Creating a tenancy Flashcards
What are the characteristics of a lease?
Name the case
1) Exclusive possession
2) For a definite term
3) For a term less than landlords
Street v Mountford
What is a lease?
Under s. 1 LPA, a contract which creates an estate in land
Is rent a hallmark in a lease?
No (Ashburn)
When might occupiers with exclusive possession NOT be tenants?
- Where parties didn’t intend on legal relations such as:
- Family arrangements
- Friendships / generosity
- Service Occupiers
What does s. 52 LPA state?
A lease must be created by deed to be legal
What is a deed?
What is required for a valid deed and what Act?
Deed – a formal doc following requirements in s. 1 Law of Property (Miscellaneous Provisions) Act 1989
To be valid:
- It must be in writing
- Be clear on the face of the document it’s a deed
- Validly executed as a deed by person making it with witnesses
- Delivered as a deed
When is a deed not required to create a legal lease?
Exceptions to needing deed – s. 54 (2) LPA:
a. Leases under 3 years (periodic)
b. At best market rent without a fine
c. Takes effect in possession
What needs to happen to make a lease over 7 years legal?
must be registered at LR. Must give evidence of submitting land transaction return & stamp duty land tax being paid.
If deed formalities not followed, can a lease still be legal or equitable?
s. 2 LP (MP) Act – if formalities not followed, or deed goes wrong, may be equitable if:
- The contract is in writing
- It must incorporate all the terms
- Signed by / on behalf of parties
What needs to be registered to bind third parties to a lease?
LL title unregistered = register a Class C (4) land charge
If registered = by entry of a notice on LR.
Describe the following leases?
Fixed Term
Periodic
Perpetually renewable
Reversionary
Concurrent leases
Tenancies by estoppel
Tenancy at will
Tenancies at sufferance
Leases for life
Equitable lease
Fixed Term – one granted for an agreed term. Auto expires.
Periodic – Runs from 1 period to another till 1 party serves notice to quit (monthly, yearly etc)
Perpetually renewable – lease with option to renew on same terms, with another option to renew included (converts to 2000-year fixed term lease)
Reversionary – Lease granted to take effect in future (must be under 21 years)
Concurrent leases – leasing a property while theres a T in occupation (right to take rent, not occupy)
Tenancies by estoppel – prevents party denying existence of tenancy
Tenancy at will – Occupier in possession without lease but LLs consent (implied period created if rent is paid)
Tenancies at sufferance – T remains in occupation after term & LL has neither agreed or refused
Leases for life – Granted for the life of a T. Converted to 90 year term with expiry of 1 month notice on Ts death.
Equitable lease
