The rent is not being paid
We look at recovering the arrears and at terminating the lease and getting the building back, together. How long the arrears have been running changes what routes are open.
We act for landlords and for tenants alike.
We read the lease and the history, then explain the routes open to you and how each is likely to go.
With unpaid rent and with eviction alike, the longer you wait, the more the losses build up.
Even while you are still sending demands, please come to us early.
Even at the stage of “nothing has blown up yet, we just want to check how to go about it”, please feel free to consult us.
They may all look like “a property dispute”, but the way each one is handled is quite different.
We look at recovering the arrears and at terminating the lease and getting the building back, together. How long the arrears have been running changes what routes are open.
Where the tenant is not at fault, ending the lease requires justifiable grounds under the law. We set out the terms, including any relocation fee.
Restoration costs, rent increases or reductions, who bears repairs, and the like. We build the argument from the lease and from the law alike.
Not sure which one you are in? We read the lease first, then tell you what we suggest.
Four questions we are often asked, answered against the statutes.
Not at once. As a rule, you first demand payment from the tenant by a set deadline (a formal demand, or saikoku), and you may terminate if payment still does not come (Civil Code Art. 541).
The courts then ask whether the relationship of trust between landlord and tenant can be said to have broken down (the doctrine of destruction of the relationship of trust). Where the arrears are short-lived, termination may not be allowed. There is no fixed number of months at which termination becomes available.
It runs in this order: formal demand → notice of termination → negotiation → an action for surrender of the building → the judgment becoming final → compulsory execution. If the tenant stays put even after judgment, a court execution officer carries out the surrender (Civil Execution Act Art. 168).
If the person occupying the building changes during the proceedings, the judgment can become unusable. To guard against that, a provisional disposition prohibiting transfer of possession (a provisional disposition regarding the subject matter in dispute) may be applied for first (Civil Provisional Remedies Act Art. 23(1)).
Note that taking the premises back yourself — changing the locks, moving belongings out — is not permitted (the prohibition on self-help).
For a building lease with a fixed term, notice of non-renewal must be given between one year and six months before the term expires (Act on Land and Building Leases Art. 26(1)). Where there is no fixed term, the lease ends six months after notice of termination is given (Act on Land and Building Leases Art. 27(1)).
In either case, for the landlord to bring the lease to an end there must be “justifiable grounds” (Act on Land and Building Leases Art. 28). Alongside matters such as how much each side needs the building and how far it has deteriorated, an offer of a relocation fee is also weighed as a factor that makes up for justifiable grounds.
With a fixed-term building lease, agreed in advance to end when the term expires (Act on Land and Building Leases Art. 38), the question of renewal does not arise.
The tenant is obliged to restore damage that arose after the premises were handed over. Wear from ordinary use (ordinary wear and tear) and change with the passage of time (deterioration over the years) are outside that duty (Civil Code Art. 621).
Commercial leases sometimes carry a special clause placing even ordinary wear and tear on the tenant. Whether such a clause holds is judged from how it is drafted, whether it was explained when the lease was signed, and similar points. The restoration guidelines issued by the Ministry of Land, Infrastructure, Transport and Tourism are written with residential leases in mind and do not simply carry over to commercial buildings.
The security deposit is returned after the premises are handed back, with any unpaid obligations deducted (Civil Code Art. 622-2).
How the statutes apply turns on how the lease is drafted. We read the lease and give you our honest read on it.
We act from the demand stage through to keeping the next dispute from arising.
We read the lease, the explanation of important matters and the payment history, and set out which arguments are open to you. Claims against a joint guarantor or a rent guarantee company are considered alongside.
We give notice in the attorney’s name of the payment deadline and of termination to follow. What was sent, and when, is left on the record and can be used in any later proceedings.
We work through the handover date, how the arrears are to be paid, the scope of restoration and similar points. Once agreed, it goes into a written agreement and, where appropriate, a notarial deed.
If negotiation does not come together, we bring an action for surrender of the building. Where the tenant still does not leave after the judgment becomes final, we apply for compulsory execution (Civil Execution Act Art. 168).
We work out the terms, including any relocation fee, from the state of the building, how the tenant uses it and what a move would cost. Amounts differ from case to case, so we give you our outlook once we have seen the papers.
We look at using a fixed-term building lease, at rent guarantee companies, at the joint guarantee clauses. Where an individual stands as joint guarantor, the guarantee is void unless a maximum amount (the ceiling on the guarantee) is fixed (Civil Code Art. 465-2). Leases still on an old form often need reviewing on this point.
Then come and consult us, with the lease and your records in hand.
Our managing attorney spent about three years in the legal department of the Japanese arm of a foreign automotive company. Taking every matter to court is not always the right answer. We think through the route with you, taking in the cost, the time and the effect on the property’s occupancy. About the attorney
In an arrears matter, both the money and the surrender of the building are in issue. We handle debt collection as well, so both come through a single office. Our debt collection page
Once the dispute is behind you, we put the lease and your internal practice in order so the same thing does not recur. An advisory retainer, for ongoing consultation, is also available. Our corporate law & advisory retainer page
Call us or use the contact form. We will arrange a time for the consultation.
At our office, or online or by phone. Please have the lease and the payment history to hand.
We explain the routes open to you, how long each is likely to take, and what it costs.
Once you are satisfied with the terms, we enter into the engagement.
We send the formal demand by content-certified mail and take forward the negotiation over the handover terms.
Where matters do not come together, on to litigation and compulsory execution. Once resolved, we help you review the lease.
For recovery of the unpaid rent itself, see our debt collection page as well.
We explain the fees before you instruct us. The figures shown include tax.
* Administrative fees and actual expenses are charged separately.
* Where you instruct us on recovery of the unpaid rent alone, the debt collection fees apply (retainer fee 11% of the claimed amount incl. tax, minimum JPY 110,000; success fee 22% of the amount recovered incl. tax).
* We accept credit cards (VISA / MasterCard) and instalment payments.
See Attorney’s Fees for details.
| Office | Eight Force Law Office |
|---|---|
| Managing attorney | Kento Araki (Dai-Ichi Tokyo Bar Association) |
| Address | 3F BIZ SMART Yoyogi, 1-25-5 Yoyogi, Shibuya-ku, Tokyo 151-0053 |
| Phone | 03-6809-0683 |
| Hours | Weekdays 9:00-18:00 (closed weekends & holidays) |
| Area covered | Nationwide (phone and online consultations) |
| Access | 3 min from Yoyogi Sta. (JR Yamanote / Sobu Line) / 4 min from Minami-Shinjuku Sta. (Odakyu Line) |
Please do not carry it alone — talk to us first.
We are here by phone and by email.