The cost of moving and other expenses included in the process can bring about m. Most standard tenancy agreements last for 2 years. In the absence of a relevant condition in the tenancy agreement, a landlord is given the right under Part V to forfeit a tenancy for non-payment of rent within 15 days of the due date. If there is another person willing to take over the tenancy though, there is a question mark over the enforceability of any prohibition on assignment if no break clause is included. A Tenancy Agreement is generally be referred to a tenancy for a period not exceeding 3 years. In practice, who pays government rates will depend on the terms of the agreement between the owner and occupier of the property. 7 Popular Furniture Shops in Hong Kong other than IKEA, 6 Recommended Moving Companies in Hong Kong, The Pros and Cons of Living in Walk-Up Buildings, 6 items to scrutinize before signing a tenancy agreement, What to do when your landlord is raising rent mid-contract, 3 housing considerations when you employ a domestic helper, Meaning of Chinese New Year Flowers & Fruits, 11 Furniture Worth Buying from IKEA from 2016/2017 catalog. There is no minimum Term for a Term of tenancy in Hong Kong, but nearly all Landlords prefer to rent at the standard two year Lease Term. Typical pre-conditions attached to a break clause include the following: The tenant must have paid all of the rent(s) due under the lease. So, remember to check for a break clause in your tenancy agreement to understand your rights if you or your landlord decides to break your tenancy agreement. You can thank us later. The general term in Hong Kong is for 2 years and subject to negotiations, a 2 or 3 month written notice may be served to the landlord to early terminate the lease if the tenancy contains a “break-clause”. This is to … If there is a repeated instance of non-payment of rent, the Court would decline to grant any relief unless good reason is shown by the defaulting tenant. Since the Housing Act 1996, there has been no minimum term for an assured shorthold tenancy. Required fields are marked *. 341 of the Laws of Hong Kong or any statutory amendment modification or enactment thereof. And if you’re one to browse through government websites to get a firm grasp of your rights, it can be frustrating – the information available is not very helpful because of the industry-speak and legal terminologies they use. It’s too often that tenants get into agreements they do not fully understand. Break clauses. A tenancy agreement may contain a clause that entitles the landlord to forfeit the tenancy (i.e. Notify me of follow-up comments by email. so you can ask the right questions before signing your agreement. Your email address will not be published. Keep a lookout for other conditions of your tenancy agreement which may include a no-pet policy, a no-smoking policy, or a no sub-leasing policy. It is usually not necessary to use the services of a solicitor/lawyer for this. There are quite a few things you need to consider when signing an agreement. But as a court cannot grant a no-fault eviction within the first six months, most fixed terms are at least this length. However I am afraid that it is not compulsory to include a break clause in a tenancy agreement. For example, there are buildings that do not permit tenants to have pets, even if the landlord is indifferent to pet owners or non-pet owners. A tenancy agreement will contain what the landlord and the tenant have agreed to be their rights and duties. Alternatively, a landlord may also accept repudiation and terminate a tenancy agreement upon persistent non-payment of rent of a tenant for many months or there is evidence to suggest that the tenant has absconded/abandoned the property for good. For a tenant who fails to pay rentfully or partially, sometimes the tenancy agreement may contain an express clause which entitles the landlord to terminate (or ‘forfeit’) the tenancy agreement upon any extent of non-payment or late payment of rent. The standard arrangement is for a two-year lease with a two (or three) month "break clause" after twelve (or … While you’re flat-hunting, you’ll eventually encounter walk-ups here in Hong Kong. to terminate the tenancy and to re-enter the property) if the tenant fails to duly pay rent. In such event, the tenancy will become ‘revived’ notwithstanding that this might be against the landlord’s wishes. Browse Hong Kong expatriate forums and navigate threads at AsiaXPAT. Any conditions attached to the break clause are usually found in the tenant's break clause. Consequences of Breach of Tenancy Agreement If the tenant defaults in paying rent but is unable to invoke a force majeure clause or the doctrine of frustration, it would amount to a wrongful repudiation of the tenancy agreement and the landlord would be entitled to claim damages. The parties do not need to send a notice of termination. Termination of tenancies (by non-payment of rent), Landlord and Tenant (Consolidation) Ordinance. Many, if not most, landlords prefer a fixed tenancy agreement. a very long isolation order which covers a substantial period of the lease, it is unlikely that tenants can rely on force majeure or frustration to discharge the tenancy agreement. In case of any disagreements or if one of the parties breaks a clause in the agreement, both the tenant and the landlord have the right to terminate the tenancy early, by agreement. Assuming the landlord has breached the tenancy agreement by wrongfully terminating it (i.e. Frustration. In Hong Kong, it’s illegal to smoke indoors, but, enforcing this law in residences can present challenges unless you’re living in a serviced apartment. 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. However, in common law, certain rights and duties will be implied in a tenancy even if the tenancy agreement does not expressly provide for the same.