whether the construction of unauthorized buildings constitutes misuse, the Supreme Court ruled in its decision No. 739/2008 that: “negligent treatment of the leased property constitutes both the destruction of parts, components, or accessories of the leased property, as well as any damage to them or any unauthorized intervention by the lessee, without the consent of the lessor, intervention by the lessee, as a result of which the general and specific configuration, layout, and appearance of the leased property, which have been created and intended by the lessor to serve his economic purpose, are substantially altered. According to the provisions of Articles 587 and 599 of the Civil Code, termination of the lease for misuse of the leased property results in the termination of the contract for the future and the obligation of the lessee to return the leased property to the lessor.

Consequently, the construction of unauthorized buildings also constitutes misuse of the leased property, and the lessor may terminate the lease and claim compensation or fulfillment of the contract.

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