Prior to the CPA, there were many leases that specified a period of many years. Of course, this does not allow for the old saying that „life happens“ and if circumstances required a tenant to move for four years in a six-year lease, the landlord would rub his hands and claim the balance of the lease as damages. The CPA changed all that. The CPA provides that a rental agreement cannot be fixed for more than 24 months. Owners and tenants are therefore informed that the duration of their tenancy agreement does not exceed 2 years. Before the CPA helped tenants, a tenant was bound by the length of the tenancy agreement. If the lease has been fixed for five years, it is five years. An early termination by the tenant would constitute a violation of the tenancy agreement and would open the tenant to massive legal rights. The CPA offers the tenant an exit strategy. If a tenant wishes to terminate a fixed-term tenancy agreement before the termination date, the tenant can now keep 20 working days of termination. A written agreement between two or more people („partners“) with the intention of doing business together by combining money, skills and/or other resources (a „contribution“) with the objective of the interest.

Residential rents are not limited to renting a house. It also includes the rental of garden huts, apartments or apartments, section title units in complexes and almost all rentals of a residential property. And if the client is a natural person, an individual entrepreneur or a legal person with an asset or annual turnover of less than R2Mio. (at the time of the conclusion of the lease), then all are affected by the Consumer Protection Act. This means that a CPA-compliant lease is required. Does a natural person who rents his garden house to a friend (while working full time for a business) in the real estate rental store? Of course, the CPA does not apply. Parliament could not have done that. The National Consumer Commissioner (NCC) or our courts can deal with this issue in time, but until then, there is uncertainty. If you are an owner, you must argue that you do not rent property in the normal business framework until someone clarifies the situation.

I`d be interested in your thoughts. We will do more research to help people answer that question. Are you looking for a CPA-compliant lease? We have the solution for you! If you ask, „What is a CPA-compliant lease?“ continue to read. When the CPA originally came into effect, most of the people with obvious effects were at home, such as the introduction of retailers selling defective products to their customers. It didn`t take long for a new project to be put in place: the CPA also applies to leases! Please note that these legal contracts and agreements are the norm. It is therefore advisable to seek legal advice when entering into the contract. Downloads are FREE and for only R100, R154 or R260 per month membership, you are entitled to professional legal advice, advice and guarantees. When the parties reach an agreement, confidentiality may be necessary. This agreement guarantees this confidentiality and is usually signed before the main agreement is concluded.

A written agreement stipulating that a person („debtor“) owes a sum of money („debt“) to another person or entity („creditors“). It also defines how debts will be repaid. What does it mean to have a CPA-compliant lease? At this point, the tenant becomes an illegitimate occupant. If you have legally terminated the lease, you have the right to return to your property, even if the illegitimate occupier stays on the site – actually cohabiting (whether you wish or not, that`s another thing). The situation can get worse and have unpleasant consequences for the owner, even if there is no fault.