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PLP > 10.1 Alienation > Flashcards

10.1 Alienation Flashcards

1
Q

What is the effect of an overriding lease granted pursuant to 19 LT(C)A

A

Makes T immediate L of assignee who has defaulted

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2
Q

Two types of deed for assignment

A

DoA or TR1

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3
Q

Tenant-mix

A

Moss Bros v CSC Properties

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4
Q

Why does L want direct covenant w/ A under old lease + UT to comply w/ T’s covenants

A

To give direct action

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5
Q

What is an assignment

A

Sale of lease

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6
Q

When will T remain bound by PoC even if new lease

A

If the assignment was unlawful (failed to comply w/ conditions of assignment)

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7
Q

Docs to investigate for T’s title for underlease

A

OCs if reg, lease and subsequent docs

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8
Q

What is the effect of 19(1A) LTA ‘27

A

Makes circumstances of refusal and conditions of A automatically reasonable

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9
Q

Reasonable response

A

Dong Bang Minerva v Davina

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10
Q

Whose title do you investigate for underletting

A

Immediate L and superior L’s titles

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11
Q

What is the position on privity of contract for old leases

A

PoC remains for outgoing T on assignment for entire term

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12
Q

What to consider first in law part of alienation Q

A

19(1)(a) LTA ‘27

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13
Q

When is an underlease registrable

A

If term over 7 years

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14
Q

How is consent to alienation given (generally)

A

Deed of Licence

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15
Q

What happens to the headlease in underletting

A

Remains

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16
Q

19(1C)

A

If 19(1A) condition by ref to subjective opinion, that person must act reasonably or give T right to refer to independent 3rd

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17
Q

What case is always applicable under 19(1)(a) LTA

A

International Drilling v Louisville

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18
Q

Crestfort v Tesco Stores ratio

A

Preconditions to underletting are mandatory + failure to comply means L need not even consider T’s app

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19
Q

What section + statute permits L to ask T for AGA

A

16 LT(C)A

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20
Q

What was considered obiter on 1 LTA 1988

A

L bound to response by 1 LTA even if preconditions of consent for alienation not met

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21
Q

Consent in principle

A

Aubergine v Lakewood

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22
Q

Three cases on 19(1)(a) LTA ‘27

A

International Drilling v Louisville; Moss Bros v CSC Properties; Ashworth Frazer v Gloucester CC

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23
Q

What document must be used for lease of longer than 3 years

A

Deed

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24
Q

When is a deed not needed for a lease

A

If 3 years or less

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25
Q

What does 17 LT(C)A require

A

If L claiming rent, serve rent default notice on OT within 6 months of payment becoming due

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26
Q

Milmo v Carreras key

A

Term in underlease

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27
Q

What is underletting

A

Grant of a new lease out of a headlease

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28
Q

Consent of who for underletting if applicable

A

Mortgagee

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29
Q

Crestfort v Tesco Stores key

A

Underletting preconditions

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30
Q

When does an assignment need to be registered at LR

A

If unregistered + >7 years left, or if reg then change details on Proprietorship Register

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31
Q

What case warns against giving consent in principle to alienation

A

Aubergine v Lakewood

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32
Q

Moss Bros v CSC Properties ratio

A

L can have tenant-mix policy if known + rational

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33
Q

What is a new lease

A

On/after 01/01/96

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34
Q

What provisions in underlease must be less than in headlease

A

Term and rent

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35
Q

What is the effect of an AGA

A

T liable for A’s defaults, for term or until A assigns

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36
Q

Why is outgoing T’s covenant strength no longer determinative for whether to give consent to assignment under new lease

A

Because outgoing T won’t remain liable

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37
Q

Conditions for AGA to be imposed under 16 LT(C)A

A

Assignment requires consent + lawful condition of assignment is to enter into AGA

