Facts
The appellant, [A.] , had concluded a lease agreement with the respondent, [B. AG] , on January 19, 2005, for a retail and sales area in [Z.] . The contract had a fixed term until January 31, 2010, and could be extended for an additional five years. The appellant exercised this option, and the contract was extended until January 31, 2015. After the respondent informed the appellant of its renovation plans, the appellant requested an extension of the lease. The Zurich Rent Court extended the lease until June 30, 2015, and the High Court of the Canton of Zurich confirmed this decision.
The appellant applied to the Federal Court to overturn the High Court's judgment and extend the lease until March 31, 2017. She argued that without this extension, she would not be able to continue her business activities and would lose her regular customers.
Considerations
The Federal Court first examined whether the appeal was admissible. It found that the appellant had not submitted a material application, but had made such an application recognizable in her reasoning, by requesting the extension of the lease until March 31, 2017.
The Federal Court pointed out that the extension of a fixed-term lease is only possible under Art. 272 CO if the termination of the lease would result in hardship for the tenant that cannot be justified by the landlord's interests. The duration of the extension is a maximum of six years, and the competent authority must consider various criteria when weighing the interests, such as the circumstances of the contract conclusion, the duration of the lease, and the personal, family, and economic circumstances of the parties.
The Federal Court…