Extension of a residential lease agreement

General concepts

Today, the use of written contracts must necessarily be carried out within the framework of special legal norms. But it should be noted that the process of drawing up such documents itself has a number of subtleties and features. It is best to disassemble all of them in advance, in order to avoid a variety of difficult and problematic issues.

Dear readers! The article talks about typical ways to resolve legal issues, but each case is individual. If you want to find out how to solve your particular problem , contact a consultant:

8 (800) 700 95 53

APPLICATIONS AND CALLS ARE ACCEPTED 24/7 and 7 days a week.

It's fast and FREE !

Often there is a refusal to recognize a transaction as valid precisely because there are errors in the documents drawn up.

There is a special legal norm that specifies the regime for generating documentation. You need to familiarize yourself with all the subtleties. If difficulties arise, it is best to get advice from a qualified lawyer.

This will avoid many complications and difficulties. It is important to note that most of the litigation arises precisely because of the banal legal illiteracy of the population.

What it is

All types of contracts are divided into two main types:

1. Indefinite.
2. Urgent.

By open-ended we mean a contract that is renewed automatically and does not have any time limit regarding the validity period. Therefore, there is no need to extend them. However, there are many different features associated with the design of such perpetual ones.

A separate category are fixed-term contracts. They imply the finiteness of their use - this concerns the boundaries of time. At the moment, different validity periods may be set. From several days to several decades. Moreover, the need for state registration of such (registration with a validity period of more than 12 months) depends on this.

It is important to note that it is often necessary to continue the relationship between the parties as before, until the expiration of the validity period. In this case, you should carefully read a document such as an agreement on extension of validity. Its main purpose is to leave the already concluded agreement valid in the form in which it exists.

A sample additional agreement on extending the term of the contract is available.

The main feature of an additional document, like all others, is the presence of a cancellation effect regarding the conditions reflected in the original contract. The main regulatory document that determines the issue of drafting is the Civil Code of the Russian Federation and some other NAPs (regulatory legal documents).

It is important to draw up an agreement within this framework. Otherwise, there is a high probability of various difficulties arising.

Between whom is it concluded?

This type of agreement may be between:

• individuals;
• legal entities;
• individuals and legal entities, as well as their legal representatives.

It is important to remember that signing an agreement and accepting all the conditions reflected in it can only be carried out if there is authority. Moreover, in the case of an individual, he must be legally competent and an adult. Otherwise, the additional one will be considered invalid.

Most often, all kinds of documents are formed, including between legal entities. It is important to note that this happens most often. And it is necessary to carry out the process of extending the validity of documents quite often.

For example, this may apply to rent. In this case, the legal representative of the legal entity must submit all documents confirming his authority.

Sometimes a citizen or an individual for some reason does not have the opportunity to independently carry out the process of representing their interests. In this case, the way out of the situation, its solution, will be to issue a notarized power of attorney.

The cost may vary. In addition, other documents may be required. Everything depends primarily on the format of the contract that needs to be extended.

The state is a separate category - it can also act as one of the parties. At the moment, it will be possible to use government support in various areas. In turn, the state quite often leases land or takes private property for temporary use. The corresponding type may also need to be renewed.

Municipal authorities often work with the provision of land and real estate for temporary use. The situation is similar with vehicles. If for some reason it is not possible to figure out the drafting process on your own, then contacting a good lawyer may be the solution.

For example, in Moscow the following have proven themselves to be positive:

An additional agreement to extend the term of a lease agreement or any other similar document is drawn up relatively quickly and simply. However, there are a number of nuances, knowledge of which is strictly necessary. You will need to familiarize yourself with all of them carefully and in advance. This will allow you to avoid invalidation of the document and other problems.

Automatic contract extension

In this case, the extension of its validity is considered to be an increase in the period during which counterparties continue to fulfill their obligations. In this case, the extension is expressed in changes to the procurement schedules and payment procedures.

Please note: Contractors have the right to independently determine for what period they want to extend their working relationship.

However, for certain types of obligations, the legislator determines the maximum period for which the agreement can be extended. The Civil Code of the Russian Federation stipulates that the limitation of contract extension can be applied, for example, to rental transactions. The lease agreement can be extended for a maximum of 5 years.

After this period, in any case, a new agreement will need to be signed. This also applies to employment agreements that are concluded for a fixed period. Please note The term “extension” itself is not used in the Civil Code of the Russian Federation, however, it is an identical concept that has legal force and is used by lawyers, notaries, and judges in their daily work.

Extension of an agreement can be expressed as follows: the counterparties enter into a new agreement.

Features of compilation

The procedure for drawing up a document has subtleties. It is best, of course, to familiarize yourself with the legislative norms in advance.

The most important points that will need to be clarified in advance:

1. When required.
2. Contents of the document.
3. Deadlines.
4. Design nuances.
5. What is regulated?

When required

A standard list of situations has been established when an additional document will be required.

It includes the following:

• if there is an expiration date;
• circumstances have arisen related to the need to change the terms of a specific contract;
• other.

