ARTICLE
2 September 2020

New Urban Lease Regime

The law that suspends denunciations of leases, foreclosures on houses and evictions.
Portugal Real Estate and Construction
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The law that suspends denunciations of leases, foreclosures on houses and evictions. These measures are part of the package of exceptional and temporary measures in response to the crisis caused by Covid-19.

The law also suspends legal actions for eviction, "special eviction procedures and proceedings for delivery of leased property, when the tenant, by virtue of the final judicial decision to be rendered, may be placed in a situation of fragility due to lack of proper housing".

According to the law published in the Official Gazette, landlords will suspend denunciations of lease agreements (residential and non-residential), as well as foreclosures of mortgages on real estate that is owned and permanent habitation.

It is stated in the publication in Diário da República that "this law takes effect on the date on which Decree-Law no. 10-A/2020 of March 13th takes effect", that is, it takes effect retroactively to that date.

"Article 8: Extraordinary and transitory regime of protection of tenants

Until the cessation of measures to prevent, contain, mitigate and treat the epidemiological infection by SARS-CoV-2 and OVID-19 disease, as determined by the national public health authority, is suspended:

a) The effects of denunciations of residential and non-residential leases made by the landlord shall be suspended;

b) The foreclosure of a mortgage on a property that constitutes the foreclosure's own permanent residence".

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

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ARTICLE
2 September 2020

New Urban Lease Regime

Portugal Real Estate and Construction

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