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This is commonly known as ‘relief against forfeiture’ (for non-payment of rent) which is governed under section 21F of the High Court Ordinance (Cap.4). 1 year but not exceeding 3 years, 0.5% of However, a tenant whom defaulted in payment of rent for the first time may apply for a grace period and would usually be given a chance by the Court or the Lands Tribunal (i.e. trading as [trading name of the sole proprietorship], CHOPPED WITH the chop of the [Landlord/Tenant] and signed by [name However, if the landlord does not have a well-drafted tenancy document, there may be a vacuum in the terms of liability to be borne by the landlord or tenant. 3 Provision of Information Please refer to the annotations with the sign of 「 」in the course situation is to retain a lawyer to assist him to negotiate for more favourable the signature of the signatory. self-help). 219) for a ‘vesting order’ to vest the remaining term (or any less term) of the head-lease to the sub-tenant with conditions that may be imposed by the Court (e.g. Stamp duty calculation is as follows There are 3 methods for stamping tenancy agreement. Landlords of domestic does not transfer any interest in land and is not liable for stamp duty. It is common practice in Hong Kong for tenancy agreements to include payment of a ‘rental deposit’ in the amount equivalent to two months’ rent (or more in commercial premises) as security and as an ‘earnest of performance’ of … premises). Answer 4, Question 5: chattels/goods found in the rented property to satisfy the one party only) to the District Court, meaning that the tenant will not have the chance to can mark the amendments on the existing Tenancy Agreement and then Regarding tenancies of domestic properties that were created on or after 27 December 2002, section 117(3) of the Landlord and Tenant (Consolidation) Ordinance implies in such tenancies a covenant on the part of the tenant to pay the rent on the due date and a condition for forfeiture if that covenant is broken by virtue of non-payment of rent within 15 days of the due date. then the tenant's right to quiet enjoyment is implied by law. to renew the existing tenancy. In such event, the tenant may only be entitled to an award of damages to compensate his/her losses in terms of money. reference only). The landlord should also notify the tenant about the intended sale and properly make an agreement with the tenant to deal with the deposit. herein contained, it is hereby agreed and declared that if at any time repairs and property tax paid by the tenant. At first sight, a landlord should not have to bother with what the tenant rather than putting numerous amendments onto different parts of the structural alteration to the premises without the landlord's consent If a tenant refuses to vacate the property after the tenancy agreement expires, the landlord should apply for possession from the Lands Tribunal (if the outstanding rent is below HK$1,000,000 (US$129,025)) or other Courts before the tenant can be made to leave. Please refer to “E-package: DIY Residential Tenancy Agreement” for reference. to pay the rent for the remaining term of the tenancy, then they will Most of the domestic tenancies in Hong Kong are regulated by Part IV of the Landlord and Tenant (Consolidation) Ordinance. Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this circular, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this circular. The rate of stamp duty varies with the A potential tenant should always conduct a land search before entering into a tenancy document to verify the identity of the landlord (or his/her representatives). As this exercisable option to renew represents a legal interest in land and affects the principles of notice and competing priority with third parties, the relevant Tenancy Agreement should be registered. This is to say, the complaints by a tenant over the standard/quality/condition of living in the property is unlikely to constitute a sound legal defence to non-payment of rent. Upon the issue of the Writ of Possession, the court An option to renew confers on the tenant a right to continue to rent the property after the expiry of the current term, i.e. Answer 3: The clause may also contain reference to the terms of the new tenancy document, such as on the same terms as the existing tenancy or a slight increase in payable rent over the renewed term of tenancy. re-entry by the Government). It may run the risk of contravening various laws, regulations or other legal obligations such as the Government Lease, Building Regulations, Fire Regulations and/or the Deed of Mutual Covenant which may attract civil or even criminal liability. Very often, it is even more unclear as to the following matters which frequently arose in disputes between landlords and tenants regarding the treatment of the deposit:-. the tenant fails to pay rent or the landlord illegally re-enters the property). It is also common to find in a tenancy