The deposit is kept in case of fiduciary damages – the tenant must not ask the landlord to use the deposit as rent during the tenancy agreement and especially not in the last month of the contract. However, a month-to-month lease is not considered a fixed-term lease and the notice in effect by both parties is one month within the meaning of the RHA, both lanes without penalty. The tenant has the right to terminate a rental agreement prematurely by imposing 20 working days on the landlord. The tenant must also remember that he is responsible for an appropriate cancellation sentence. The question was whether the landlord was required to terminate 20 business days prior to the termination of the tenancy agreement, whether the contract with the tenant was not in fact a firm agreement. As a final indication, remember that oral leases (actually oral contracts of any kind), and/or oral modifications to them, are a recipe for misunderstandings, duplicity and disputes. In such a case, the result of this new High Court decision is that the answer to the question “What rent does the tenant have to pay in a monthly monthly rent per month?” is that the rent remains unchanged, except – as in this case – the evidence clearly shows that a new rent has been agreed. As a general rule, a landlord will ask the tenant to pay a deposit in advance in case of damage. The security deposit can be equal to 1 or 2 months` rent depending on criteria such as the tenant`s credit profile or the condition/value of the property.
The result is that a lessor is not required to comply with paragraph 2 of section 14 of the CPA before terminating a month-to-month lease, and that the lessor does not have to give the tenant 20 working days to terminate the lease when a contract has been concluded from month to month. This naturally opens the door to uncertainty and disputes, and to prevent your fixed-term lease from clearly containing in writing exactly what will happen when it expires. This is the same protection offered to a supplier, but the consumer must also have failed to comply with the fixed-term contract before a supplier can terminate the contract.