September 2021

Cancellation Of Lease Agreement Consumer Protection Act

The CEO of HIGH FLYERS PROPERTY screams his own legal advisor JACK – Jack! What do you think you don`t know if the Consumer Protection Act (launched on April 1, 2011) applies to our 20,000 leases that we had at the beginning of the CPA? including; the length of the consumer`s notice, the reasonable length of time the lessor would be able to procure a new tenant, and general industry practice. Looking at the factors holistically, it is clear that between one and two months of rental, an appropriate penalty would equate to possible further claims and a right to unpaid rents until the termination of the rental agreement. Under the Consumer Protection Act (CPA), a tenant can legally terminate a lease early, subject to sufficient termination, etc. – are there situations where the landlord could legally refuse to accept the termination of the lease? This is in line with the objective of the Consumer Protection Act as consumer protection and not business protection. There are, however, some exceptions to this general rule. This provision is important because, with regard to Section 51, where a provision of the Treaty is contrary to the foregoing, that provision is not applicable. I would like to terminate my lease, but I must terminate two months in advance (indicated in the lease). Is this still true at times like this and do I still have to pay for the month of May and June, if I let it be known today? The CPA speaks more than 20 days in advance, what about my situation? The principles behind annulment penalties are in our law of unjustified enrichment. A landlord/agent cannot make a financial profit or benefit from a tenant`s cancellation. The most remarkable aspect of a lease concerned by the application of the CPA is that of the notice periods to be given with regard to the termination of fixed-term contracts. It therefore seems that these „third-party strike clauses“ are no longer valid.

From the author`s point of view, this is a serious injustice to the owners, as it means that they are condemned forever to accept late payments and other violations of the rental agreement by their tenants – provided that the tenant corrects the offense within 20 working days, the landlord would not have the right to resign. The only way to get rid of an inconvenient tenant in such a situation would be to let the lease run its course and ensure termination without further renewal. As soon as a tenant makes use of his right of early termination, the lessor has the right to in turn impose an appropriate cancellation penalty and to demand all remaining sums under the rental agreement. It is clear from the CPA that a tenant cannot simply terminate a lease prematurely and flee unscathed. The CPA still gives the landlord the right to recover a number of their losses from the tenant, but perhaps more limited than the harm the landlord could have recovered under our customary law. However, reasonable cancellation fees differ from case to case and must be determined by reference to the aforementioned CPA factors. before April 2011; the two parties were pretty much bound by the terms of the lease agreement, and this was heavily weighted in favor of the owners, unlike their tenants. As far as the consumer is concerned, he has the right to terminate the rental contract by indicating in writing 20 working days to the supplier. As far as the supplier is concerned, it is essential that the consumer is informed of his breach of the rental agreement and that he decides to terminate the rental contract only if the consumer does not correct an infringement within the 20 working days prescribed by the CPA. The CPA applies to the supply of goods and services within South Africa, and this Act explicitly defines housing as a service, which means that residential rental agreements are affected by this Act. .

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