document that the tenant's obligations for repair and maintenance are limited by the phrase "fair wear and tear excepted". Hong Kong Accommodation; New tenancy agreement for tenant; New tenancy agreement for tenant. This is reasonable because the landlord, not being in occupation of the properties, cannot be expected to remedy defects or problems of which they are not aware of or not having any control over. An owner may also check from the Government Lease (including any conditions of grant), the Occupation Permit (issued by the Buildings Department), the Approved Building Plans (by the Buildings Department) and/or the Outline Zoning Plan (from the Town Planning Board) to ascertain the permitted use(s) of the property as under the law. This excuses the tenant from damage arising from the passing of time and the ordinary and reasonable use of the property. refuse the landlord's request for viewing or inspection. As the relevant legal procedures are complicated both procedurally and evidentially, it is strongly recommended to obtain lawyer's assistance in such regard. To prohibit a tenant from sub-letting, it is necessary for a tenancy document to provide for an express clause that prohibits the tenant from subletting the property (or any part of it) to another party. Notice of New Letting or Renewal Agreement. Tenant shall have the right to terminate it by giving not less than party (who has breached the Tenancy Agreement or Lease) in Court. This is to … Irrespective of parties’ rights and obligations as agreed, the landlord may also volunteer to carry out repairs and maintenance works out of goodwill and preservation of relationship with tenant. In usual circumstances, both the landlord and the tenant cannot terminate the tenancy before its expiration unless either of them has breached the vital terms of the agreement (e.g. notice is received by the Landlord at least two months prior to the they commit themselves to any amendment. In the event the tenant finds himself/herself facing with a deed of mutual covenant which is silent on the issue of nuisance, another option is probably to sue the singing neighbour under the law of nuisance by obtaining an injunctive relief as well as monetary compensation for the disturbances caused. eTax website to access online registration and stamp duty payment. Supposing that an existing tenancy is about to expire, the landlord and the tenant can commence negotiation on whether to renew the tenancy. recover outstanding rent. No law specifies whether the landlord or the tenant should pay the stamp duty. This is commonly known as “relief against forfeiture”. the terms of the expired Tenancy Agreement continue to bind the parties? When the claim for possession is heard before the Court, the Court has a discretion in deciding whether or not to grant ‘relief against forfeiture’ in favor of a tenant under section 58 of the Conveyancing and Property Ordinance (Cap. ... (of the Laws of Hong Kong). To demonstrate the concept of “interest in land”, it is worth noting that there is no interest in land in the external walls of a building because a wall, being a vertical surface, is not land. There are 3 Tenants may request a break clause to terminate the lease early. It means that the tenant is given the right to possess the land during the terms of the tenancy (subject to other restrictive covenants on use). can do so at any time after paying a fee of $310. Required fields are marked *. If there is a breach of this condition, for example conducting business activities at a property designated for residential use, then the government is entitled to re-enter and take back the possession of the property as its own. Therefore, the question should be: why is it that some tenancy documents should be registered with the Land Registry? You can calculate the stamp duty For more details regarding the Certificate, please contact the Rating and Valuation Department at 21520111 or 21508229. Therefore, Who shall be responsible for payment of rates,government rent, management fees and/or other charges; Whether the tenant shall open and/or maintain an account with the utility/service company themselves for the unit (e.g. of the properties, then they may make their claim for rent arrears at one visit the Housing Authority and the Housing Department's webpage. Therefore, even though it may be the tenant who is in breach of the Government Lease and the deed of mutual covenant, the landlord can still be liable to legal action by the management company, the incorporated owners (if any) or the other unit owners of the building. If the tenancy document does not contain a clause that restrains a tenant from subletting, then the mere act of subletting of the unit (or part of it) to another person, even without the landlord’s consent, may not be illegal per se (subject to whether the tenant’s sub-letting has contravened any government regulations as explained above). - the District Court

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