Claim Against a Landlord / Lessor for Defects in a Leased Property in Greece

Claim Against a Landlord / Lessor for Defects in a Leased Property in Greece — Tenant Rights and Compensation Procedure

A property lease in Greece is not merely a financial arrangement. It is a legal relationship with specific obligations for both the lessor and the tenant. When a leased property is delivered with defects, or when serious defects appear during the lease and the lessor fails to respond, the tenant is not without legal protection. Greek civil law provides rights which, if exercised properly, may lead to rent reduction, non-payment of rent, compensation, or even termination of the lease.

The Lessor’s Basic Obligation

The Greek Civil Code provides that the lessor must deliver the leased property in a condition suitable for the agreed use and must maintain it in that condition throughout the lease. This obligation is not limited to the initial delivery of the property. The lessor must ensure that the property remains suitable for the use for which it was leased.

Defects in a leased property in Greece may include, indicatively, serious dampness and mould, defects in the water supply or drainage system, heating problems, unsafe electrical installations, windows or doors that do not provide safety or insulation, as well as structural defects that substantially restrict the use of the property.

Legally, it is important to distinguish between an actual defect and the absence of an agreed quality. An actual defect exists where the property has a problem that prevents, wholly or partly, the agreed use. Absence of an agreed quality exists where the property lacks a characteristic that had been agreed, such as a specific heating system, a functioning installation, or suitability for a particular use.

What Rights the Tenant Has

A tenant facing defects in a leased property does not have only one option. The available rights depend on the seriousness of the problem, the time when it appeared, the parties’ knowledge and the lessor’s conduct.

Rent reduction or non-payment of rent: If the defect prevents, wholly or partly, the agreed use of the property, the tenant may claim rent reduction or, in serious cases, non-payment of rent for as long as the use remains restricted. The reduction must correspond to the degree to which the use is affected and must be properly documented.

Remedy of the defect: The tenant may request that the lessor remedy the problem. If the lessor is in default regarding the removal of the defect, the tenant may, under certain conditions, carry out the remedy themselves and claim the relevant expenses.

Compensation for damage: If the defect is connected with the lessor’s fault, knowledge or concealment of the problem, or default in remedying it, the tenant may claim compensation. Compensation may cover actual damage, such as damage to furniture, electrical appliances or goods, as well as loss of profit, particularly in commercial leases, provided that it is sufficiently proven.

Termination of the lease: If the agreed use of the property is not granted or is substantially removed, the tenant may set a reasonable deadline for the lessor to restore the use and, if that deadline passes without result, terminate the lease. In exceptional cases, where the tenant no longer has an interest in continuing the contract, termination may take place without a prior deadline.

Health risk: In residential leases, if the use of the property entails a serious risk to the health of the tenant or the tenant’s household members, the tenant may terminate the lease without setting a prior deadline. This type of case requires particular care and strong evidence.

Conditions for Bringing a Claim

The exercise of rights due to defects in a rented property in Greece must be organised and properly documented. A verbal complaint is usually not enough.

Timely notification to the lessor: The tenant must notify the lessor in good time, especially where the defect appears during the lease. The notification must be capable of proof: an extrajudicial notice, an email with clear content and proof of sending, a registered letter, or another secure form of written communication.

Reasonable deadline for repair: In most cases, the lessor must be given a reasonable period to remedy the problem. The length of that period depends on the nature and seriousness of the defect.

Proof of the defect: The tenant must collect evidence: photographs, videos, technical reports, expert opinions, medical reports where health issues arise, correspondence with the lessor and proof of expenses.

No fault of the tenant: If the defect was caused by misuse, unauthorised intervention or negligence on the part of the tenant, the tenant’s claims may be excluded or limited.

Knowledge of the defect: If the tenant knew of the defect when entering into the lease, or accepted delivery of the property without reservation while knowing of the problem, their position may be weakened. A different assessment may apply where the lessor fraudulently concealed the defect or assured the tenant that no problem existed.

Deadlines and Limitation — What Requires Attention

In leased property defect claims, there should be no mechanical reference to a single deadline for all claims. The applicable time limit depends on the type of claim.

