SLOVENIA Law and Practice Contributed by: Blaž Ogorevc, Miha Štravs and Blaž Murko, Odvetniki Šelih & partnerji, o.p., d.o.o.
6.18 Right to Assign a Leasehold Interest
fered as a result of the exercise of the right of termination. 6.16 Forms of Security to Protect Against a Failure of the Tenant to Meet Its Obligations It is common for the parties to the lease agree - ment to agree that the tenant will pay the land - lord a security deposit, which serves as security to protect against failure of the tenant to meet its obligations. For commercial leases, secu - rity deposits are sometimes replaced with the procurement of a bank guarantee by the ten - ant to the landlord. Other forms of security are also possible, subject to agreement between the parties. 6.17 Right to Occupy After Termination or Expiry of a Lease The tenant does not have a right to continue occupying the relevant real estate after the expiry or termination of a lease, per se. If the tenant continues to use the real estate after the expiry of the lease term and the landlord does not object to such use, a new lease is deemed to have been concluded for an indefinite period. Accordingly, upon expiry of the lease agreement, the landlord needs at least to object to the con - tinuous use of the real estate, should such use occur. Moreover, if the landlord wants the real estate to be vacated against the will of the tenant, it must generally obtain a judgment ordering the tenant to vacate the real estate and enforce the judgment in enforcement proceedings. The need to obtain such judgment may be avoided if the lease agreement is concluded in the form of a directly enforceable notarial deed, in which case the landlord may turn directly to enforcement proceedings.
Unless otherwise agreed, the tenant may gener - ally sublease the subject of the lease or other - wise grant its use to another person; however, only if such transfer of leasehold interest does not cause damage to the landlord. In practice, lease agreements commonly prohibit subleases or demand the landlord’s consent for the sub - lease. 6.19 Right to Terminate a Lease Lease agreements concluded for an indefinite period of time can be terminated by way of notice, which either party may give to another, observing the notice period. However, since most lease agreements are concluded for a fixed term, the ordinary termination rights are exclud - ed. A lease agreement concluded for a fixed term is terminated upon expiry of the lease term. The Obligations Code also grants both the land - lord and the tenant extraordinary termination/ withdrawal rights. The landlord may, under the law, terminate the lease agreement: • if the tenant, even after being reminded by the landlord, uses the subject of the lease in breach of the agreement or its purpose, or neglects to maintain it, and there exists a risk of significant damage to the landlord; • if the tenant fails to pay the rent within 15 days of the landlord’s request to do so; and/ or • if the tenant subleases the subject of the lease without the landlord’s permission when required to do so. Conversely, the tenant may withdraw from the lease agreement:
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