Garage used for business

The owner of a garage recently discovered that the person to whom he had leased it had started to operate a business from it. The owner now wants to evict the lessee and resume possession of the garage.

What is the owner's position at law?

Primarily, much would depend upon what the parties had agreed to in the lease agreement (of course, if this exists) with regards to the use of the leased premises.

In other words, the owner would have to check whether he had specifically mentioned in the agreement that the premises are being leased exclusively for garaging a vehicle or something to that effect. Moreover, much also depends upon whether the lease agreement specifically excludes the use of the garage for commercial purposes.

According to section 1554 of the Civil Code, the lessee is bound to make use of the thing let to him as a bonus paterfamilias, and for the purposes stated in the contract, or, in the absence of any agreement to that effect, for such purpose as may be presumed according to circumstances.

If the lessee uses the thing let for any purpose other than that for which it is intended, or in a manner which may prejudice the lessor, the latter may, according to circumstances, demand the dissolution of the contract of lease and moreover, the lessee would also be liable for damages suffered by the lessor.

If the lease is in its reletting stage, in terms of the law, section 9 (a) of the Reletting of Urban Property (Regulation) Ordinance provides that where the tenant has used the premises for any purpose other than that for which the premises was leased, the lessor may, upon termination of the lease, apply to the Rent Regulation Board for permission to resume possession of the garage.

The owner could retake possession of the garage during the currency of the lease in the reletting stage, if waiting until termination of the lease would prove to be prejudicial to him.

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