Business
Precedent ruling: Landlords and tenants will share the burden of the contract
The district court ruled for the first time that due to the special conditions, event hall tenants would not pay the full rent to the landlords.
Their lawyer: "A decision that has enormous implications for business. The court ruled that it is impossible to accept a situation where there is a corona and demand that the contract be kept as if nothing had happened."
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Events Hall
David Rosenthal
Tuesday, 27 October 2020, 17:49
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Adv. Ilan Bombach on the division of rent between a tenant and a landlord in the days of the Corona (Walla! NEWS system)
The Corona era has created a lot of legal issues with contracts.
In the past, the Ministry of Justice has been asked to determine whether Corona is a force majeure that will allow contracts to be canceled, but has not provided an unequivocal answer to this and has rolled back responsibility to the courts.
Today (Tuesday) a precedent-setting decision was made in the Tel Aviv District Court, when Judge Yona Etadegi ruled that ballroom renters and tenants would share the burden of the contract.
This is a precedent-setting ruling regarding business contractual matters during the Corona period.
More on Walla!
NEWS
Breakthrough?
Temporary order to prevent evictions of event hall tenants
To the full article
True, there is a contract, but in such a period the circumstances must be taken into account
First the story in August, when the tenants of the hall applied for a temporary restraining order for evictions.
According to them, they did not have to pay the full rent to the landlords due to the cessation of activity.
The eviction was postponed several times, until Judge Etadegi's decision today.
In his decision, the judge then ruled that the parties would distribute the rent equally until a final decision was made on the matter.
We have since entered a second closure, and the judge issued another verdict today.
"On the one hand," the judge argued, "the 'logic' behind my (temporary) determination to pay half the rent for the months in which the hall was shut down due to 'corona regulations' also applies to the period when the shutdown resumed under those regulations ... on the other hand,' This solution set forth in the above decision is of a temporary nature and cannot act as an ongoing permanent solution.
What was likely the beginning of the event, as a temporary solution, not a necessity, the continuation of the event, and it seems that the more he Mtmskc scale leans towards the respondent and in favor of the right to gain proper purchase ".
The judge ruled that starting from -18.9, from the day the closure force, to 31.10 pay renters 60 percent of renters, and each additional month will add 10 percent (66 percent for November of 72.6 percent on December and so on up to - 100 percent).
this judge ruled ettedgui formula, even if not adopted in full the judgments below, gives patience are renters And to tenants.
"Divide the risk between the tenant and the landlord"
Adv. Ilan Bombach (Photo: Reuven Kapuchinsky)
Advocate Ilan Bombach, who represented the tenants, responded to the ruling: "This is a decision that has enormous implications for banquet halls and businesses in general.
.
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