Restoration to original condition means that the tenant restores the damage to the extent required by law or contract when moving out of the rental property. This does not mean returning the property to the exact same condition as when it was rented, and as a general rule, normal wear and tear and deterioration over time are not included in the tenant's burden.
In the field of rental management, the terms restoration to original condition,''return to original condition,'' and ``restoration to current condition'' tend to be used interchangeably. However, if the wording is ambiguous, explanations to tenants, estimates, and the basis for move-out settlement will become ambiguous. Even small differences in terminology can lead to big mistrust.
Key points of this article
- In practice when moving out of a rental property, it is basic to use "restoration to its original condition."
Original condition'' refers to the original state, andcurrent condition'' refers to the current state, so they have different meanings.- Restoring the property to its original condition does not normally involve placing the burden on the tenant for wear and tear or deterioration over time.
- In the estimate and settlement statement, it is necessary to explain not only the terminology but also the reason for the burden.
- It is important for management staff to share standards in words that are understandable to residents.
What is restoration to original condition?
Restoration to original condition is the concept of restoring damage caused by the tenant's intentional or negligent use, use beyond normal use, or violation of the duty of care at the time of moving out. Article 621 of the Civil Code and the Ministry of Land, Infrastructure, Transport and Tourism's guidelines for restoration to original condition also state that it is important to distinguish between normal wear and tear and aging.
For example, sun damage to wallpaper or light dents from placing furniture can occur in normal life. On the other hand, stains caused by smoking, scratches from pets, mold that has spread due to lack of cleaning, holes made without permission, etc., may be covered by the tenant.
The important thing is to explain what caused the damage'' rather thanclaiming because it's dirty.'' In rental management, it is necessary to document the basis for decisions in both words and records.
The relationship between security deposits and the revision of the Civil Code is How have security deposits and restoration to their original condition changed with the revision of the Civil Code? Practical countermeasures for landlords is organized in detail.
What is the difference between genjo-kaifuku, genjo-fukki, and the mistaken 現状回復 spelling?
The correct word to use in rental management is "restoration to original condition." "Restoration to its original state" is also used in a similar sense, but "restoration to its original state" is a more legal and practical expression in lease contracts and settlements.
On the other hand, we need to be careful about "restoring the status quo." “Current situation” refers to the state in front of you right now. The state in which the property is damaged when you move out is also considered the "current state," so if you write "restored to the current state," it becomes unclear what should be returned to where.
| Terminology | Meaning | How to use in rental management |
|---|---|---|
| Restoration to original condition | Restoration to the necessary extent based on the original condition | Used in move-out settlements, contracts, and estimates |
| Restoration to original state | Returning to original state | Often used in construction and interior work |
| Restoring the current state | Ambiguous expressions that refer to restoring the current state | Avoid in rental practice |
It is safer to use consistent terminology in the management company's internal materials, move-out settlement forms, estimates, and emails to tenants. When the words are aligned, the criteria for judgment are also aligned.
In practice, it is easier to get confused by separating the words used depending on the type of document.
| Document/Scene | Recommended notation | Reason |
|---|---|---|
| Rental contract | Restoration to original condition | Easy to connect with Article 621 of the Civil Code and the practice of exit settlement |
| Moving-out settlement statement | Restoration costs, tenant's burden, landlord's burden | Directly linked to explanation of cost burden |
| Construction estimate | Restoration work, repair, reupholstery, cleaning | Breakdown of construction details for easy explanation |
| In-house manual | Unified restoration to original condition | Reduced variation in explanations by person in charge |
| Conversation with an interior construction company | Restoration to its original condition is also used, but it is used in rent settlement | Do not confuse construction terms and settlement terms |
| Email to tenants | Concept of restoration, normal wear and tear, and deterioration over time | Replacing legal terms with everyday language |
By sharing this table within your company, you can reduce variations in expressions such as restoration to original condition'' in estimates,restoration to current status'' in settlement statements, and ``cost of restoration'' in emails. Standardization of terminology is a preventive task, not a response to complaints.
Why does misuse of terminology lead to move-out disputes?
Misuse of terminology is a problem because it makes it difficult for tenants to understand what they are responsible for. Especially when moving out, since the amount of the security deposit refund and additional charges are involved, ambiguous language can directly create a sense of distrust.
For example, if the estimate only says ``complete restoration of current condition,'' the tenant will not be able to determine what the cost is. Is it wallpaper replacement, floor repair, or cleaning? Furthermore, it is not known whether this is normal wear and tear or whether it is intentional or negligent on the part of the tenant.
The explanation that management staff should use is of the form:
- "This damage is not seen in the photos taken when moving in, and is thought to have been caused by damage when moving the furniture, so we have estimated that it will be the tenant's responsibility."
- "Sunburn on this wallpaper will be treated as aging due to normal use and will be dealt with at the landlord's expense."
- "We will check areas where mold has grown due to lack of cleaning separately from normal wear and tear."
In this way, if you explain the terminology, cause of damage, and burden classification as a set, the move-out settlement will be much easier. Honest and transparent explanations are fundamental to maintaining trust in a management company.
On the other hand, expressions such as the following should be avoided:
| Expressions to avoid | Why it's dangerous | Examples of paraphrases |
|---|---|---|
| Complete restoration of the current state | It is unclear what will be returned to where | The tenant's share of the restoration work will be listed in detail |
| Completely return to pre-move-in condition | Sounds like this includes normal wear and tear and age deterioration | Check for damage beyond normal use |
| It's dirty, so the tenant has to pay for everything | This explanation ignores the cause and age | Check the cause of the stain and the condition at the time of moving in, and sort out the burden. |
| I will charge you because it is written in the contract | It does not convey whether you understand and agree to the contents | I will confirm that it is within the scope of the special agreement explained at the time of contract |
This rephrasing is not intended to favor the tenant. This is to ensure that the landlord is able to claim what they can claim based on their grounds. In practice, it is better to provide a simple explanation in precise terms than to make a strong request in vague terms.
