English

Under the contract of  lease (property rent) the lessor undertakes to give to the tenant (lessee) property (premises) in temporary possession and use or in temporary use in  return a rental payment. The ground areas and other isolated natural objects, the enterprises and other property complexes, buildings, constructions, the equipment, vehicles and other things which do not lose its natural properties during their use (inconsumable things) can be granted on lease.

In the lease contract the leased property should be specified. In the absence of specification in the contract, the lease provisions of the property are considered to be not agreed by the parties, and the lease contract not signed.

The lease contract for longer than a year, and irrespective of the time period if one of the parties is a legal person, should be signed in writing.

The lease contract, providing future transferring of the possession rights to the lessee, should be signed in the form of the sale and purchase of said property stipulated by this form.

The lease contract is signed for the period of time stipulated by the contract. If the lease period of time is not specified in the contract, the lease contract is considered to be signed for indefinite period of time.

In this case each party has the right to terminate the contract any time, with one month notice, and in case of premises lease with three months notice. By the law or by  the contract, signed for indefinite time, other time of termination warning can be determined. The maximal time limit of the contract for particular type of rent, and also for the rent of particular types of property can be determined by the law. In these cases, if the time limit of rent is not determined  in the contract, and none of the parties cancels the contract before the expiry of the time limit determined by the law, the contract terminates on the expiry of the time limit.

The lessor undertakes to give to the lessee the property in a condition pursuant to the lease provisions and intended purpose of the property. The property is granted on lease with all relevant accessories and documents (registration certificate, the quality certificate, etc.), unless other provisions are stipulated by the contract.

The lessor is responsible for defects, fully or  partly blocking the use of the leased property,  in spite of not knowing about the defects at the moment of signing the lease contract.
            Should the defects be found, the lessee has the right of his own choice:

 to demand from the lessor either gratuitous elimination of the defects or proportional reduction of a rent, or compensation of the charges on elimination of the defects of the property;

to directly deduct the charges on elimination of said defects from a rent payment, having preliminary notified the lessor;

to demand early termination of the contract.

The lease can not be a reason for the termination or changing the rights of the third parties on this property.

By signing of the lease contract the lessor undertakes to inform the lessee about all rights of the third parties on the leased property (servitude, the right of mortgage, etc.). Failure of the lessor to comply with requirements mentioned above gives the lessee the right to demand the reduction of the rent payment or termination of the contract and reimbursement of the expenses.

The lessee is obliged to pay the rent in due time.

The order, conditions and time of a rent payment are determined by the lease contract. In case they are not determined by the contract,  they are considered as regular order, conditions and time applied to similar property at similar circumstance. The rent payment is determined either for all leased property as a whole or separately for each component in the form of:

1) the fixed payment, paid periodically or flat;

2) the fixed share received as a result of use of the rented property, products, fruits or incomes;

3) certain services offered by the lessee;

4) the specified in the contract object granted by the lessee to the lessor for possession or lease;

5) the specified in the contract expenses ought to be made by the lessee on improving the leased property.

The parties can specify in the lease contract a combination of the rent payment forms mentioned above or other forms of rent payment.

In case of untimely payment by the lessee, the lessor has the right to demand early payment in stipulated by the lessor time, unless other provisions are stipulated by the rent contract. Then the lessor does not have the right to demand early payment more than two time periods ahead.

The lessee is obliged to use the rented property according to the rent contract provisions and, if such conditions are not specified, according to the intended purpose of the property.

The lessee with consent of the lessor has the right to sublease the leased property (sublease) and to give the rights and duties under the lease contract to another person (sublease), to give the leased property in gratuitous use, and also to pawn the rent rights and to contribute them in the authorized capital of economic partnerships and associations or to share in production co-operative, unless other provisions are specified by the present Code, other law or other legal statements. In the cases mentioned above, except for sublease, the lessee remains responsible to the lessor.

The contract of sublease cannot be signed for the period of time, exceeding the one provided by the lease contract.

The sublease rules are the same as the lease ones, unless other provisions are specified by the law or other legal statements.

 In case of the lessee’s failure to use the leased property according to the contract provisions or intended purpose of property, the lessor has the right to demand early termination of the contract and the indemnification.

 At the lessor’s request the rent contract can be terminated by the court earlier if the lessee:

1) uses property with considerable or repeated breach of the contract provisions or intended purposes of the property;

2) considerably damages property;

3) more than two times successively does not pay a rent  on the expiry of the payment date, specified by the contract;

4) does not perform major repairs of the property within stipulated by the lease contract period of time, and, if it is not stipulated in the contract, within reasonable period of time, unless,  according to the law or to other legal statements or to the contract, the performance of major repairs is under the lessee’s responsibility. 

The lessor only has a right to demand early termination of the contract after sending a notice to the lessee reminding him about discharging his duty in reasonable period of time .

 At the lessee’s request the rent contract can be terminated by the court if the lessor:

1) does not allow the lessee to use the property or creates obstacles for using the property according to contract provisions or intended property purpose;

2) the leased property has defects  blocking its use, which are not mentioned by the lessor in the contract, are unknown to the lessee and are not supposed to be found by the lessee during the survey of the property or checking its serviceability at the moment of signing of the contract;

3) the lessor, being responsible, does not perform major repairs of property in stipulated by the contract time, or at reasonable time in case that the time is not stipulated in the contract;

4) the property by the reasons beyond the lessee’s  responsibility, is in the condition unfit for use.

Unless other provisions are stipulated by the law or the lease contract, and the lessee follows the due contract provisions properly, provided other things being equal on the contract expiry, the latter has the primary right on signing a new rent contract for a new period of time. The lessee is obliged to notify the lessor in written about his intention to sign a new contract in time, stipulated in the rent contract or in reasonable time before the contract expiry if the time limit is not stipulated in the contract.

At the signing of a new contract the provisions can be changed under the agreement of the parties.

If the lessor refuses  signing a new contract with the lessee, but within a year after expiry of the contract  signs a contract with another person, the lessee has the right to require at the court transferring  to him the rights and duties under the signed contract and the indemnification, caused by refusal to renew the lease contract, or only require compensation of such losses.

2. If the lessee continues using the property after expiry of the contract in the absence of objections from the lessor, the contract is considered to be renewed on the same conditions for indefinite period of time.

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