Short-term lease agreement – what it is, how it works, and what rights it grants the landlord

What is an occasional lease agreement?

Pursuant to Article 19a(1) of the Polish Act, an occasional lease agreement is a residential lease agreement entered into by an owner who is a natural person not engaged in the business of renting premises, for a fixed term not exceeding 10 years.

The statutory definition thus clearly indicates that the subject of an occasional lease may only be premises serving to meet the tenant’s housing needs. This means that this concept does not apply to commercial premises, premises intended for business activities, or premises rented for short-term stays, particularly for tourism or leisure purposes.

Who can enter into an occasional lease agreement?

The provisions of the Polish Act also limit the group of entities authorized to enter into an occasional lease agreement. The lessor may only be a natural person who does not conduct business activities involving the leasing of premises. At the same time, the tenant may, of course, be either a Polish citizen or a foreign national, provided they act as a natural person. An occasional lease agreement, however, may not be entered into by commercial law companies, foundations, associations, or other entities that are not natural persons.

As accurately noted in the legal literature: “Under current law, an occasional lease is a legal construct that can be used only in a single configuration of parties. The parties to this type of lease can only be natural persons.” (P. Machnikowski (ed.), Act on the Protection of Tenants’ Rights, Municipal Housing Stock, and Amendments to the Polish Civil Code. Commentary [in:] Obligations. Vol. V. Non-Code Provisions. Commentary, 1st ed., 2025.)

However, the assessment of whether the landlord conducts business activities in the field of renting premises should be made taking into account the totality of the factual circumstances. Such activity is generally characterized by repetitiveness, a profit-making nature, and an appropriate degree of organization.

A practical example from Polish case law:

“The owner’s leasing of three residential premises and the announced intention to acquire other premises for the purpose of leasing them constitutes an undertaking of a scale sufficient to classify the leasing of premises as a business activity, since such a scale of activity will necessitate the organization of the landlord’s operations” (the Polish Supreme Court judgment of February 14, 2013, case no. II CSK 351/12).

For what period is an occasional lease agreement concluded?

The law limits the term of an occasional lease agreement to 10 years. Furthermore, an occasional lease agreement may only be entered into for a fixed term, whereas “traditional” lease agreements may be entered into for either a fixed or an indefinite term.

Of course, after 10 years, an occasional lease agreement will not convert into an “occasional lease agreement concluded for an indefinite term,” as is the case with “traditional” lease agreements (pursuant to Article 661 of the Polish Civil Code), since such an agreement does not exist under the law.

Therefore, if the landlord’s intention is to enter into a lease agreement for an indefinite term, they should enter into a “traditional” lease agreement, not an occasional lease agreement.

Form of the occasional lease agreement – formal requirements

The Polish Act specifies that an occasional lease agreement must be concluded in writing under penalty of nullity, which means that failure to comply with this form results in the absolute nullity of the agreement and prevents it from being recognized as a validly concluded occasional lease agreement. It is also important that the attachments to the agreement, which constitute an integral part thereof and are discussed below, must also be in writing. Therefore, it is not possible to enter into an occasional lease agreement orally.

Termination of an occasional lease agreement by the landlord

A short-term residential lease agreement expires at the end of the term for which it was entered into or is terminated at the end of the notice period.

As a general rule, the landlord may terminate the lease agreement in the cases specified in the agreement. Furthermore, the landlord may also terminate the occasional residential lease agreement in accordance with the Polish Act, with at least one month’s notice, effective at the end of a calendar month, if the tenant:

• despite a written warning, continues to use the premises in a manner contrary to the agreement or inconsistent with their intended purpose, or neglects their obligations, causing damage, or destroys equipment intended for common use by residents, or grossly or persistently violates house rules, making the use of other premises burdensome, or

• is in arrears with the payment of rent, other fees for the use of the premises, or fees not attributable to the landlord but collected by the landlord only in cases where the tenant does not have a contract directly with the utility provider or service provider, for at least 3 full payment periods despite having been notified in writing of the intention to terminate the lease and having been granted an additional one-month period to pay the overdue and current amounts due, or
  
  
• has rented, sublet, or made the premises or a part thereof available for free use without the required written consent of the landlord.

It is also worth noting the provision contained in Article 19d(5) of the Polish Act. It provides that if the tenant loses the ability to reside in the replacement dwelling (discussed in more detail below), but fails to notify the landlord of this within 21 days of the occurrence of such circumstances and fails to identify another replacement dwelling while simultaneously submitting the owner’s consent, the landlord may terminate the occasional lease agreement in writing, however, the notice period for the occasional lease agreement in this situation is 7 days.

