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Rental / Lease Agreement Template – Contract Example

According to the Article 595 of the Obligations Law (“Off. Gazette of Montenegro”, no. 47/08 from 07.08.2008, 04/11 from 18.01.2011), on 9th February 2020 in Podgorica, concludes the following:






_____________ from Podgorica with personal number _________________ (hereinafter:  Landlord)


_____________ from Italy with passport number ________________ (hereinafter:  Tenant)




Article 1.

The subject of this contract is the lease of real estate two bedroom apartment, owned by the Landlord, registered in the immovable property no _____, CM Podgorica I, PD 26, measuring 85 m2, which is situated at the address: ________________, floor 3.(hereinafter referred to as the apartment).

Article 2.

Apartment will be used for living and is leased furnished.

Article 3.

The pictures deed are part of this contract and are made at the day of delivery of the subject real estate to the Tenant, containing detailed pictures of inventory and condition of  the premises and things, in case of need.

The pictures shall serve as the warranty evidencing the existence and condition of the things delivered to the Tenant, as well as of the whole apartment, and based on which it will be performed the delivery to the Landlord after the expiration of this contract validity.




Article 4.

This contract is concluded for the period of one year, with possibility of prolongation starting from 15th February 2020.

The Tenant undertakes to notify the Landlord in writing by not later than 30 days before the end of the lease period of possible intention to extend the lease, whereupon the Landlord will decide whether to negotiate it with the Tenant and under which conditions the lease would be extended.

If the Tenant fails to notify the Landlord of the intention to extend the lease period by the time specified in the preceding paragraph, this Agreement shall cease to be valid upon the end of the current lease period, with the obligation of the Tenant to return the apartment.


Article 5.

Monthly NET rent for this apartment is 700,00 (three hundred) Euros, which is paid in advance monthly, on 15th each month, with possible delay of 5 days, for the next month.

The rent will be paid to the Landlord in cash.


 Article 6.

The rent does not include expenses of the following bills:

  • electricity fee
  • water fee
  • garbage disposal
  • internet and TV
  • maintenance

and they shall be born by the Tenant.

The Tenant is obliged to settle those obligations in due time and to provide payment evidence to the Landlord by 30th each month for the past month..


Article 7.

The Tenant payed a deposit at a rate of one monthly rent, in the amount of 700,00 EUR, which will be returned within thirty days after termination of the contract.

In case of any material damages caused by the tenant due to his own fault, in order to provide coverage for any unpaid rents and unsettled expenses arising from this Agreement, liquidated damages or damage caused by the Tenant, Landlord has the right to offset the amount of deposit paid to repair the damage.

The Landlord undertakes, upon the case of this Agreement, to return to the Tenant unused promissory notes and received deposit or the bank guarantee, within 30 (thirty) days after the receipt of evidence of payment of all obligations due under the lease and all other expenses arising from this Agreement, in the remaining amount (if a deposit has been partially used in accordance with this Agreement).

If the Lease Agreement is terminated by the Landlord due to the Tenant’s default, then the Security Deposit/Bank Guarantee and promissory notes, shall be retained by the Landlord and applied against its damages and costs, and only in the amount needed for the compensation of the damages and the costs, without limiting its other rights and remedies.

Deposit shall be retained by the Landlord in case the Tenant cancels the rent of this apartment before the expiration date of the contract.




Article 8.

The Tenant may, at his own expense, insure his movable property (furniture and equipment) and general liability against damage to third parties and things during the validity of the lease.

The Landlord may insure the facility against general risks (fire, flood, earthquake etc.), as well as certain specific risks (glass breakage, water leakage etc.) with an insurance company of the Landlord’s choice.

In case the Tenant does not arrange insurance from paragraph 1. of this Article, the Tenant takes the full responsibility for the damages occurred on his movable property due to occurrence of the insured cases from preceding paragraph of this Article, i.e. the full responsibility for the damages against third parties caused in relation to use of the Premises by the Tenant, and releases the Landlord of any responsibility on those bases.


Article 9.

The Tenant shall pay the additional expenses amounting 2% of the monthly rent if there is a delay in rent payment for more than 5 days from the due date.

In case the rent is not paid at the due date or if the Tenant does not fulfill all obligations as per this Contract, the Landlord is entitled to ask, by means of written notice, from the Tenant to fulfill its obligations.

