Berlin’s rent cap, the so-called ‘Mietendeckel’ has been toppled with far-reaching consequences for many tenants.
The Federal Court of Justice, Germany’s highest court decided that by introducing the rent freeze the local government in Berlin had overstepped its power and the law was overturned. Berlin’s “Mietendeckel” law or rent cap “violates the Basic Law and is thus ruled void” according to the Federal Court’s decision.
This has implications for many tenants (up to 1.5 million) in Berlin, who have been paying reduced rent since February 2020.
What tenants must now consider:
1. There is no immediate possibility of termination leases because tenants have complied with applicable law. However, there is an immediate obligation to repay the difference (see 3.).
2. Consensual agreements without shadow rent, for example in the case of new leases, are valid.
3. Where otherwise effective civil law agreements on the amount of rent existed, these must be fulfilled within a reasonable period (14 to 30 days). This means that the retained rents on the basis of the rent cap are to be repaid. The repayment is due upon knowledge of today’s decision of the Federal Constitutional Court. A demand for payment by the landlord is desirable, but may not be necessary in a lot of cases. Those tenants which are unable to pay the outstanding amounts immediately should contact the landlord and if necessary request financial aid from the Berlin Government (https://mietendeckel.berlin.de).
4. In the case of shadow rental agreements after re-letting, the tenants’ association strongly advises seeking advice.
Read also: 24 questions and answers on the
“Eversal of the rent cap” (in English language) .
We would like to help you understand how to use a relocation company to assist your employees. What are the benefits for your business and your team in outsourcing this service to new recruits or employees who are taking up a position in a new location?
Whether you are hiring new recruits from abroad or moving existing employees from one office to another office in a different location, there are many administrative tasks and other things which need to be organised to get the person moved, settled in and integrated into their new role.
- Time is money and if your employee can be efficiently supported then the time it takes to get their move organised can be optimised. By working with a relocation company you won’t need an in-house department and you will draw on people who bring the highest levels of experience and expertise.
- Providing the option of a supported relocation is good for the company image, it shows that you value your employees, their families and their wellbeing.
- Being able to offer a professionally supported relocation is a big asset when headhunting, it will give your company an advantage as it gives the employee incentive to move without feeling like a relocation would be too overwhelming.
- Show your employee that you value their time by letting them avoid the ‘leg’ work when they partner with a relocation consultant they are relieved of all the big and small organisational tasks related to a move.
- Supporting not just the employee but also their spouse and/or their family is also hugely beneficial to the overall well being of the employee.
- The way an employee feels once they have moved to a new location can be imperative to their productivity. If they feel settled and happy then they will be motivated to start into their new role. They can be present physically and mentally knowing all the formalities of their move have been taken care of.
- There are many costs, such as hotel costs, which can be avoided if an employee can relocate directly into furnished accommodation or their own apartment/house. Having a relocation partner on the ground makes organising this possible!
At IRC we can provide the support your employees need for a successful relocation. We have experienced staff, who understand the relocation from both a professional and personal point of view and who have the know-how to navigate any challenges which may arise. Let’s begin the relocation journey together!
Contact us now on: www.irc-berlin.com
A nationwide warning day will take place for the first time on September 10, 2020 and will then be carried out annually on every second Thursday in September. On the joint day of action by the federal and state governments, all warning devices will be tested throughout Germany. Precisely at 11 a.m., warning devices such as sirens are triggered simultaneously in counties and municipalities with a test alarm.
Do not be alarmed, this is a TEST which will be ended at 11.20am on 10.09.2020.
For more information, please see: https://warnung-der-bevoelkerung.de/
We are excited to announce: IRC has moved our website to a climate positive host on WordPress. For every WordPress page, a tree is planted and the data processing centres and offices are guaranteed to be run completely generated by hydro-power.
Through WordPress partnership with RAIDBOXES they currently offset 40.48 tons of CO2 every month, in addition to the trees that have been planted – by funding certified carbon and plastic offsetting projects through Get Mads. This corresponds to a CO2 saving of more than 160,000 car kilometres.
We want to keep you updated on the current (25.05.2020) status of Corona rules in Berlin. Although there has been a significant loosening of the lock-down rules, many important rules are still in place to stop the spread of Covid 19.
Masks are required in all shops and supermarkets and on public transport at all times.
Social Distancing and keeping all contacts to a minimum are still in place, at the moment this will be reviewed on the 05.05.2020. You may meet with people from up to two households while keeping social distancing rules. Large gatherings are forbidden, this excludes demonstrations up to 100 people and church services up to 50 people. BBQs in the park is forbidden.
Clubs, Theatres and Cinemas are still closed. The only exception is drive-in Cinemas.
Sport is allowed in groups up to 8 people, social distancing must be adhered to at all times. Fitness/Yoga studios remain closed, this will be reviewed at the end of May, 2020.
IRC has launched a new and improved website, we invite you to come and read some more in-depth information about our work and our wonderful team!