Urban leasing LAU: 2024 Supreme Court rulings on extensions, rent and eviction

Four key 2024 LAU rulings

STS 234/2024 (Non-retroactivity): Housing Act 12/2023 has no retroactive effect on contracts signed before 26 May 2023. Pre-2023 contracts governed by LAU in force at signing (5/7-year minimum extension for individual/corporate landlords, per 2019 version).

STS 456/2024 (3% rent cap): While the new IPCA index remains formally undefined by INE, rent increases are capped at 3% for 2024 (RD-ley 1/2024) regardless of actual CPI or contractual provisions. Clauses providing higher increases are inapplicable during the limitation period.

STS 567/2024 (Eviction enervation): Right to pay before hearing to stop eviction (Art. 22.4 LEC) barred if tenant previously enervated in the same property in the past 5 years (regardless of current landlord). Payment by third party stops eviction if made in the tenant's name before the hearing.

STS 678/2024 (Own-use recovery): If landlord recovers property citing personal need then re-lets to a third party within 12 months, tenant may: (1) re-occupy on original terms, or (2) receive compensation of 1 month's rent per remaining contract year (min 2 months, max 6 months). Burden of proving genuine, subsisting need rests on the landlord.