If, after 5 days from the day of that notice receipt the Tenant  does not fulfill those obligations the Landlord shall be entitled to perform the following: cancel the lease contract, take the subject real estate over, ask for unpaid rents as well as other fees provided by this Contract, including the damage caused due to violation.




Article 10.

Before entering the apartment, the Tenant shall inspect the premises and equipment in order to make sure they are appropriate and in order as regards the purpose they are rented for.

Upon completion of delivery, the Tenant is obliged, in case he notices any irregularities and failure in the apartment which has not been stated in the handover deed, within 72 hours from the apartment take over, to inform the Landlord.

Article 11.

The Tenant is obliged to maintain the apartment in good condition and to return it in the same condition upon the expiration of the lease contract.

The Tenant shall immediately inform the Landlord on any necessary repair.

The Tenant shall be responsible for the expenses of replacement and  repair of malfunctions or damages caused by him (replacement of consumable material as well as damage and failures caused by the irregular usage of devices or by direct physical damage caused by the Tenant).

The tenant is obliged to maintain all water pipes free in order not to be blocked or clogged.

The tenant shall use all electrical and sewerage devices according to their purpose.


Article 12.

The tenant shall not perform remodeling or structural changes in the apartment.

If he wishes to hang  pictures or other ornaments requiring placing of hooks, marks, nails in doors, walls, ceiling or floor, it shall be performed with prior written approval of the Landlord.

The Tenant accepts any improvements made by him in the subject apartment to be left at the Landlord upon the expiration of this contract, if otherwise not agreed.

The Tenant has no right neither to remove any such improvement unless it is required by the Landlord in written form nor to ask for any compensation with reference to it.

The Tenant agrees to repair any damage caused by such removal and to compensate any expenses regarding it.


Article 13.

The tenant is obliged to keep the apartment clean.

The Tenant agrees to use the apartment according to its purpose, that is, for living, and shall not allow usage of property for any other purposes.

The tenant does not have right to sublet the apartment to a third person.


Article 14.

The Tenant shall obey the house rules.

The Tenant shall not make any inconveniences and shall demand from the persons in the apartment to behave according to the law.


Article 15.

The Tenant shall allow its possible future tenant or buyer to inspect the exterior and interior of the apartment during the reasonable hours, in the course of  the period of notice. These types of visits are allowed only during the cancellation period.


Article 16.

The Tenant shall fulfill all demands regarding the local registration for living and provide documentation with reference to it.


Article 17.

Keeping  animals is prohibited.


Article 18.

The tenant is not obliged to paint the apartment, after leaving in the case of normal wearing of the apartment. Paint is obligatory only in the cases of mechanical damages walls and color, and in the case of keeping animals contrary to this agreement.

The Tenant is obliged to leave a clean apartment upon the final handover to the Landlord.

The Tenant is obliged to pay the taxes for rent of the apartment which are 9% from the total price of the rent until the contract is terminated.




Article 19.

The Landlord is responsible for credibility of data as regards the subject real estate.

The Landlord is obliged to provide to the Tenant uninterrupted usage of the apartment, according to its purpose.

The Landlord has right to visit the apartment for inspection once per month with previous announcement at least 24h beforehand.


Article 20.

The Landlord shall be responsible and obliged to bear expenses of replacement and damage repair not caused by the Tenant, and which have resulted from the obsoleteness of devices, equipment or water, sewerage pipes or electrical installations and to remove them within 48 hours.

In case Landlord does not provide things agreed upon in the precontract/contract or does not fix the damages from article 20, Tenant may fulfill these obligations and deduct those expenses from the next rent.




Article 21.

This contract may be terminated:

  • By written agreement between the landlord and the tenant
  • By written cancellation from the landlord or the tenant
  • other cases defined by the law.

The contract may be unilaterally terminated by sending a notice in written form, against the 30 days notice.




Article 22.

Amendments of conditions of this contract may be performed in written form only.


Article 23.

In case of a dispute as per this contract, which may not be resolved by agreement, Basic court in Podgorica is in charge.


Article 24.

This contract is made in 3 (three) copies.


Article 25.

Persons signing this contract guarantee to be authorized, that have read and understood it, and signed it voluntary.










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