Failure by the tenant to repair or maintain the property creates a right for the landlord to compensation. Under standard lease terms, the tenant is obliged to hand over the property at the end of the lease in the condition in which it was received, except for normal wear and tear. In addition, the tenant is responsible for preventing damage caused by himself, his family members, representatives or invitees, and has a parallel duty to promptly repair any damage.
The obligations of the parties – the owner and the tenant – are regulated by the lease agreement and Article 27 of the Rent Control Act 23/1983. The Act includes provisions on the rights to recover the property and the obligations of the parties. The jurisdiction of the Rent Control Court is based on Article 4(1) of this Act, which creates courts to resolve disputes arising within the framework of the application of the Act.
Limassol -Paphos Rent Control Court , the landlord’s claims were brought against the tenant and his two guarantors. The landlord claimed the following compensation:
- €109,715 – cost of repairing damage;
- €20,000 – compensation for lost income for 10 months of repairs;
- Approximate compensation and expenses.
At the start of the lease, the house was in average condition. The owner gave the tenant €12,235 to carry out repairs and restoration work. However, over time, the tenant and his guarantors failed to pay the rent, despite the fact that the owner was a pensioner with debts and the rent was her main source of income. The owner obtained a court order for the debt to be collected and an order to return the property, but the tenant ignored it.
When the owner returned the house, it was in a state of disrepair: there were no doors, windows, plumbing, solar water heater, water tank, metal gates and fences. There was serious damage to the floor, walls and part of the roof.
The tenant and one of the guarantors’ position was that when the court, in the eviction proceedings, ruled that they were not entitled to any compensation for repairs/improvements to the home, they deliberately disobeyed the court’s decision and took the law into their own hands by taking everything of value and simultaneously rendering worthless everything they left behind.
The court ruled that the actions of the tenant and guarantors constituted an unacceptable and radical interference with the property, which violated the fundamental legal rule that what is built on the land remains on the land.
The court found it possible to award the amount for restoration work (€109,715) in the form of general damages, given the financial difficulties of the owner. It also decided to recover €20,000 for loss of income during the restoration of the house and €10,000 as exemplary compensation for the damage caused and the provocative behavior of one of the guarantors.
This case highlights the importance of tenants complying with their obligations under their leases. The Cyprus court system has demonstrated a tough approach to breaches, which serves as a warning to tenants and their guarantors.
