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Upward Only Rent Reviews

Dáil Éireann Debate, Thursday - 3 April 2014

Thursday, 3 April 2014

Questions (168)

Pat Deering

Question:

168. Deputy Pat Deering asked the Minister for Justice and Equality if he will consider looking at the upward-only rent legislation in view of the fact that a Bill to that effect has recently passed in Seanad Éireann; and if he will make a statement on the matter. [15768/14]

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Written answers

The Deputy will recall that the Government made the difficult decision in December 2011 not to proceed with the commitment in the Programme for Government to abolish upward only rent reviews in so called "legacy leases", i.e., those entered into before 28 February 2010. There was a substantial concern that any legislative scheme involving interference in the contractual relationships of private parties would find it extremely difficult to survive a Constitutional challenge. In addition, the Government was advised that any model proposed would require the payment of compensation to landlords whose rights were infringed in order to ensure that the proposal would be compatible with the Constitution and with the European Convention on Human Rights. The situation has not changed since 2011 and, as I have indicated in my replies to previous Parliamentary Questions on the subject of upward only rent review clauses, there are no plans to re-examine the decision which was taken in 2011.

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