For example, the name of a legal entity may change, it may be liquidated, or the composition of the founders has simply changed. In this case, the details also change. The contract automatically becomes invalid; it will need to be amended in advance by drawing up an additional agreement.

Contents of the document

The document does not have a rigidly fixed, established format. That is why you need to familiarize yourself with all the points that are present in it in advance.

For 2020, the following sections must be reflected:

• the name of this document;
• place of compilation (city);
• date of registration;
• details of the parties to the agreement;
• the clauses of the terms of the agreement to which any amendments need to be made are indicated;
• Stamps are affixed, as well as signatures with a transcript.

A sample additional agreement to extend the contract can be easily downloaded on the Internet. Formation according to a correctly compiled sample will allow you to avoid making the most common mistakes. This will avoid many difficulties, as well as the recognition of a specific agreement as simply invalid.

Deadlines

It is important to note that an additional agreement, like the main agreement, can be of two types - fixed-term and indefinite. Limited period of validity or, on the contrary, unlimited.

This point must be taken into account. Since there are often nuances and difficulties associated with the preparation of additional documents. In fact, the drafter and the parties have the right to independently determine the validity period.

Video: when to renew

Design nuances

Main design details:

1. Accurate, up-to-date data must be provided.
2. It is not allowed to include information that contradicts legislation.
3. In the event of a violation of rights, the party should try to resolve the matter amicably.

You should go to court only as a last resort. Since litigation always takes a lot of time and costs money.

Extension of the lease agreement

If the parties entered into a lease agreement for a certain period, that is, they indicated a specific date for the end of the legal relationship, then upon the arrival of the specified period it is necessary to decide whether to renew the lease or not. The question also needs to be resolved: is it necessary to conclude an additional agreement and does it need to be registered with Rosreestr? We will talk about all the nuances of the procedure for prolonging a lease agreement further. What is it? Lease renewal refers to the procedure for extending a lease agreement after its expiration. For example, counterparties entered into an agreement for a period of 6 months. After the specified period has passed, they have no mutual claims and decide to continue cooperation. And here a reasonable question arises, what to do - conclude an additional agreement.

Smolny is adjusting the layout of non-stationary retail facilities

1278

Maria Tirskaya, Lilia Agarkova

KUGI interprets changes in federal legislation in such a way that new lease agreements can only be concluded with auction winners. The former tenant must participate in them on general terms, and before that, vacate the site, that is, demolish his buildings and even dig up communications. For more than 8 thousand city tenants who have contracts for the placement of non-stationary retail facilities (NTO), this threatens them with losses from forced downtime or even loss of business, and the city with a shortfall in rental payments. As of the beginning of the year, a total of 24.9 thousand lease agreements for land plots with a total area of ​​228.8 million m2 were concluded with KUGI.

Sample wording of a renewal agreement for beginners

Agreements accompany our lives constantly. They exist at work - in the form of contracts, outside working hours, for example, when concluding MTPL transactions and in many other areas. Extension of the contract wording in the contract, we will provide a sample below. It is necessary to indicate the moment of extension or its absence, otherwise there may be unpleasant legal consequences.

What is extension?

In general, prolongation refers to changing the duration of any agreement for a certain period after the expiration of its validity period. Often this is 1 year, although sometimes it can be longer. It is used for contracts, the obligations under which were not fulfilled earlier.

Another case when prolongation is practiced is the actions of the parties that are of a regular nature, that is, constantly repeated. Examples of such agreements are:

In such cases, concluding a new agreement is irrational. All that is needed is to change several clauses of an existing agreement, that is, to introduce additional conditions (clauses).

Important! Regardless of the type of agreement that is subject to renewal, it is important that the procedure itself is described in the initial agreement. And clearly and unambiguously.

There is a practice of deliberately not specifying the duration of the contract. This is considered a legal action, and mutual obligations are completed after the parties fulfill the agreed conditions.

They are often used in contracts for the supply of goods, performance of services, and loan repayment. Difficulties will arise if one of the parties fails to fulfill its obligations.

If the agreement does not specify the deadlines for completion, as well as the period of validity of the transaction, there is actually nothing to sue.

Consequences of ignoring extension

Often the necessary attention is not paid to contract renewal. This can lead to serious financial losses. A fairly simple but striking example. There is an agreement between the two companies regarding the supply of products.

This action does not occur on time: the supplier transfers the goods after the expiration of its validity period, the moment of extension was intentionally or accidentally missed.

The buyer does not pay the cost of delivery; naturally, a lawsuit follows to recover the amount and penalties for the delay, but the court refuses. This court decision is legal, the following arguments are in its favor:

• the agreement has expired, the terms for payment specified in it have no legal force. That is, in fact, the recipient of the consignment of goods may never pay at all;
• the provisions of the contract regarding penalties and damages are no longer valid, that is, it is not possible to recover anything.

Advice! In order to avoid such problems, even taking into account the above situation, the supplier should have sent the buyer requirements for payment for the goods before delivery.

What does the law say?

The first main normative act that regulates contractual relationships is the Civil Code of the Russian Federation. It contains a clause that states that the extension is drawn up in the same way as the conclusion of the main agreement.