Termination of the occasional lease agreement by the tenant

In most cases, the occasional lease agreement is terminated by the landlord due to the tenant’s fault. However, this is not always the case, and under certain circumstances, tenants also have the right to terminate the agreement.

First and foremost, the tenant is entitled to this right when:

• at the time the property (i.e., the premises) was handed over to the tenant, it had defects that prevent the use of the property as provided for in the agreement, or if such defects arose later and the landlord, despite receiving notice, did not remedy them in a timely manner, or if the defects cannot be remedied. However, the tenant is not entitled to immediately terminate the lease if they were aware of the defects at the time the contract was concluded;
  
  
• if the defects in the leased premises are of such a nature that they endanger the health of the tenant or their household members, even if the tenant was aware of the defects at the time the contract was concluded.

The parties may also include grounds for terminating the agreement in the text of the occasional lease agreement; however, it is important that these grounds be precisely defined.

Occasional lease – protecting the landlord’s interests

It appears that for the landlord, the primary reason for entering into an occasional lease agreement (rather than a “standard” lease agreement) is to protect their legal interests. This is because a “traditional” lease agreement provides significant protection for the tenant’s legal interests (rather than the landlord’s) by limiting the landlord’s ability to enforce their rights. For example, if the tenant fails to pay rent for the premises, the landlord is only entitled to take legal action against the tenant once the debt covers three billing periods (three months) and a one-month notice period has elapsed.

Furthermore, the landlord is not legally entitled to “evict” the tenant even after terminating the lease agreement. In practice, this occurs only after the initiation and final resolution of court proceedings, which in the Polish context can take even many years, during which the landlord is deprived of rental income, and the premises remain occupied by the tenant. Of course, the landlord is then entitled to subsequent judicial enforcement of claims for compensation for the unauthorized occupation of the premises; however, in many cases, this is a mere illusion.

An occasional lease agreement provides for a simplified eviction procedure. The landlord is not required to file an eviction lawsuit in court and, as a rule, wait for years for the court’s verdict. The simplified enforcement procedure is based on the tenant submitting a statement of submission to enforcement, which serves as an attachment to the occasional lease agreement.

In a situation where the short-term lease agreement is terminated, for example due to the tenant’s failure to pay rent, the landlord need only demand that the tenant vacate the premises. If the tenant continues to occupy the premises, the landlord applies to the court to have the tenant’s statement declared enforceable. The entire process takes approximately 1–4 weeks. The landlord may then request a bailiff to initiate enforcement proceedings against the tenant to evict them from the premises.

What tenant declarations are required for an occasional lease?

As indicated in the previous paragraph, for the landlord to use the simplified eviction procedure, the tenant must submit a declaration of submission to enforcement. This declaration is one of three declarations that serve as attachments to the occasional lease agreement. Pursuant to Article 19a(2) of the Polish Act, the following tenant declarations, in particular, must be attached to the occasional lease agreement:

• a notarized statement by the tenant in which the tenant has consented to enforcement and agreed to vacate and surrender the premises occupied under a short-term lease agreement by the date specified in the demand referred to in Article 19d(2),
  
  
• the tenant’s indication of another premises where they will be able to reside in the event of enforcement of the obligation to vacate the premises,
  
  
• a statement by the owner of the premises or the person holding legal title to the premises referred to in point 2 or paragraph 3, consenting to the tenant and the persons residing with him residing in the premises indicated in the statement; at the landlord’s request, a statement with a notarized signature shall be attached.

What are the consequences of failing to provide the required statements for an occasional lease?

It is worth noting that for an occasional lease agreement to be validly concluded, all three statements must be attached. Otherwise, even if the agreement meets all other conditions listed in the provisions of the Tenant Protection Act regarding such an agreement but does not include the statements, it will not constitute an occasional lease agreement but a “traditional” lease agreement.

