Cancellation Clause Invalid

LVT Number: 11042

Rent-stabilized tenant received a renewal lease containing a rider that stated that landlord sued to revoke adoption of the ETPA by the Long Beach City Council and that landlord could cancel tenant's lease if such revocation became effective. Tenant asked the DHCR if this lease rider was valid. In an opinion letter, the DHCR said no. Tenant Protection Regulations require renewal of tenant's lease on the same terms and conditions as tenant's prior lease. Landlord is also required to offer tenant a one- or two-year vacancy or renewal lease at tenant's option.

Rent-stabilized tenant received a renewal lease containing a rider that stated that landlord sued to revoke adoption of the ETPA by the Long Beach City Council and that landlord could cancel tenant's lease if such revocation became effective. Tenant asked the DHCR if this lease rider was valid. In an opinion letter, the DHCR said no. Tenant Protection Regulations require renewal of tenant's lease on the same terms and conditions as tenant's prior lease. Landlord is also required to offer tenant a one- or two-year vacancy or renewal lease at tenant's option. Activation of the cancellation clause at any time during the lease term would deprive tenant of the full lease term chosen.

DHCR Opin. Ltr. by Charles Goldstein (7/3/96) [1-page document]

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