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38
Q

What if preconditions on assignment + old lease

A

As long as doesn’t state what = reasonable refusal, conditions are valid

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39
Q

International Drilling v Louisville ratio

A

To be ‘reasonable’ under FQC, refusal must be to do w/ L-T relationship

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40
Q

When does privity of estate cease

A

As soon as interest in land disposed of

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41
Q

Term in underlease

A

Milmo v Carreras

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42
Q

Who will you also need consent from for assignment, if applicable

A

Mortgagee

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43
Q

What is L likely to get from assignee under old lease + UT

A

Direct covenant to comply w/ T’s covenants

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44
Q

What can you argue for preconditions to underletting, despite Crestfort

A

Still unreasonable - apply International Drilling

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45
Q

What are the title deeds for investigation of title on assignment

A

Lease, OCs and docs affecting lease

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46
Q

Within what time period must assignee apply to LR to change details of T on Proprietorship Reg

A

Within priority period of OS1R

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47
Q

What can T do under 19 LT(C)A

A

Demand in writing within 12 months of payment to be granted overriding lease

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48
Q

When will SDLT be payable after assignment of lease

A

If premium paid above SDLT threshold

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49
Q

What additional doc for assignment may be condition of assignment, imposed by L

A

AGA

50
Q

What is the next stage after applying 19(1)(a) LTA

A

Look to see if any preconditions of alienation

51
Q

Dong Bang Minerva v Davina ratio

A

28 days considered reasonable when L given e.g. HoT for 1 LTA ‘88

52
Q

What kind of covenants does 1 LTA ‘88 apply to

A

FQC

53
Q

What if underlease for 3 years or less

A

No deed needed

54
Q

When is AGA unnecessary

A

If old lease, as T remains liable for entire term

55
Q

What prohibits L charging fine for giving consent to alienation unless expressly included in lease

A

144 LPA ‘25

56
Q

144 LPA does what

A

If consent needed to alienate, cannot charge fine unless lease expressly permits

57
Q

Moss Bros v CSC Properties key

A

Tenant-mix

58
Q

Example of a doc that may affect the lease (for investigation of title)

A

Deed of Variation, Licence to Assign

59
Q

What if preconditions on underletting

A

Mandatory + failure to comply means L need not even consider T’s app

60
Q

Breach covenant

A

Ashworth Frazer v Gloucester CC

61
Q

What is an old lease

A

Before 01/01/96

62
Q

What docs do you investigate for L’s title

A

OCs if reg or epitome if not

63
Q

What may be a condition of A if assignee is of lower financial standing

A

Guarantor or OT to give AGA

64
Q

What does 1 LTA 1988 require

A

L to give written consent within reasonable time, unless reasonable refusal

65
Q

When can T recover expenses paid for L to consider alienation request

A

If L unreasonable or does not comply w/ 1 LTA 1988

66
Q

Underletting preconditions

A

Crestfort v Tesco Stores

67
Q

Who is deed between for assignment

A

Outgoing T and assignee

68
Q

What might L do if within circumstances to refuse, but chooses to give consent

A

Impose conditions also set out within lease

69
Q

Can L charge fine for giving consent to alienation under 19(1)(a)?

A

Only if lease expressly permits (144 LPA ‘25)

70
Q

When does 16 LT(C)A apply

A

If assignment can’t be affected w/o consent and lawful condition of A is to enter into AGA

71
Q

Effect of not registering assignment w/ LR

A

Assignee does not have legal interest

72
Q

What is privity of contract

A

Between parties to C

73
Q

What is privity of estate

A

Share immediate interest in same land

74
Q

After both assignment or underletting happen, who must be notified

A

L

75
Q

Ashworth Frazer v Gloucester CC ratio

A

L can reasonably refuse under 19(1)(a) if believe A will breach covenant

76
Q

Three kinds of alienation

A

Surrender, underletting and assignment

77
Q

1 LTA 1988 on what

A

Provides for L’s response to application for alienation

78
Q

Who is burden on to prove reasonable refusal of alienation request

A

L

79
Q

What happens to liability of outgoing T on assignment

A

Disappears if new lease

80
Q

When does 1 LTA ‘88 apply (response from L within reasonable time)

A

If T makes written app for consent + FQC

81
Q

What statute and provision provides for L’s response to application for alienation

