Lessee's Rights
Leasehold
- A lessee holds a right to use the leased house and profit therefrom (i.e., leasehold) through a lease contract (Article 618 of the Civil Act).
Registration assistance for lessees
- Unless otherwise agreed, the lessee can request the lessor to assist in registering the lease (Article 621(1) of the Civil Act and Article 3-4 of the Housing Lease Protection Act).
Rent reduction for lessees
- If the stipulated rent or deposit becomes unreasonable due to an increase in taxes, public utility charges, and other charges on the leased house, or a change in economic circumstances during the term of a lease contract, the lessee may demand any decrease thereof prospectively (Former part of Article 7(1) of the Housing Lease Protection Act).
- If part of the leased house has become unusable, or has become impossible to take profit from, due to loss or any other cause other than the fault of the lessee, the lessee may demand a reduction of the rent in proportion to the part which has been lost. In such cases, if the remaining part of the leased house is insufficient to fulfill the lessee's purpose, the lessee may rescind the contract (Article 627 of the Civil Act).
Accessory purchase or removal by lessee
- Upon lease termination, the lessee may request that the lessor purchase the accessories attached to the leased house, if any, for his/her benefit with the lessor's consent. In addition, the lessee may demand that the lessor purchase back the accessories that he/she purchased from the lessor (Article 646 of the Civil Act).
- If the lessee does not want the lessor to purchase the accessories, he/she may remove such accessories before returning the leased house to the lessor (Articles 654 and 615 of the Civil Act).
Reimbursement to lessees for necessary expenses
-Upon incurring necessary expenses to maintain the leased house, the lessee can seek reimbursement from the lessor (Article 626(1) of the Civil Act).
※ A "necessary expense" refers to the cost of preserving and maintaining a leased house in a condition suitable for its use and profit by the lessee (Articles 203(1) and 618 of the Civil Act).
Reimbursement to lessees for useful expenses
- If the useful expenses made by the lessee apparently resulted in increasing the price of the leased house, the lessee can seek reimbursement of the useful expense or the resultant profits from the lessor upon lease termination (Article 626(2) of the Civil Act).
※ An "useful expense" refers to the cost spent to increase a property's objective values (Article 203(2) of the Civil Act and Supreme Court's Decision dated August 27, 1991, Case No. 91Da 15591 and Cross Action 15607).
Lessee's Obligations
Rent payment obligation
- The lessee must pay the lessor rent in return for using and profiting from the leased house (Article 618 of the Civil Act).
Liability for a leased property
- Unless otherwise stipulated in the lease contract, the lessee must use and profit from the leased house only as specified according to the nature thereof (Articles 610(1) and 654 of the Civil Act).
- According to the due diligence, the lessee must maintain the leased house in good condition during the term of contract (Article 374 of the Civil Act).
- The lessee must notify the lessor when the leased house needs repairs or a third party claims a right thereto (Article 634 of the Civil Act).
- The lessee, in principle, cannot object to the lessor's necessary actions for preserving the leased house. However, the lessee can request cacellation of the least contract if such actions are against his/her wills and prevent the lessee from fulfilling their lease purposes (Articles 624 and 625 of the Civil Act).
Principle of restitutio in integrum
- Upon termination of the lease, the lessee must return the leased house to the lessor in its original condition (Articles 615 and 654 of the Civil Act).