A diplomatic clause is usually found in tenancy agreements for a lease of 12 months or longer.
It allows for the termination of the lease before its expiry at a fixed time or upon the occurrence of specified event.
A diplomatic clause is especially important for foreigners who can be staying in Singapore for an unknown period of time. Such a clause protects the tenant in the event that he cannot reside in Singapore anymore. He need not pay the agreed monthly rent for the duration of the tenancy that is unoccupied.
A diplomatic clause will require the tenant to give:
- Acceptable reason to exercise the diplomatic clause, such as job transfer or termination of employment
- The notice period, usually 1 -2 months
- Minimum period of tenancy, usually 12 months
- Evidence from company to prove your reason
Exercising the diplomatic clause
The tenant must show documentary proof of his company transferring him to another country or that of his cessation of employment to exercise the diplomatic clause.
It is best that the tenant informs the landlord with proof as soon as he has the documentary proof to exercise the diplomatic clause.
Feel free to contact me if you need further advice.