New court case over legality of lease cancellation penalty
In a court case brought to the Saitama Kawagoe District Court, a non-profit organization is claiming that the cancellation penalty in their client's rental contract is illegal and are demanding that the rental agency remove the clause from their contracts.Read more
Company forced to pay compensation after lying about value of apartments
In a ruling that could make many real estate agencies nervous, a Tokyo-based real estate company has been ordered to pay 47 million Yen (573,000 USD) to a buyer after it was found that the company lied about the true value of two apartments in order to make the sale. Toshin Partners made false statements about the low-valued properties in order to sell them at a higher value.Read more
Kyoto Court ruling on renewal fees
The Kyoto District Court has ruled that the maximum apartment renewal fee cannot exceed 20% of the annual rent paid on the property.
On February 29th, the court made a ruling on a court case involving a 25 year old tenant who was suing her landlord for the return of her renewal fee. The judge ruled that a renewal fee that does not exceed 20% of one year's rent is appropriate, and ordered the landlord to return part of the tenant's renewal fee.Read more