End of lease and extension of the lease

The law firm ofSalvador Real Estate Lawyers reminds that those clauses that limit the tenant’s rights contemplated in the Urban Leases Law (LAU) are null and void. But, be careful, not all clauses that harm the tenant are null and void, only those that restrict the tenant’s rights.

The LAU does not allow the advance payment of more than one month’s rent. De Salvador law firm emphasizes that the landlord cannot oblige the tenant to pay 2 or 3 months’ rent in advance and that non-compliance cannot lead to eviction.

Many communities have received in recent weeks the notification of the increase in the rate for janitorial services. The approval of the first labor agreement in the sector makes the services of community service companies more expensive, reviving an old debate: is it better to employ or subcontract the concierge? This first agreement establishes a base salary payment of 1,000 euros gross per month in 14 payments that will be mandatory as of July 1, 2022. There are professionals who claim that the community will not save money by hiring a company instead of employing the janitor. Read more

Invalidity of a lease contract

We analyze some of the most common clauses that could not be included today in a housing lease contract after January 1, 1995, since they would be “VOID” for going against the provisions of the Urban Lease Law.

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This is an issue in which it will have to be taken into account whether it affects the lessee or the lessor. Any waiver by the former is null and void if it is detrimental to the latter. However, what is not easy to determine is when and in what way he is prejudiced; in principle, it is necessary to interpret this possibility as that which impairs any right, unless the rule authorizes it.    On the other hand, if it is the lessor who waives his rights, all possibilities are possible, so that a longer duration, a lower rent, etc., can be fixed, there are no limits and this leads to very different situations. Consequently, when a residential lease contract is drawn up, any clause of waiver by the lessor is valid and, on the contrary, it will be null and void if it concerns the lessee’s rights.

Withdrawal of rental contract

This is the contract by virtue of which a person -landlord, owner, usufructuary- undertakes to give another -tenant, tenant- the use and enjoyment of a dwelling for a specific period of time and in exchange for a specific price, the rent.

The rental price of these dwellings is lower than the market price after being included in rental stock exchange operations, protected rehabilitation actions or protected housing developments.

Possibility of repaying the loan -totally or partially- before the agreed time. It is necessary to know if the credit institution recognizes this possibility and under what conditions -if it establishes a minimum amount and the amount of the commissions-. In general, a percentage is usually charged on the amount amortized in advance, to compensate the financial loss that implies the alteration of the agreed amortization schedule.

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Real estate agent. A qualified professional who acts as a mediator to help the interested parties sign the real estate contract that has been entrusted to him, whether it is a lease, sale and purchase or other related contracts. Usually charges a percentage of the sale price as consideration or commission.

Abusive rental contracts

Article 4°.- The tenancy or lease is a special contract by means of which an owner gives to a person, natural or juridical, the possession and use of a house or part of it, for a certain fee and undetermined time.

All rental houses must meet the technical and hygienic conditions established by the municipal ordinances and regulations, where the corresponding services have been established.

When the landlord evades or refuses to receive the amount of rents, the tenant shall deposit them to the order of the landlord in the Central Bank of Bolivia or Municipal Treasury where there is no agency of the aforementioned institution. The Housing Commissariat will grant a receipt for the rents, notifying the landlord.

Article 16 – The Tenancy Agreement shall remain in force for the benefit of the direct ascendants and descendants of the tenant, in the event of his death or definitive transfer to another locality.

Article 19 – The eviction action for cause a) of Article 18 shall be extinguished with the cancellation of the accrued rents, provided that there is no first degree sentence and except in cases of recidivism.