Case024: court acknowledged the validity of cancellation based on 3 months’ non-payment

C O N T E N T S

Judgement of the Tokyo District Court on June 8, 2011 (Case Number: 2010-WA-45802)

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

Mizuho Trust & Banking Co., Ltd. owned the building. They lent the building to MCR-9 LLC and they subleased it to the tenant. The owner (plaintiff) bought the building. MCR-9 LLC noticed the tenant that the position of the sub lender would be changed to Tokyu Community Corp. and required agreement. However, there is no evidence of agreement by the tenant.
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 two months or more.
There was also a special clause providing that residents could keep pets in the building.
When the tenant did not pay the rent for three months, the owner, MCR-9 LLC (former sub lessor) and Tokyu Community Corp. (new sub lessor) under joint signature demanded to pay unpaid rent within 14 days, and manifested conditional intention to cancel the contract if the tenant did not pay them within the period.
As the tenant did not pay the unpaid rent, the owner demanded eviction based on cancellation of the lease contract.
The tenant argued that there was a nuisance caused by dogs of other residents; a dog barked at them, a dog barked in the midnight and they could not sleep, etc.
The court denied the tenant’s allegations because the nuisance by other resident’s dogs was minor and the lender coped with the matter to some extent; and acknowledged that the lease contract was validly cancelled based on three months’ non-payment of the rent.

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

01/16/2022

01/16/2022