Who shall bear the liability for compensation for the loss caused by water ingress into the leased warehouse? It is necessary to distinguish the cause of water ingress and the agreement in the lease contract between the two parties. If the lessor fails to ensure that the warehouse is up to the corresponding standards and can be used normally, the lessor shall be liable for compensation if the warehouse is flooded. Or if the lessor promises in the contract that the warehouse will not be flooded or compensate for damage caused by water flooding without human intervention, the lessor shall also be liable for compensation for the loss.
The lessor shall perform the obligation of maintenance of the lease item, except otherwise agreed by the parties. The lessee may request the lessor to repair the lease item within a reasonable period of time when it needs repair.
[Legal Basis]
Article 711 of the Civil Code of the People's Republic of China states that if the lessee fails to use the lease item in the agreed way or according to the nature of the lease item, resulting in losses to the lease item, the lessor may terminate the contract and claim compensation for the losses.