Commercial Eviction Process in Portugal (Non-Residential Leases)

The eviction of a commercial (non-residential) tenant in Portugal — covering offices, retail units, restaurants, warehouses, and industrial premises — is governed by the New Urban Lease Regime (NRAU, Law No. 6/2006, which came into force on 27 June 2006, as amended) and the Portuguese Civil Code. Commercial tenancies are distinguished from rural leases (arrendamento rural, governed by Decree-Law No. 294/2009) and from residential tenancies. The applicable legal term is arrendamento para fins não habitacionais.

Self-help eviction — changing locks, cutting utilities, or removing a tenant's belongings without a court order or BAS enforcement — is illegal under Portuguese law and exposes the landlord to civil damages and criminal liability.

1. Grounds for Termination of a Commercial Lease

The NRAU recognises the following grounds for a commercial landlord to terminate a lease:

1. Non-payment of rent or charges for three or more consecutive months, or four non-consecutive times in any 12-month period.
2. Unauthorised works that constitute a breach of contract, as the tenant is only permitted to carry out works if the contract allows it or if authorized in writing by the landlord. Such a breach may lead to termination if, by its gravity or consequences, it makes the maintenance of the lease inexigible to the landlord.
3. Abandonment of the licensed commercial purpose — closing the business for more than one year without justification, thereby abandoning the commercial use for which the lease was granted.
4. Subletting without consent where the lease prohibits it, or if the cession of the enjoyment of the property is illicit, invalid, or ineffective before the landlord.
5. Opposition to lease renewal — a landlord may oppose automatic renewal by serving notice within the contractually and legally required periods.

Important — Rural Leases are Separate: Leases for agricultural land and rural exploration (arrendamento rural) are not governed by the NRAU. They are subject to Decree-Law No. 294/2009 and have different termination procedures. The NRAU applies exclusively to urban premises.

2. The Purga da Mora: Tenant's Right to Cure (Art. 1084 CC)

A statutory protection frequently overlooked in commercial eviction planning is the Purga da Mora under Article 1084 of the Civil Code. For rent arrear defaults:

• Upon receiving the landlord's termination notice, the tenant has the right to cure the default (pay all outstanding rent plus applicable interest) within one month of receiving the notice.
• If the tenant successfully exercises the Purga da Mora, the termination notice is invalidated and the lease continues.
• A landlord must account for this right-to-cure period before proceeding to BAS enforcement.

3. Opposition to Lease Renewal: Notice Periods

When a commercial landlord wishes to oppose the renewal of a non-residential lease, the required notice periods depend on the contractual term, applying the rules for residential leases in the absence of specific stipulations for non-residential leases:

• Lease duration 6 or more years: Minimum 240 days advance notice before expiry.
• Lease duration 1 to 6 years: Minimum 120 days advance notice before expiry.
• Lease duration less than 1 year (specifically 6 months to 1 year): Minimum 60 days advance notice before expiry.
• Lease duration less than 6 months: One third of the initial duration of the contract or its renewal.

Notice must be served by registered letter or notarial service. Email alone may not satisfy the service requirements.

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