Dear PAO,
My friend was named by his cousins as their attorney-in-fact in a
Special Power of Attorney which they have executed relating to their
properties here in the Philippines since they are domiciled abroad. My
friend had the 2,000 square meter lot and the house leased at P2,500 a
month, but there was no written contract. The problem is that the lessee
has not paid the rentals since October 2012 and is even asking my
friend to pay him the amount he spent for the improvements made in the
properties. He warned my friend that a case will be filed against him if
he will not settle the amount. What can my friend do to force the
lessee to leave the properties which are the subject of the lease
agreement?
Pia
Dear Pia,
Both parties in a contract of lease have respective obligations to
fulfill. For one, the lessor is obliged, during the subsistence of the
contract of lease, to make all the necessary repairs to the object of
their contract in order to keep the same suitable for the use to which
it has been devoted, unless there is a stipulation to the contrary
(Article 1654 (2), New Civil Code [NCC]). In so far as the lessee is
concerned, he or she is obliged, among others, to pay the price of the
lease according to the terms stipulated in their contract (Article 1657
(1), NCC).
Should either the lessor or the lessee fail to comply with his or her
obligation, the aggrieved party may ask for the rescission of the
contract of lease and indemnification for damages, or allow the contract
to remain in force but seek for indemnification for damages he has
incurred (Article 1659, NCC). The lessee also has the option of
suspending the payment of his rent if the lessor fails to make the
necessary repairs or to maintain the lessee in peaceful and adequate
enjoyment of the property leased and he may order the costs be
attributable to the lessor if the latter has failed to make urgent
repairs (Article 1658 and Article 1663 (4), NCC).
In the situation that you have presented before us, we cannot
conclude with certainty whether your friend, as the representative of
the owners of the property, is obliged to indemnify the lessee. While it
may be true that certain works have been made by the lessee in the
properties leased, it is not clear to us whether such were in the nature
of necessary repairs. Accordingly, the lessee may not lawfully suspend
the payment of his rent. Neither is there is any showing that such works
were made as part of urgent repairs to the properties. Hence, the
lessee may not order that the same be placed at the cost of the lessor
or his representative.
Since the lessee has failed to comply with his obligation of paying
the rent which has became due since October 2012, your friend may opt to
file for judicial ejectment against the lessee. Pursuant to Section 9
of Republic Act No. 9653, otherwise known as the Rent Control Act of
2009, “Ejectment shall be allowed on the following grounds: x x x (b)
Arrears in payment of rent for a total of three months: x x x”
We hope that we were able to answer your queries. Please be reminded
that this advice is based solely on the facts you have narrated and our
appreciation of the same. Our opinion may vary when other facts are
changed or elaborated.
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