Government measures in key jurisdictions 5th edition - Flipbook - Page 108
Portugal
Prohibition of termination of lease contracts by the landlords due to the mandatory
closure of establishments and facilities: mandatory closure of establishments and
Have any changes facilities and suspension measures determined by the Portuguese Government cannot
be invoked as grounds for the termination, early break or other forms of terminating lease
been made to
contracts for non-residential purposes or other atypical forms of occupational
the laws around
property, rent and agreements regarding real property, nor as grounds for the eviction from the properties
where such establishments or facilities are installed. The Portuguese Government has
enforcement?
declared the state of emergency on 8 November 2020, by virtue of the increase in the
number of infections and deaths, and in the context thereof approved several measures
similar to the ones implemented in March and April 2020. A new lockdown has been
enforced, with the closure of business establishments, facilities and services (except
those providing essential goods and services; and in case of restaurants and similar
establishments, whose activity is limited to take-away and home delivery services) and
the imposition of telework regime.
Property
Suspension of termination of lease contracts and evictions:
•
The duration of lease contracts (residential or non-residential) that would
normally expire before 30 June 2021 is extended until such date (except if the
tenant agrees to the expiry of the lease at an earlier date).
•
The effects of all notices for termination, revocation or opposition to
renewal/extension already served by the landlord are suspended until
30 June 2021.
•
Eviction proceedings (either judicial or
otherwise) are suspended until the termination of the exceptional measures, in
the cases where, as a consequence of a potential final eviction
decision, the tenant could be put in a “vulnerable situation due to the lack of a
place for permanent residence or to another overriding social reason”.
•
The obligation of the tenant to return the premises to the landlord following the
termination of the lease is also suspended until 30 June 2021.
Deferral on payment of rents: eligible tenants will be bound to pay the deferred rental
payments in monthly instalments (which shall accrue to the monthly rents due
and payable in the same period), with no interest or penalties and landlords shall not
be entitled to terminate leases or evict tenants for default on the payment of rents
during the deferment period. These measures will apply to
standard lease agreements (residential and non-residential)
and other atypical forms of occupational agreements regarding real property
and limited to the following tenants:
•
Certain residential tenants whose household income has been reduced as a result
of the Covid-19 outbreak (they shall prove that they have suffered a decrease of
more than 20% in their household income, as compared to February 2020, the
preceding month or the equivalent period of the
previous year; and that the payable rent represents an effort rate above 30% of the
reduced monthly household income);
•
Retailers and services open to the public who have been forced to shut down or to
suspend activity as a result of the state of emergency, or by any other legal or
administrative order (including if they keep trading online or through distance
sales); and
•
Restaurants and similar establishments (even if they keep operating for take-away
services or home delivery).
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Government measures in key jurisdictions
