Facts
The applicants, [A.C.] and [B.C.] , have been tenants of a 5 1/2-room apartment and a garage in [Y.] since 1 April 1996. The respondents, [D.] , [E.] , and [F.] , terminated the tenancy on 10 January 2007, citing comprehensive renovation work. The applicants challenged the termination before the conciliation authority, which, however, found the termination to be valid. The Rent Court of the Horgen district and the High Court of the Canton of Zurich confirmed this decision.
The applicants requested the Federal Court to declare the termination abusive, as the renovation work would be tolerable for them and they could remain in the rented property during the work. The respondents argued that the comprehensive renovation justified termination, as the work could not be carried out without vacating the rented property.
Considerations
The Federal Court examined whether the respondents' termination violated the principle of good faith. It found that the comprehensive renovation of the property, which included the complete replacement of kitchens, bathrooms, and piping, changes to the apartment's floor plan, and renewal of wall and floor coverings, constituted a legitimate interest of the respondents in terminating the tenancy.
The court found that the applicants had not proven…