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Estonia · Law · SE

232

Debt Law Amendment Act (Tenancy)

avaldatud riigiteatajasEstonia· Riigikogu· ET

Introduced

14 September 2020

Last action

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Status

AVALDATUD_RIIGITEATAJAS

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Subjects

Discovery layer

Source updated

16 December 2020

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Summary

The main goal of the bill is to revive and develop the rental market and thereby offer people a reasonable alternative to owning a home in the form of renting a residence. Rent regulation has remained unchanged for almost 20 years. As a result of the changes, market participants are enabled to regulate their relations more flexibly, while keeping in mind the need to proceed from balanced solutions. For example, the absolute prohibition of liquidated damages will disappear in the case of residential rental contracts and the parties will be able to agree on the distribution of the repair obligation in the future. According to the bill, the landlord has the right to cancel the contract due to the tenant's default in payment in the case of a lower arrears or a shorter delay (two months instead of three months). At the same time, there are restrictions on the amount of the liquidated damages, several content and form requirements for repair obligation agreements, and more extensive notification obligations to the landlord in case of cancellation due to payment delay.

Machine translation from Estonian. The official text remains authoritative.

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26 official files

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