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Premature termination of the rental agreement by the landlord


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In principle, the lease can be terminated by the landlord or the tenant by giving notice of its agreed expiry. However, there are some exceptions. Under certain conditions, the landlord may terminate the lease early:

Disposal of the rented property and urgent need of the new owner in case of alienation

The purchaser or the new owner can terminate the lease for a residential or commercial property by observing the legal notice period for the next legal term if he claims an urgent need for himself or his relatives.

Time limits and notice period

In Geneva, if this condition is fulfilled, the lease can be terminated with a period of three months to the end of one month. According to a decision of the Federal Court, the period starts to run from the date of the request for registration in the journal of the land register. In the case of compulsory realization, the period starts to run from the date of the auction. If the purchaser misses the first opportunity to terminate the lease for the next legal term, he can only terminate it at the next contractual term.

Definition of alienation

The law equates an alienation with:

  • a sale
  • an exchange
  • a donation
  • legacies
  • the contribution of a building to a company
  • the conclusion of a life annuity
  • a compulsory realisation
  • the lessor grants someone a limited right in rem such as a right of usufruct or a right of habitation

Termination in case of alienation is excluded if: 

  • The lease is entered in the land register
  • The buyer has taken over all the rights and obligations of the seller
  • The possibility of early termination is reserved exclusively for the sale of real estate.The purchase of shares in a real estate company is not considered to be a transfer of real estate
  • In the case of universal succession, the lease cannot be terminated early

Termination in case of lack of diligence and with regard to neighbours

If the tenant persists in violating his duty of care or disregarding the neighbours and the lease has become unbearable for the landlord and the persons living in the house despite a written protest by the landlord, the landlord may terminate the residential or commercial lease with a notice period of 30 days to the end of one month. Other leases can be terminated with immediate effect.

Examples:

  • The lease states that keeping a dog is not allowed and the tenant keeps one or more dogs in the accommodation
  • The tenant uses an office as a workshop
  • The tenant causes damage to the rented property through gross negligence
  • Nuisance to the neighbours due to noisy altercations and aggressive behaviour and non-compliance with the house rules
  • Punishable acts such as insults, threats, assaults against the landlord or residents of the building
  • The tenant refuses the landlord access to the flat without good reason
  • Subletting without the tenant's intention to re-use the flat in the near future

Tenant causes serious damage to the rented property

According to Art. 257 f para. 4 of the Swiss Code of Obligations, the landlord may terminate the lease with immediate effect if the tenant intentionally causes serious damage to the property.

Examples:

  • The tenant wants to commit suicide and opens the gas tap, causing an explosion
  • Alteration of the rented property by the tenant, graffiti
  • Alteration of the construction of the rented object against the will of the landlord
  • Tenant destroys his rented premises

Termination for good cause

Art. 266 g OR: If, for good cause, the performance of the contract becomes intolerable for a party, he may terminate the lease at any time, observing the statutory notice period.

Circumstances that were unforeseeable and unknown at the time of the conclusion of the lease may prompt a party to terminate the lease early for any notice period. The notice period must be respected. Neither party has committed a fault and the performance of the contract becomes intolerable. This extraordinary notice must be justified.

Termination in case of non-payment of rent and incidental costs

In the case of non-payment of arrears for residential or commercial premises, the landlord can threaten the tenant with termination of the lease with a period of 30 days to the end of a month if he does not pay the amount due within 30 days. For other leases, the deadline is 10 days and if payment is not made within the deadline, they can be terminated with immediate effect. If the tenant does not pay the amount due, the landlord can terminate the contract early.

 For further information, read my article and watch the video: Tenant does not pay the rent, termination, expulsion, debt collection

In case of bankruptcy of the tenant

According to Art. 266 h of the Swiss Code of Obligations: In the event of the tenant's bankruptcy, the landlord may set the bankruptcy office a reasonable period of time and demand that security be provided for the rent due. If the securities are not provided within this period, he may terminate the lease with immediate effect.

 

 © Author Esther Lauber, Real Estate Trustee with Advanced Federal Diploma of Professional Education and Training, real estate agent, property broker and manager in Carouge Geneva, Geneva, speaks German, French and English
Translated  with DeepL and correction by Esther Lauber. In case of doubt, the French version applies to translations.

 

More information that may be of interest to you:

Lease and termination of lease for a familly dwelling
Noisy or disrespectful tenant towards neighbours, what to do?
Tenant does not pay rent, termination, expulsion, debt collection
Termination of the commercial lease