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Regulating Subletting: Legal Pitfalls

Safely regulate subletting: obtain permission, draw up a covenant, and know your liabilities to avoid breach of contract.

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Subletting is permitted provided the head tenant obtains permission from the landlord, except in cases of temporary absence for up to two years. Without permission, there is a risk of termination of the tenancy agreement. The subletting price may not exceed the head rent, unless otherwise agreed. Disputes arise in cases of damage or non-payment: the head tenant remains liable to the landlord. Enter into a written subletting covenant with clear duration, price, and responsibilities. For income settlement, the Good Landlordship Act applies. Tenants may prohibit subletting in case of risk of abuse of vacancy. Under the Room Rental Scheme (max. 5 bedrooms), additional rules apply for room rental. Disputes are resolved via mediation or the cantonal court. Check the creditworthiness of the subtenant. Pledge on household effects is possible. This prevents legal nightmares and safeguards rental income.