How should it be written in the estimate/settlement statement?
In the estimate and settlement statement, it is important not to limit the work to just a complete set of restoration work. If you write down the work items, location, quantity, unit price, burden classification, and reason for the decision separately, it will be easier for both tenants and owners to confirm the details.
In practice, at a minimum, organize the following items.
| Item | Example |
|---|---|
| Location | Western-style wall wallpaper, washroom floor, kitchen door |
| Contents | Reupholstery, repair, cleaning |
| Cause | Smoking stains, property damage, normal wear and tear, aging deterioration |
| Burden classification | Tenant burden, landlord burden, proportional division |
| Basis | Photos at move-in, record of witnessing move-out, contract special provisions |
The term "restoration to original condition" is widely used precisely because it is convenient. However, the more useful words are, the more we have to break them down. The quality of management is reflected in these details.
The cost and scope of restoration work can be found in [What is restoration work?] Please also check Contents, costs, and troubleshooting that rental owners should know.
When checking a quotation, look not only at the terminology but also at the contents of the "complete set" notation. For example, if you just say ``80,000 yen for a complete set of restoration work,'' you don't know how much it will cost to repair the wallpaper, floor, cleaning, or repair the fittings.
Once the management company receives the quotation, they will at least check the following:
- Are construction items divided by location?
- Can you confirm the quantity, unit price, and range?
- Is it granular enough to separate the burden on the tenant and the landlord?
- Is it possible to check the moving-in photos and exit witness records?
- Are there any items that fall under normal wear and tear/aging deterioration?
If the granularity of the estimate is coarse, the settlement details will also be coarse. If the settlement details are rough, the explanation to the tenant will also be rough. In order to reduce the trouble of moving out, it is important to prepare the words and items at the estimate stage.
Example of paraphrasing when explaining to residents
When explaining things to tenants, it is easier to convey the information by translating them into everyday language rather than just using legal terms. Management staff are responsible for correctly understanding technical terminology and converting it into expressions that are easier for the other party to understand.
For example, you could explain it like this:
- Restoration to original condition: "The idea is to repair parts that have been damaged beyond normal use, rather than parts that have naturally aged due to normal living."
- Normal wear and tear: ``This is a natural wear and tear that occurs during daily life, so as a general rule, we do not burden the tenant.''
- Aging: “A part that naturally ages over time.”
- Duty of care: "Duty to use the property with the care that is generally required during the rental period."
The purpose of explanation is not to defeat the other person. The goal is to get the tenant and landlord on the same page and proceed to a settlement that they can agree on. This is where the professional judgment of the management company comes into play.
Checklist that management companies should standardize within their company
The terminology for restoration to its original condition will only become established in the field once it is unified within the company. If each person in charge uses different expressions, the quality of the explanation will vary even for the same property.
Management companies should standardize the following items:
- Use "restoration to original condition" in the contract
- Do not use the expression "current status recovery" in the estimate.
- Keep move-in and move-out photos in the same storage location
- Share the classification table for normal wear and tear, aging deterioration, and intentional negligence.
- If the burden is to be paid by the tenant, record the cause and basis.
- If you use a special contract, keep a record of the explanation at the time of contract.
- Settlement details should be expressed in terms that are understandable to the tenant
Although it may seem like a small unification, creating standards like this will reduce problems with eviction. At INA, we believe that rental management is not just a simple administrative process, but a job that builds trust.
During internal reviews, it will be easier to incorporate them into practice if you check the exit settlement statement and email text from the following perspectives.
| Review items | Things to check |
|---|---|
| Terminology | Is there a mix of restoration to original condition, restoration to original condition, and restoration to status quo? |
| Cause | Is the cause of the damage written? |
| Classification of burden | Is the burden divided into tenant burden, landlord burden, and pro rata share? |
| Basis | Is it connected to photos taken at the time of move-in, special provisions in the contract, and witness records? |
| Explanation | Are the words used so that the tenant can understand the meaning? |
Once this review system is established, even new staff members can provide explanations with a certain level of quality. Unifying terminology is also effective in reducing educational costs.
Frequently asked questions (FAQ)
Q1. Do genjo-fukki and genjo-kaifuku mean the same thing?
A. Although they are used in similar senses, it is appropriate to use the term ``restoration to its original condition'' in the practice of renting out. Restoration to its original state is often used in the context of construction and interior decoration work, and it is safer to use uniform expressions in contracts and settlement payments.
Q2. Is it prohibited to use the term "restoration of the status quo"?
A. Although it does not immediately become invalid under the law, the meaning is ambiguous and should be avoided. "Current status" refers to the current state of the property, so it is better to use the term "restored to its original condition" in move-out settlement to avoid misunderstandings.
Q3. Are all restoration costs to be borne by the tenant?
A. It is not all the responsibility of the tenant. Normal wear and tear and deterioration over time are, in principle, the responsibility of the landlord. In order for the tenant to bear the burden, evidence such as intentional or negligent damage, damage beyond normal use, or a special agreement is required.
Q4. What should the management company record?
A. You should leave a photo when you moved in, a photo when you moved out, a history of repairs, a history of contact with the tenant, an estimate, and payment details. The more records you have, the more objective your explanation of the move-out settlement will be.
Related Reading
- How have security deposits and restoration to their original condition changed with the Civil Code revision? Practical countermeasures for landlords
- What is restoration work? Contents, costs, and troubleshooting that rental owners should know
References
