Changes to the terms of standard tenancy agreements, including that the tenancy deposit cannot be more than two months’ rent, were adopted yesterday, the Consumer Protection Committee said.
To stop landlords from setting unreasonable conditions on tenancy agreements or tenants damaging rented properties, the committee said it has adopted modified tenancy contract items, suggested by the Ministry of the Interior, which came into effect after an official announcement by the ministry.
Committee senior secretary Chen Hsing-hung (陳星宏) said the five main points are: the maximum amount of deposit; specified rates for water, electricity and gas; the responsibility of repairs to a property; mechanisms to avoid termination of tenancy agreement without prior notice; and preventing tax evasion by landlords.
“The landlord cannot set a tenancy deposit higher than two months’ rent,” Chen said, adding that the deposit should be returned to the tenant when the contract has expired or is terminated, or when the house is returned to the landlord.
Water, electricity and gas rates should be clearly stated on the tenancy agreement and in the form of a checklist that clarifies who is responsible for paying the bills, Chen said.
As for the responsibility of repairing damages, the principle is that the landlord should be responsible, but if the damage is clearly caused by the tenant, the landlord is not obligated to pay for the repair.
“If one party wants to terminate the tenancy agreement earlier, it cannot, for example, inform today and move out the next day; they are required to give notice of at least one month,” Chen said.
If one party breaches the contract, the other party can ask for compensation of no more than one month’s rent, he added.
To help prevent tax evasion by landlords, owners cannot ask tenants not to use the property for rental payment declaration and household registration. Neither can landlords force tenants to pay more if property taxes were to rise.
The committee also advised tenants to stamp each page of the tenancy agreement, record conversations or take photographs during the handover of the house and pay the rent by remittance to show evidence that might be useful if disputes occur.
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