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Lease duration, options & termination

Lease Extension Option

A tenant's right to extend their rental contract for an additional period under equivalent terms, even without landlord approval.

Section 12 of the Fair Rental Law automatically grants tenants the right to extend their lease for one additional year under the same or similar terms as the original agreement. This right applies even if the contract fails to mention an extension option, and any lease provision explicitly stating 'no option' is legally void.

Tenants must formally notify their landlord of their intention to exercise the option between 90 and 120 days before the original lease ends. Missing this timeframe causes the option to lapse. Landlords may adjust the rent during the extension period, but increases must follow the Consumer Price Index rather than arbitrary decisions.

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The information in this glossary is for general informational purposes only and does not constitute legal advice. In the event of a dispute or a specific legal question, consult an attorney specializing in tenancy law.

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