Published on 7. 7. 2026. Termination, settlement agreement, handover of the flat and reconciliation of the security deposit: an overview of the final phase of the tenancy relationship.
The end of a tenancy is often somewhat stressful for both parties: the formal termination of the contract needs to be settled, the flat physically handed over, and finally an agreement reached on the settlement of the security deposit. The following overview summarises how the entire process unfolds and what is worth considering at each individual step.
A tenancy agreement for a flat can essentially end in three ways: by the expiry of the agreed term (for fixed-term tenancies), by mutual agreement of both parties, or by notice given by one of the parties. Each of these routes follows a slightly different procedure and offers a different degree of flexibility, making each suitable for different situations. In the case of fixed-term tenancies, it is also often crucial what the contract stipulates regarding its possible extension, therefore, it is advisable to have this provision clearly defined in the text of the agreement.
If the tenancy ends by notice, allow for a statutory notice period of three months. Always submit the notice in writing and retain proof of delivery to the other party; in any dispute, this is the primary evidence establishing when the notice period commenced. We recommend using a delivery method that provides confirmation of receipt, whether by registered post or personal handover with a signature on a copy.
During the notice period, the tenancy continues under normal conditions: the tenant continues to pay rent and advance payments, and both parties can calmly organise the practical aspects of moving out and handing over the flat.
A faster and more flexible option is an agreement between both parties. Unlike giving notice, where one must wait for the notice period to expire, the parties can agree to terminate the tenancy on any date, even immediately. It is also advisable to have this agreement in writing so that it is clear on what date and under what conditions the tenancy ends.
An agreement is particularly useful when both parties agree to terminate the tenancy and do not wish to wait for the notice period to expire: typically when the tenant has found other accommodation earlier, or when the landlord and tenant arrange a quiet, non-confrontational end to the tenancy.
Whether the tenancy ends in any manner, the final step is the physical handover of the flat. It pays to proceed as at move-in, draw up an exit report. handover protocolcompare it with the initial reading, record the meter readings and hand over all keys. This step is precisely what forms the basis for the subsequent security deposit settlement.
It is advisable to agree on the handover date in advance so that both parties can be present on site. This facilitates not only the drafting of the protocol but also the resolution of any minor uncertainties directly at the location, avoiding unnecessary correspondence.
At the end of the tenancy, the landlord returns the security deposit and simultaneously offsets any tenant debts against it: typically outstanding rent or service charges, or costs for repairing damages. The tenant is entitled to interest on the security deposit upon its return. We cover this topic in detail in the article on vzor-najemni-smlouvy.cz certainty when renting a flat - We recommend agreeing in advance in writing on which account and by what method the security deposit will be refunded.
If the tenant disagrees with the amount deducted, it is sensible to first request a written breakdown of individual items from the landlord. A comparison with the handover protocol at move-in and move-out will usually quickly show whether the deducted amount is justified.
The end of a tenancy need not be complicated if both parties proceed systematically, termination or agreement in writing, proper handover of the flat with a protocol and clear settlement of the security deposit. In case of disagreement, whether regarding the reason for termination, the condition of the flat or the amount deducted, it is advisable to consider consulting a lawyer.
Sample tenancy agreement from the Ministry of Regional Development: a reliable starting point for drafting your own contract.
Open MMR template ↗How much may a deposit amount to, how debt set-off works and interest rates.
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Read more →Why it pays to draw up a protocol and what it should contain.
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