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What should happen if the tenant declines the renewal offer?

Confirm the vacate date in writing, arrange the outgoing inspection, and start the deposit process. The lease ends on its termination date, and the month-to-month continuation does not apply where the tenant has expressly declined.

Section 14(2)(d) of the Consumer Protection Act continues a fixed-term agreement month-to-month unless the consumer expressly directs that it must terminate on the expiry date. A tenant who declines the renewal in writing has given that direction, so the lease ends on its termination date.

Because the point turns on the tenant's express direction, the decline should be recorded in writing rather than left as a phone call, and the confirmation back to the tenant should restate the vacate date.

From there the sequence is the ordinary end-of-tenancy one: arrange the joint outgoing inspection required by section 5 of the Rental Housing Act, agree any deductions against the deposit, and refund the balance with interest within the periods the Act allows.

The landlord should be told promptly, because a decline at 30 business days before termination leaves a short runway to re-let and the marketing decision is theirs to make.

Sources

  • Consumer Protection Act 68 of 2008, s14(2)(d)
  • Rental Housing Act 50 of 1999, s5

Disclaimer: This is general information about South African lease-renewal procedure, not legal advice. Dates are calculated from the information you provide and from published public holidays. Check them against your lease and take your own legal advice before acting.

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