As noted in legal doctrine: “Failure by the tenant to specify a residence where they may live in the event of eviction from the premises covered by an occasional lease agreement (failure to provide the attachment referred to in Article 19a(2)(2) of the Housing Protection Act), or the lack of a statement by the owner (the person holding legal title to the premises) consenting to the tenant’s residence in those premises results in the lease agreement, although valid, not being subject to the regime of occasional lease.” (P. Machnikowski (ed.), Act on the Protection of Tenants’ Rights, Municipal Housing Stock, and Amendments to the Polish Civil Code. Commentary [in:] Obligations. Vol. V. Non-Code Provisions. Commentary, 1st ed., 2025)

Practical example from Polish case law:

“Failure by the parties to an occasional lease agreement to fulfill the specific obligations provided for in the Polish Act and characteristic of this type of lease (such as the tenant’s submission of a declaration of submission to enforcement or the landlord’s notification of the conclusion of the agreement to the tax office) will result in the lease having limited effectiveness, but its nature will not change in the sense that it will continue to be a fixed-term residential lease agreement” (judgment of the Polish Regional Court in Poznań, 15th Polish Civil Appeals Division, dated June 30, 2014, case no. XV Ca 217/14).

Rent and rent increases in occasional leases

Article 19c(1) of the Polish Act provides that, in the case of the occasional rental of premises, in addition to the rent, the landlord may only collect charges that are independent of the landlord, unless the agreement provides otherwise. It therefore appears that the parties may regulate the issue of fees charged by the landlord differently and may also agree that the landlord is entitled to fees other than rent, such as utility charges, waste collection, sewage, etc.

Unlike a “traditional” lease agreement, the parties may also agree on any method for making changes (increases) to the rent, for example by including an indexation clause. Pursuant to Article 19c(2) of the Polish Act, the landlord may increase the rent only in accordance with the terms specified in the agreement. An increase in the rent for an occasional lease is therefore possible, and the provision cited above constitutes another reason why the occasional lease agreement is a legal mechanism frequently chosen by property owners.

Security deposit in occasional leases – rules and amount limits

A security deposit serves as a common guarantee of the tenant’s proper performance of the lease agreement. Compared to a “traditional” lease agreement, the Polish Act also introduces provisions that are advantageous to the landlord. Pursuant to Article 19a(4) of the Polish Act, the conclusion of a lease agreement for a temporary rental of premises may be contingent upon the tenant paying a security deposit to cover the amounts due to the owner for the temporary rental of the premises as of the date the premises are vacated, as well as any costs associated with enforcing the obligation to vacate the premises.

The landlord should, however, bear in mind that the amount of the security deposit cannot be set arbitrarily, as it may not exceed six times the monthly rent for the premises in question, calculated based on the rent rate in effect on the date the occasional lease agreement is concluded.

Pursuant to Article 19a(5) of the Polish Act, the security deposit is refundable within one month from the date the premises are vacated, after deducting the landlord’s receivables arising from the occasional lease. This primarily includes: rent, and in the event the landlord submits a declaration of submission to enforcement, the costs of court proceedings to grant an enforcement clause to the notarial deed, the costs of enforcement proceedings conducted by a bailiff, and expenses incurred during the eviction.

Reporting an occasional lease to the Polish tax office

The landlord should also bear in mind that, pursuant to Article 19b(1) of the Polish Act, he is required to report the conclusion of an occasional lease agreement to the head of the tax office with jurisdiction over the owner’s place of residence within 14 days of the lease commencement date.

It is worth noting the prevailing view in the literature that if an occasional lease agreement is not reported to the head of the tax office, the agreement will not be classified as an occasional lease agreement but as a “traditional” lease agreement. Reporting the conclusion of an occasional lease agreement is therefore not only an obligation toward the Head of the Tax Office but also, in a sense, determines the nature of the lease as an occasional one.

How do you report an occasional lease to the tax office? Currently, there is no “official” form for reporting a lease, but reporting an occasional lease agreement to the tax office is not complicated. We recommend submitting an application that includes the following information:

• tenant’s details,
• landlord’s details,
• date of conclusion of the occasional lease agreement,
• date of handing over the premises to the tenant,
• exact address of the premises.

The application should also be signed by hand by the applicant (landlord).

Costs of an occasional lease – how much does a notary agreement cost?

Submitting the declarations mentioned above entails notary fees of approximately 400 PLN. The law does not specify who is responsible for covering these costs; therefore, the parties to the agreement may determine this as they see fit. It therefore appears that the cost of an occasional lease agreement is relatively low compared to the legal security it provides to the landlord.

Summary

Occasional rental is a special form of residential lease available exclusively to individuals who do not engage in rental business activities. Its primary advantage is that it enhances the protection of the landlord’s interests while maintaining statutory guarantees for the tenant.

Unlike a standard lease agreement, an occasional lease requires compliance with additional formal requirements, specifically the tenant’s submission of a notarized declaration of submission to enforcement. Failure to meet these conditions results in the agreement not qualifying as an occasional lease.