A lease agreement cannot be terminated midway, even if the owner intends to use the leased asset himself. From a civil law perspective, a lease agreement that has been legally agreed upon between the parties cannot be terminated unilaterally before the end of the specified term, including if the owner intends to use the leased asset himself, unless otherwise stipulated in the agreement or under applicable laws and regulations. This is regulated in Article 1579 of the Civil Code, which states, “The lessor cannot terminate the lease by stating that he intends to use the leased asset himself, unless otherwise agreed.” And termination of a lease agreement at the request of only one party can only be effected by a court decision, as stipulated in Article 10 paragraph (3) of Government Regulation No. 49 of 1963 in conjunction with Government Regulation No. 55 of 1981.
Can a lease be terminated if the owner intends to use the leased asset?
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