Judgment: Termination due to older rent arrears was lawful

In a recent ruling, the Federal Court of Justice decided that landlords may terminate a lease without notice even due to older rent arrears. According to the ruling, the right to terminate does not have to be exercised immediately after the grounds for termination arise (Case No. VIII ZR 296/15).

In this case, the landlord, a Catholic parish, demanded the tenant vacate the apartment after two months' rent remained unpaid despite reminders. The tenant did not accept the immediate termination of the lease and pointed to the seven-month period that had elapsed between the payment default and the termination.

However, the Federal Court of Justice has now ruled in favor of the landlord. A termination without notice due to rent arrears is not subject to any time limits and is therefore valid.