UNCONSTITUTIONALITY OF THE LAW THAT LIMITS THE RENTAL PRICE

21/04/2022

The Constitutional Court on March 10, 2022 has issued a JUDGMENT declaring the nullity and unconstitutionality of most of the articles of LAW 11/2020 of September 18 of urgent measures to contain income from the contracts of housing leases.


THE MOST RELEVANT EFFECTS OF THIS SENTENCE ARE:


1. Law 11/2020 is inapplicable and without effect, since with the declaration of nullity and unconstitutionality of most of its articles, it is without applicable content.


2. From now on, housing rents will not have their income limited, and it will be possible to agree on the rent agreed by the parties, based on the principle of freedom of agreement established in article 17 of the LAU (1. The income shall be as freely stipulated by the parties).


3. The Judgment has no retroactive effect: The effects of the Judgment are for the contracts signed from this resolution, therefore, they are not affected and the contracts previously concluded on the basis of the income limitation rules of Law 11/2020.


4. It is clear that the Parliament of Catalonia has no powers to limit the prices or rents of housing leases.


ENTRY INTO FORCE:
April 8, 2022, the date on which the Judgment has been published in the BOE.