Facts
C. S.A. leases a four-and-a-half-room apartment to Ms. M. The monthly rent was 1,472 Swiss francs, plus 204 Swiss francs in charges, from September 1, 1990 to August 31, 1991 (first period); it was increased to 1,575 Swiss francs from September 1, 1991 to August 31, 1993 (second period), with the charges remaining the same.
In November 1990, the tenant requested the landlord's authorization to sublet two furnished rooms of her apartment. According to the draft contracts, the planned rents - including the charges related to the apartment - amounted to 500 Swiss francs for one of the rooms and 550 Swiss francs for the other during the first period, and 535 Swiss francs and 570 Swiss francs respectively during the second period. Considering these amounts excessive, C. S.A. refused to authorize the sublease.
Given the failure of the conciliation, Ms. [M.] brought the case before the Rental Tribunal of the Canton of Geneva. By judgment of October 2, 1991, the tribunal denied the abusive nature of the rents demanded from the subtenants and authorized Ms. [M.] to sublet the two rooms under the aforementioned conditions. Ruling on October 9, 1992 on the landlord's appeal, the Rental Appeals Chamber annulled the first instance decision and qualified the rents demanded by Ms. [M.] as abusive.
The tenant is appealing this decision.
Considerations
The Federal Tribunal begins by recalling that the regulation of subletting has been modified by the new provisions governing the lease that came into force on July 1, 1990. Whereas, under the old law, the lease agreement could make the sublease subject to the landlord's consent, the latter can now only object in the three specific cases determined by Art. 262 para. 2 CO, which is mandatory law. Art. 262 para. 2 let. b CO authorizes the landlord to refuse the sublease if its conditions are abusive compared to those of the main lease.
To determine what is meant by "abusive conditions", the Federal Tribunal proceeds…