In terms of section 14(2)(b)(i) of the CPA,
despite any provision of the lease to the contrary, the tenant may cancel the
lease at any time by giving the landlord 20 business days’ notice in writing.
However, this provision is not applicable where the landlord and the tenant are
both juristic persons.
In terms of section 14(3)(b) of the CPA, as read with regulation 5(3), the
landlord is entitled in such circumstances to impose a reasonable cancellation
penalty which must not have the effect of negating the tenant’s right to cancel
the fixed term lease.
Watch a video on the Consumer Protection Act to learn more.