Lease Agreements And The Consumer Protection Act

SO I think I need to specifically check our leases – “What I mean is that if the state is a tenant – that is, the lessor leases to the government, then there is no CPA that protects the government. Even if a legal person is a tenant and exceeds the threshold of R2 million of assets or turnover, the CPA does not apply; Thus, any company, trust, private equity company, entity or partnership with assets of R2 million or more or operating an activity with a turnover of R2 million or more does not have CPA protection,” he said. Please note that this article deals exclusively with the provisions of the Consumer Protection Act (“CPA”) relating to residential rental agreements. The law does not define “in normal business”. In Amalgamated Banks of South Africa BPK against De Goede &`n Ander 1997 (94) SA 66 (A), the test of whether a contract falls within the scope of the normal transaction was examined. The question is whether the contract is one with conditions that ordinary businessmen would use. This means that if a person earning their salary owns real estate and rents it out to increase their monthly income, the CPA is applicable. The CPA does not apply when it is a single transaction, for example. B when a teacher rents his holiday home to a foreign student for the duration of the student`s visit, but the teacher does not normally rent that holiday home. It is also not necessary to be in the normal context of the owner`s activity for the CPA to be applicable. If the owner regularly rents the property or has rented it more than once, it is considered to be in good and due form. • Attracting the attention of the consumer in a striking way that can attract his attention residential rental contracts between owners who are natural persons and large companies, as discussed above, are not regulated by the CPA at all.

A transaction (among other things, which is not decisive in determining whether a lease is under the jurisdiction of the CPA) is defined as being in the course of normal activity. Unfortunately, “normal business” is not defined in the CPA, but it is “business”. The definition of “business” provides some clarity; it is defined as the continued marketing of goods and services. Hello, I signed a one-year lease three years ago and then extended it for two years. However, last year we did not sign a lease renewal. For a month, I told my landlord that I`m going to move now, he wants to tie me to the lease from almost four years ago and he says I have to pay, even if I leave now at the end of August, I will be responsible for the rent until the end of November. At the end of the initial period of twenty-four months, the lease continues from one month to the next, unless a new lease is concluded between the parties. Section 14 undoubtedly applies to agreements (which fall within the scope of the Act) entered into after the start of the CPA on 1 April 2011.

The question posed above is: what will happen if the agreement is concluded before the start of the CPA before 1 April 2011 has it been closed? Are the provisions of the CPA applicable to such an agreement? However, Shevelew says, there is another situation in which the CPA is not applicable to a lease agreement; This follows from the definition of “transaction” in the act . . .