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Property Rental Reduction: Clarifications for the compensations from the reduced rents with a new decision of the Ministry of Finance

Clarifications on landlords' compensation for reduced rents are given in a new decision by the Ministry of Finance………

The decision fully clarifies the status for each case and different way of transaction between landlord and tenant.

The decision is signed by Christos Staikouras, Theodoros Skylakakis, Apostle Vesyropoulos, Adonis Georgiades, Kostis Hatzidakis and Giannis Plakiotakis.

S.’ it is clarified, including, the following:

– If the rent has been paid earlier than the month for which partial payment is set, the 40% of rent for which the tenant is released from the obligation to pay is offset in subsequent rent payments. In case of non-existence of subsequent rent payments due to the termination of the employment relationship, the amounts of the exemption are sought as amounts unduly paid.

– If the conditions for non-payment of rent are met, and the rent has been paid earlier than the month for which exemption from payment is established, the 100% of rent for which the tenant is released from the obligation to pay is offset in subsequent rent payments. In case of non-existence of subsequent rent payments due to the termination of the employment relationship, the amounts of the exemption are sought as amounts unduly paid.

– If more employees participate in the employment relationship and the conditions of partial payment of rent, do not apply to all employees, without prejudice to the provisions in the case of a spouse or other party to a cohabitation agreement, the partial payment of rent is calculated proportionally according to the share of the beneficiary tenant.

– If the rent is paid at the end of the lease or at shorter intervals and still longer than the month, his release 40% of the total rent for the foreseen months is calculated proportionally.

– The measure of reduced rents also applies to cases in which use is made beyond the contractual duration of the lease of the property (non-contractual use) and usage fee is paid, in accordance with the existing provisions of the Civil Code.

– In case of concession by the lessee to another of the use of the lease in exchange, and in particular in subletting, the beneficiary of a partial or full exemption may be only the third party to whom the use of the lease is granted (lessor) and in which the conditions of the present are met and not the lessee, without prejudice to the case where the beneficiary is partially or completely exempt from paying rent, in accordance with the provisions hereof, is independently and the tenant for his professional installation. The partial or non-partial payment of the rent to the lessee / sub-lessor, in accordance with the provisions hereof, does not affect the main employment relationship.

– Rent reduction is also applied for a professional lease for which absolutely necessary auxiliary spaces of other properties are used, in which the business activities are carried out. The vehicle parking spaces of the company for the vehicle parking of the executives are considered absolutely necessary auxiliary spaces, when they are in an enclosed space, that is, closed on all sides, from every direction and ef’ as long as this space is listed in declaration E9 as an auxiliary space.

– The rent reduction also applies in the case where landlords are:

a) the General Government Bodies

b) outside it legal entities under public law (NPDD),

c) the Legal Entities under Private Law (Private law organization) belonging to the state or to N.P.D.D.. or OTA. in the sense of achieving a state or public or administrative purpose, supervision, appointment and control of the majority of their Management or are regularly subsidized, according to the applicable provisions, from state resources by fifty percent (50%) at least of their annual budget,

d) outside it public enterprises and organizations of the Capital

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