Case017: court acknowledged the validity of cancellation based on 2 months’ non-payment

Summary

  • Tokyo District Court acknowledged the validity of cancellation of building lease contract based on 2 months’ non-payment.

Parties of the Case

  • Sekisui House Real Estate Tokyo, Ltd. (the then company name was Sekiwa Real Estate, Ltd.) (lender) vs. Cube Co., Ltd. (tenant) and its representative director (occupant)

Claims

  • Claim to surrender a room based on cancellation of lease contract

Location and Purpose of Use of the Building

  • a room for dwelling in Tokyo

Rent

  • 144,000 yen per month

Common Service Expense

  • 8,000 yen per month

Circumstances

  • In the lease contract, there was a special clause providing that the lender can cancel the contract without any demand if the tenant fails to pay the rent for more than one month.
  • When the tenant did not pay the two-months’ rent, the lender cancelled the contract because of two months’ arrearage.
  • The tenant argued that the relationship of mutual trust between the lender and the tenant had not been dissolved because the amount of unpaid rent was not large.
  • The court denied the tenant’s allegations because the tenant delayed payment of the rent frequently up to 4 months and acknowledged that the lease contract was validly cancelled based on two months’ non-payment of the rent.

Comment

  • This is one of the cases of eviction that cancellation of building lease contract based on two months’ non-payment was acknowledged.