There are many reasons why Filipinos have to rent accommodation, such as convenience for work, study, moving out to live separately, etc. Therefore, understanding the relevant laws is essential to avoid conflicts and uncertainties between landlords and tenants and even fraud.
This article will explain rental law Philippines, including rights, obligations, ways to resolve conflicts between the two parties, and related issues. Keep reading and understand this basic information before renting!
Table of Contents
What Is The Rental Law Philippines?
Rent Control Act 2009
The Rent Control Act 2009 (RCA 2009), also known as Republic Act 9653, encapsulates the rights and obligations of landlords and tenants and safeguards both interests. The Act also provides specific terms that clarify the roles of both parties and general assignments for assets or violations that may be used in a contract.
The law generally applies in Metro Manila and urbanizations with monthly rental rates up to PHP 10,000 for rental properties such as apartments, motels, sleeping quarters, dormitories, houses, and land, except hotels, motels, or hostels.
Civil Code
The Civil Code in the Philippines is based on private law to protect property and regulate family relationships. It was established in 1950 and has since undergone multiple amendments covering rights, obligations, contracts, inheritance, violations, and property damage.
The Civil Code usually applies to monthly rentals worth more than 10,000 pesos; the regulations are not in the 2009 law. Compared to the law, the rules are long, strictly technical, and difficult to understand. Therefore, if you feel your rights have been violated, you can consult a lawyer for an in-depth view of this law.
Rights and Obligations
Landlords
Rights
- Receive rent: Landlords have the entitlement to receive payments as agreed upon in the rental contract. Both parties should decide on the fees, time, and payment method to prevent issues.
- Increasing rent: Landlords have the right to increase rent but must still comply with the provisions of RA 9653, specifically:
| Monthly payment (PHP) | Maximum percent increase |
| Less than 5,000 | 2% (once per year) |
| From 5,000 to less than 9,000 | 7% (by the same tenant) |
| From 9,000 to 10,000 | 11% (by the same tenant) |
- Require security deposit: “1 month advance, 2 months deposit” is the provision promulgated by law. The landlord can request a 2-month deposit and deposit that amount into a bank account in the lessor’s name.
At the end of the contract, that amount and interest must be returned to the lessee. However, it also covers the lessee’s unpaid fees, such as utility bills, electricity, water, maintenance, etc. After deducting the expenses, the lessee will receive the remaining amount.
Obligations
First, landlords are responsible for maintaining the rental property in safe and good condition, including regular building safety testing and timely repairs. They must also provide adequate amenities and comply with fire and medical regulations.
The next point is that landlords must respect their tenant’s privacy by giving notice or obtaining permission before entering the property, except in emergencies or abandonment. It may help avoid conflicts and show respect for the tenant’s rights.
Tenants
Rights
- Possess rental properties: The tenant has the right to own and use the rental property for the agreed period, within the prescribed contract terms, following the law.
- Require rent and security deposit receipts: They can be used as proof of payment in a dispute or negotiation. Tickets must state the amount paid, the purpose, and the time.
Obligations
On the other hand, the tenants must also fulfill their obligations based on the agreement and the law. The first is to pay the house rent on time according to the prescribed payment method. The landlord must approve changes in time, process, and amount. Otherwise, the tenant may be fined or evicted from the rental.
It is also important to utilize the rental property per the intended purpose and agreed terms. Any damage incurred must be compensated for, and any repairs or alterations necessitate prior approval from the lessor.
Finally, comply with the rules and regulations set forth by the landlord and building management, such as noise regulations, waste disposal, pets, or use of common areas. Violations may result in a warning or termination of the contract.
Legal Remedies
The law guarantees landlords’ and tenants’ rights and obligations and provides legal remedies for any dispute or conflict between the two parties. Accordingly, when there is a problem, the two sides can resolve it as follows:
Seek legal advice: from attorneys or legal professionals with relevant qualifications to protect clients’ interests. They may recommend filing a civil lawsuit, claim, eviction, or other methods to resolve the legal issue.
- Terminate the rental contract: Both parties have the right to end the agreement when their entitlements are not guaranteed unilaterally. On the landlord’s side, issues include not paying rent or violating the terms. Meanwhile, the property is not maintained for tenants, and essential services are not guaranteed.
- File a complaint with the relevant authority: like the Housing and Land Use Regulatory Board (HLURB), for violations of the RAC 2009 or related laws. This agency can mediate or hold a trial and impose penalties on the offending party.
FAQs
Can The Tenant Be Evicted In The Philippines?
Under RCA 2009, a decision to evict a tenant must be based on the following circumstances:
- Arbitrarily sub-lease: either part or the whole apartment without the written consent of the owner
- Overdue payment: three months or more
- Owner’s usage needs: notified three months in advance to the tenant
- Contract expiration: when the homeowner has no intention of renewing the contract
Necessary home repairs: landlords should notify in advance and give priority to former tenants when the renovation work is completed to ensure tenant safety
What Should You Do If Your Tenant Rights Are Violated?
There are no clear regulations on what to do when your rights are violated. But first, you need to understand the rights and obligations of yourself and the other party to negotiate legally. If necessary, you can seek the intervention of a legal consultant, such as a lawyer, or direct support from local authorities.
The last option is to sue the HLURB authorities. Either way, you must stay calm and collect relevant evidence, such as invoices, receipts, and contracts.
Conclusion
In the rental law Philippines, landlords and tenants must properly and fully perform their rights and obligations. Disputes or conflicts will be resolved decentralized, with the highest level being lawsuit filing. Both are subject to punishment if they violate the contract terms and the law.
Knowing the law will keep you out of trouble, and you can also get help from lawyers and experts when things get out of hand!
