Tenants and Landlords Urged to Confirm Lease Extension in Writing One Month Prior to Expiration
One month prior to the expiration of a land lease agreement, either party must confirm or deny its further extension in writing. This recommendation was shared by Oleksii Degtyarenko, attorney and head of the "Degtyarenko and Partners" advocacy association, during a webinar hosted by the All-Ukrainian Congress of Farmers.
According to the expert, failing to take this action triggers standard contract clauses regarding automatic renewal in the absence of objections from the other party. In other words, if a party does not issue a written notice regarding the intention to terminate the agreement, the lease may be automatically extended under the same terms.
The lawyer pointed out that there is currently a surge in court disputes within the agricultural sector. The situation is further complicated by new tenants entering the market with better commercial offers, while incumbent land users strive to retain their plots.
Over the past year and a half, lease terminations have become one of the most pressing categories of legal disputes. Many of these conflicts stem from improper initial drafting and execution of the lease documents, creating significant legal vulnerabilities.
Agricultural producers and landowners are advised to closely monitor document deadlines and ensure all communications regarding lease renewals are handled in writing to protect their property rights and avoid protracted litigation.
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