In Cyprus, rental disputes can be brought either before the Rental Tribunal or the District Court. Determining the jurisdiction is a complex legal matter and the factors which must be considered are both legal and factual. Hereinbelow, we will examine the relevant factors:
- Location of the property in question
The Rent Control Law applies to certain geographic areas (mainly urban areas) and it is important to determine whether the property in question is situated in an area governed by the Rent Control Law.
- Year of the completion of the property in question
The Rent Control Law applies to properties which were completed until the 31st of December 1999. Hence properties completed thereafter fall outside of its scope.
- Whether the property in question was rented or available for renting on or before the 31st of December 1999.
If the property in question was not available for renting on or before the 31st of December 1999, then the Rent Control Laws will not apply.
- Permanent residence or country of the seat of the Tenant
The Rent Control Law provides inter alia that a “tenant” is a natural or legal person which usually resides or has its seat in Cyprus. This applies to all the EU citizens as well. Therefore, if a tenant is not an EU citizen or in the case of a legal person, if the Shareholder or the Ultimate Beneficial Owner is not an EU citizen, then the dispute in question will not fall withing the scope of the Rent Control Law.
- Provisions of the tenancy agreement and actual circumstances
It is important to examine whether there is a valid tenancy agreement between the parties. Then, one must ascertain whether the contractual tenancy has expired or the tenancy agreement was terminated properly or if it is still in full force and effect. Where a contractual tenancy expires or a tenancy agreement was terminated and the tenant continues to use the property, the tenancy continues as a statutory tenancy. In such a case, if the property does not fall within the scope of the Rent Control Laws, the tenant is not considered as a “statutory tenant”.
It is of outmost importance to clarify that where the Rent Control Law applies, eviction is only permitted in circumstances specified in the law and not for any circumstance which amounts to a breach of contract.
The above is given purely for information purposes, it does not constitute legal advise and it is not intended to be used as such.