A

1 LTA 1988

82
Q

28 days considered reasonable when L given e.g. HoT for 1 LTA ‘88

A

Dong Bang Minerva v Davina

83
Q

Ashworth Frazer v Gloucester CC key

A

Breach covenant

84
Q

What happens if conditions under 19(1A) are by ref to subjective opinion

A

That person must act reasonably or give T right to refer to independent 3rd (19(1C)

85
Q

What statute + section upgrades QC to FQC

A

19(1)(a) LTA ‘27

86
Q

When a new lease is created (out of freehold or underlease), what is registered at LR

A

New title number in own right for lease

87
Q

Can L charge reasonable sum for giving consent to alienation under 19(1)(a)?

A

Yes but only if expressly in lease per 144 LPA ‘25

88
Q

What is interplay between 19(1)(a) and 19(1A)

A

Consider if scenario has condition stated in lease (19(1A)), and if not then consider if reasonable per International Drilling

89
Q

What if preconditions on assignment + new lease

A

19(1A) LTA ‘25 applies

90
Q

Dong Bang Minerva v Davina key

A

Reasonable response

91
Q

What two docs needed for assignment

A

Deed and Licence to Assign

92
Q

L-T relationship (case)

A

International Drilling v Louisville

93
Q

What must happen if lease registered on Proprietorship Register but then assigned

A

Change details of T on Proprietorship Register

94
Q

Is there privity between UL and L in underletting?

A

Not unless Licence to Underlet granted

95
Q

What is FQC

A

Consent not to be unreasonably withheld

96
Q

19(1A) LTA ‘25 only applies to what

A

Assignment + new lease

97
Q

5 LT(C)A did what

A

Removed privity of contract for outgoing tenant on assignment

98
Q

What is the position on privity of contract for new leases

A

PoC removed for T and new assignee automatically bound by T’s covenants

99
Q

Aubergine v Lakewood ratio

A

Consent in principle to alienation can = full consent so do not give prior to completion of documentation

100
Q

International Drilling v Louisville key

A

L-T relationship

101
Q

16 LT(C)A permits what

A

T can give L AGA

102
Q

Aubergine v Lakewood key

A

Consent in principle

103
Q

What structure (in terms of what to consider) for alienation Q

A

Four L’s

104
Q

Easiest way out of a lease is how

A

Exercise break clause

105
Q

Form to register underlease w/ LR

A

AP1

106
Q

How do you know 19(1A) only applies to new leases

A

‘Qualifying lease’, defined in 1E

107
Q

Milmo v Carreras

A

If term in under lease is not less than headlease, takes effect as A

108
Q

When is TR1 used for assignment

A

If lease registered.

109
Q

What might happen if L fails to comply w/ 1 LTA 1988

A

Damages for BoSD

110
Q

Who is Licence to Assign between

A

All - OT, assignee and L

111
Q

Case on 1 LTA 1988

A

Dong Bang Minerva v Davina

112
Q

Documents for underletting (procedural)

A

Deed if over 3 years, Licence to Underlet

113
Q

Preconditions to underletting are mandatory + failure to comply means L need not even consider T’s app (case)

A

Crestfort v Tesco Stores

114
Q

What statute removed privity of contract for outgoing tenant on assignment

A

5 LT(C)A

115
Q

What does The Code recommend for AGAs

A

Only condition of A if assignee of lower financial standing

116
Q

What happens if term is not less than headlease in underlease

A

Takes effect as A

117
Q

Why do all three parties sign Licence to Assign/Underlet

A

For L to give permission to T, and for UT/A to enter into direct covenant with L to perform covenants (if old lease + A or UL)

118
Q

What four things does LTA/UL usually cover for assignee/undertenant

A

Comply with covenant, indemnify for breach, duty to reg if applicable, and notify L of address for rent demand (only A)

119
Q

Who usually agrees to pay L’s expenses in giving consent to assignment/UL, and where do they give that agreement?

A

(Outgoing) T usually agrees, given in LtUL/A

120
Q

Why will you need to check OCs for LTA/UL

A

To see if need to get mortgagee’s consent

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