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Urban Leasehold-Legal Advisor Spain
Urban Leasehold-Legal Advisor Spain

Rental contract signature

A rental contract is a legal issue that must be reviewed carefully before signing, and if it is possible, by an attorney or an urban leasehold advisor. An urban leasehold contract has two documents, the main one which includes the property, landlord and tenant basic information, as well as the rental price, monthly or yearly. The other document is a list of clauses about the rules of use during the lease, the rights of each party, and other regulations about the tenant damage responsibility, the lease deposit or the property expenses like taxes, management fees or supplies.

The contract has to be signed by both parties and submitted in the Urban lease office (Cámara de la propiedad), with the tenant deposit. This step is not obligatory if both parties agree, but it is highly recommended, in order for the deposit to be kept in a safe place. The deposit can be one or more lease months, and if both parties agree, the landlord can ask for more deposits, for instance a bank guarantee.

There are several aspects of the contract that cannot be regulated by both parties, because they are reserved to the Urban Lease Law, but if the contract does not regulate all the necessary aspects, then in case of any doubt, the referred law regulates them.

Legal contract duration

In Spain the parties can state in the contract the length they wish. However, for a living place the law states a minimum length of three years, which means for instance that if both parties agree five months length, the tenant has the right to extend it for three years. If after three years the landlord doesn’t send a termination contract requirement before the last month, automatically the contract gets extended for one more year with the same conditions. If the landlord has any children that need a place to live and has no more properties, then he will have the right to cancel this three years extension.

Regarding the tenant, he has the right to leave the property even before the contract duration, only if stayed for more than six months. If leaves the properly before this period, then they will be obligated to pay a compensation to the landlord.

Contract termination and keys delivery

Landlord and tenant can terminate the contract whenever they want, and according to the previous point, the tenant can also do it. However, if he is delivering the keys, it is essential to make sure he signs a brief document stating that he leaves the property and terminates the contract. Otherwise, the landlord will not have the right to get into the property, even if the tenant does not pay his rental debts, and if the landlord does it anyway, he will be susceptible to a criminal action against him.

In case the landlord does not want to extend the contract after the agreed duration, then it is important to send a one month notice informing the tenant of the contract termination one month before it expires. Otherwise the contract will be extended for one more year, and the tenant will reserve the right to live there.

If the landlord finally terminates the contract, then the landlord has to go for the delivery of the keys, but if the tenant does not hand over the keys, then the only way to solve the situation is suing him, and waiting until the court sends a court official or the police. In either case, it is very helpful to reach an agreement, because an eviction process takes a long time, and if the tenant delivers the keys, saves money and time to the landlord.  

Rental debts

According to the Supreme Court Jurisprudence, the landlord has the right to terminate the contract if the tenant does not pay one single month rent, so after the second month, he can sue the debtor for both reasons. In the event the tenant pays the debt in the court before the trial, the process gets automatically dismissed, even though he will be obligated to pay the cost of the suit. However, the tenant can do this only once, so in case he’s sued again for a rental debt, the court payment will not stop the process again. In addition, if the landlord sends a payment demand letter and the tenant do not pay in one month, then he loses the right to extinguish the process with the payment.

The rent can also be requested by a brief suit called Juicio Monitorio, attaching to it the unpaid rent receipts. If the debtor answers it rejecting the debt, then a trial appearance is appointed, so the judge decides. If the debtor remains in silence or admits the debt, then the process terminates, and the landlord can enforce the judge decision.