For example, you need an extension of a transaction certified by a notary; to renew it, you will have to contact a lawyer again.

One of the main ones is Article 425, which states that the parties undertake to fulfill the terms of the contract until all obligations are fulfilled.

If the extension concerns labor relations, then the norms and rules of this process are described in the Labor Code.

Another regulatory act, Federal Law 223, regulates the specifics of relationships between legal entities in the field of procurement of goods, services, and works. Article 44 of the Federal Law affects the extension of transactions that relate to government procurement.

Extension of the contract: registration, wording in the contract (samples)

Before formulating a renewal clause, you should find out what legal methods exist for implementing this process.

Additional agreement

The first and most convenient is an additional agreement. Its terms remain unchanged, but the clause regarding the validity period changes. That is, if the agreement was concluded in 2020, then at the end of its expiration an additional agreement should be signed extending its validity for another year.

Document structure:

• name “additional agreement”, indicate the number of the agreement to which it is drawn up. The validity period and the date of its preparation are indicated;
• main part: it specifies the parties who take part in the conclusion of the addendum. agreements, persons responsible for this process;
• further, the validity period of the new contract, that is, the period of its extension, is given;
• possibly a description of the start date;
• it is important to indicate that the remaining clauses of the transaction remain in force;
• details of the parties.

An additional agreement is drawn up in two identical copies.

A similar structure can be used for any type of agreement in any area. If it is necessary to change some conditions, then these points are also described in the addendum. agreement.

Important! New conditions and validity period should not conflict with other clauses of the agreement executed earlier.

Extension without additional agreement

This option is often used, especially when it comes to certain contractual relationships that involve the performance of a particular action. In this case, the language describes the extension of the validity period in the absence of such.

This means that the parties or one of the parties did not express a desire to terminate the agreement. Such documents also indicate the period for carrying out such actions. Often this is 10-14 days.

If at this time the party does not express a desire to terminate the contract, then it is extended for the previously agreed period.

Automatic renewal

Most of these options relate to the extension of deposit agreements. That is, the period within which a person must apply for his contribution is indicated. If this does not happen, the agreement is considered automatically extended.

Often such issues relate to residential rental agreements, especially short-term ones of up to 1 year. In the case of rental relationships, the absence of a renewal clause risks the landlord being able to evict his tenants at any time after the expiration of the lease.

Important! Basically, automatic extension does not apply to loan agreements, since the repayment period and schedule are clearly described here.

Special conditions

The agreement may contain a clause regarding a renewal notification letter, which is sent by one of the parties. It is often written in the form of an offer to renew the agreement. It is not necessary to respond to such a letter, that is, if there is no refusal, the contract is considered automatically extended. The text might look something like this:

Of course, it needs to indicate the sender’s details, the date of compilation, and put a signature.

There are also features regarding the number of extensions. First of all, there is a legislative restriction on rental relations. Thus, the Civil Code of the Russian Federation states that the use of an apartment (room) may not last longer than 5 years, that is, if it is concluded for 1 year, then it can be extended no more than 5 times. Next comes the signing of a new agreement.

Conclusion

The wording of the contract extension must be clear and unambiguous. Each party must understand what is implied and for what period the contract will be extended. To avoid misunderstandings by both parties, it is necessary to sign the document on time, otherwise it will be difficult to prove anything.

Source: https://StranaZakonov.com/dokumenty/obrazets-formulirovki-dogovora-prolongatsii-dlya-novichkov

Conditions for the extension of the lease agreement, which may be specified in its text

A way to extend the period of validity of a short-term (i.e. concluded for a period of up to a year) contract is to include a prolongation clause in it. This condition assumes that if, before the end of the contract, neither party announces a desire to terminate it, the contract is considered extended under the same conditions and for the same period.

A transaction concluded for a period of up to a year, in accordance with Article 674 of the Civil Code of the Russian Federation, does not require registration of encumbrances. Meanwhile, when extending the contract using the method under consideration, the total time period of the contract will obviously exceed a year. What to do with registering an encumbrance under a lease agreement?

In fact, upon expiration of the initially agreed term of the contract, a new contract concluded on the same terms comes into force between the parties. Accordingly, if the automatic extension period is less than a year, registration of encumbrances is not required. In practice, some participants in civil law relations prefer not to take risks and simply renew the lease agreement for a new term, although you can do otherwise, simply without taking any action.

ConsultantPlus has many ready-made solutions, including how to renew an apartment rental agreement. If you don't have access to the system yet, you can sign up for a free trial online! You can also get the current K+ price list.

Extension of the social lease agreement

The legislation regulating legal relations regarding social rental housing does not contain any other means of extending the transaction other than renewing the contract for a new term (Article 91.9 of the Housing Code of the Russian Federation). The main condition in this case is the employer’s compliance with the criteria (clause 1 of Article 91.3 of the RF Housing Code), which allows the execution of such transactions.

If, at the end of the contract, the tenant ceases to comply with the conditions established by law, it is also possible to re-sign with him in the absence of third parties who have the right to formalize the transaction in question. In this case, the rental agreement is drawn up for 1 year.