1 1 contract --> What's the point?



ORIGINAL POST
Posted by Havefaith 17 yrs ago
It really depends on the wording of the lease. I dont think it's possible by looking at "1+1" and say that the lease will expire at the end of 2 years as opposed to 1. You need to review the whole lease.

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COMMENTS
evildeeds 17 yrs ago
Sounds like the landlord is trying it on. Keep all correspondence and keep a list of all calls, contact, etc should they try and pursue something. If she persists you do have several options.

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Claire 17 yrs ago


LANDLORD AND TENANT (CONSOLIDATION) ORDINANCE - SECT 10G

Notices of increases


(1) Unless the Commissioner has made a determination under section 10F (3) or

the Tribunal has made an order under section 32(aa) regarding the date from

which an increase in rent shall take effect, an increase in rent specified in

a certificate issued under section 10E(1)(a) shall not take effect except in

pursuance of a notice of increase in the specified form served by the landlord

on the tenant, specifying the date from which the increase is to take effect.


(2) Where a landlord serves a notice of increase on the tenant under

subsection (1) he shall, at the same time, send a copy of the notice to the

Commissioner.


(3) The date specified in a notice under subsection (1) shall not, subject to

section 10H, be earlier than the first day when rent becomes due after the

expiration of 1 month from the service of the notice.


(4) Notwithstanding this section, where proceedings on a review under

section 10F or an appeal under section 32(aa) are not concluded on the date

specified in a notice under subsection (1), the failure by the tenant to pay

the increase in rent prior to the conclusion of such proceedings shall not be

a breach of covenant to pay rent nor give rise to a right to forfeiture.

(Added 53 of 1993 s. 9)


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aemom 17 yrs ago
We're in the same boat. Signed a 1 + 1 lease last September and got a notice this month telling us the rent would increase 18%.


New leases have different terms which are much more favourable for landlords. For example, non-payment within 7 days of the due date can result in action by the landlord.


Our landlord is using the break clause to raise the rent. So we'll be on a month-to-month from November 1 - and looking for a better deal...

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ldavy 17 yrs ago
The landlord can get you out if there is a break clause in the tenancy agreement. Usually the break clause allows for two months' notice to be given on either side.

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kalvin 17 yrs ago
i think the practice has always been 1+1 with only the tenant of having the option of deciding to take the +1 or not. but laws changed so that both the tenant and the landlord has the option, which i personally think is more fair, so thereafter 1+1 is really just a 1, but the practice remained. There is another benefit though. If both the landord and tenant decide to extend the lease beyond 12 months, you don't have to sign a new contract for the extended period up to 12 additional months. Otherwise, if you just do it on a month by month basis after the 1st year without a lease, the landlord, in theory can kick you out with no notice at all.

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Peter KC 17 yrs ago
To the best of my knowledge, for 1 + 1 lease, if the lease is silent about the rent review mechanism, there should be no ground for rental change. The tenant is entitled to stay in the premises at the same rent as year 1. If there is a provison for rent review, the landlord should serve a notice within a specified time limit to notify the tenant. If it is not done, no rent should be increased.


In the property field, the break clause can normally be executed at the discretion of the tenant, but not by the owner, unless it is specifically spelled out under the tenancy agreement that both parties have the same right to exercise the break clause.


In the past, as long as the tenant was willing to pay market rent, owner could not evict the existing tenant unless with good grounds, says, redevelopment, self-occupation and so forth. Following the Chapter 7 LANDLORD AND TENANT (CONSOLIDATION) (Amendment) ORDINANCE, owner is able to charge above market rent after the expiry of the existing tenancy. There is no security of tenure for the tenant even he/she is willing to pay a market rent for the new term.


Regarding the exericse of break clause, you better check with someone with legal background, if in doubt.





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rkb 17 yrs ago
What you have is a two-way break clause. Never agree to this in future. If necessary, pay a bit more on the rental to begin with but always go for the standard 2 year lease with a break option of 12+2 ie rental level fixed for two years but with only the Tenant having the right to exercise the break clause by giving the landlord two months written notice in advance at any time after the first 12 months of the lease term.

If the Landlord insists on a 2-way break clause, unless you're desperate for the unit, you'll be doing yourself a favour by walking away from the deal.



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