It is not safe to state generally that all tenant rights arising from defects are extinguished or time-barred within six months from delivery of the leased property. The correct approach is to examine separately whether the matter concerns rent reduction, non-payment of rent, compensation, repair expenses, termination of the lease, or another claim.

Claims for expenses: Claims by the tenant for expenses incurred in relation to the leased property are subject to a special short limitation period after the end of the lease. For this reason, if the tenant undertakes repairs themselves, they must keep full documentation and seek legal assessment in good time.

Rent reduction or non-payment of rent: This right is connected with the period during which the defect restricts the agreed use. It should not, however, be exercised carelessly or through an arbitrary cessation of payments, as this may create a risk of termination by the lessor due to rent arrears.

Compensation: Compensation claims must be assessed by reference to their legal basis, namely whether they arise from the lease contract, the lessor’s default, fraudulent concealment, infringement of other protected interests, or tortious conduct.

In practice: the tenant should not wait. The longer the delay in written notification, documentation and legal action, the more difficult it becomes to prove the extent of the problem and the lessor’s liability.

Case Law on Key Issues

Greek courts assess each case based on the agreed use of the property, the seriousness of the defect, the parties’ conduct and the available evidence.

Dampness and mould: Serious and persistent dampness may constitute an actual defect, especially where it substantially restricts the use of the property or is connected with health issues. A mere inconvenience or vague complaint is not enough; evidence is required.

Concealment of a defect: If the lessor knew of the defect and concealed it, the tenant’s position is significantly strengthened. Fraudulent concealment may affect both the basis of liability and the extent of compensation.

Commercial leases: In a commercial property, a defect that prevents the operation of the business may give rise to a claim for compensation or loss of profit. Such a claim requires strong evidence, such as financial records, cancelled orders, loss of clientele, or inability to operate.

Minor or insignificant defects: Not every imperfection in the property justifies full exemption from rent or termination of the lease. The court examines whether, and to what extent, the agreed use was actually restricted.

Practical Steps for the Tenant

1. Photograph and document the defect immediately, with dates and a clear description.
2. Notify the lessor in writing, describing the problem and requesting repair within a reasonable deadline.
3. Keep every piece of evidence, including correspondence, technical offers, invoices, receipts, expert reports and medical documents.
4. Do not arbitrarily stop paying rent without legal assessment. The exercise of a right to rent reduction or non-payment must be based on clear factual and legal grounds.
5. Do not terminate the lease without prior review, especially in a commercial lease or in a contract with specific terms.

FAQ — Frequently Asked Questions

Can I stop paying rent if there are serious defects in the property?

Not without caution. The Greek Civil Code provides for rent reduction or non-payment of rent where the defect prevents, wholly or partly, the agreed use. However, arbitrarily stopping payment without evidence and proper handling may expose the tenant to termination of the lease or eviction proceedings.

The landlord says the problem was caused by me. What should I do?

Technical and evidentiary documentation is required. Photographs, a report by an engineer or technician, witness statements and previous correspondence may help establish whether the problem pre-existed, arose from a structural defect, or was connected with misuse.

Can I leave the property without losing the deposit?

If the lease is lawfully terminated and a serious reason is proven, the lessor cannot arbitrarily retain the deposit. However, if the tenant leaves without following the proper legal procedure or without sufficient evidence, a dispute may arise regarding rent, damage to the property or compensation.

Are defects covered by law even if they are not mentioned in the lease agreement?

Yes. The lessor’s basic obligations arise from the Greek Civil Code. However, it is necessary to examine what the tenant knew when entering into the lease, what was agreed, and whether the tenant accepted the property without reservation despite knowing of the problem.

What if the property is dangerous for my health?

In residential leases, if the use of the property entails a serious risk to the health of the tenant or members of the tenant’s household, a right to immediate termination may arise. In such cases, evidence is critical: medical documents, a technical report and, where appropriate, a report to the competent authorities.

A tenant facing defects in a leased property in Greece is not required to tolerate them silently. Protection, however, depends on correct and timely action: written notification, documentation, proper assessment of the tenant’s rights and careful legal steps.

This article is for general informational purposes only and does not constitute legal advice. Each case requires an individual assessment based on its specific facts and the applicable legal framework. For tailored legal advice, please contact our law firm.