Coronavirus: Rent moratoriums and suspension of agreement

On 11 March 2020, the World Health Organization declared a public health emergency of international concern (PHEIC) following the spread of SARS-CoV2 (Coronavirus) and the disease it causes, Covid-19.

A state of emergency was declared in Portugal by Decree of the President of the Republic 14-A/2020 of 18 March and was renewed by Decree of the President of the Republic 17-A/2020 of 2 April. Following such declaration, exceptional and temporary measures have been adopted in relation to the COVID-19 pandemic.

 In this context, Law 4-A/2020 of 6 April and Law 4-C/2020 of 6 April have recently been approved. These laws have an impact on lease agreements and Law 4-C/2020 of 6 April also impacts other contractual relationships involving the operation of properties for commercial purposes.