Land 8 - Requirements of a lease Flashcards
If a landlord forfeits a headlease, what happens to the sublease?
It is automatically terminated too
What are the requirements of a lease?
- Certainty of term (either fixed or periodic)
- Exclusive Possession
- Correct formalities
What factors could defeat a lease?
- No ICLR (e.g. family arrangement; act of friendship/generosity)
- Service occupancy - live there for employment.
What is a licence?
- A personal permission to be on someone’s property
Does a licence bind new owners or third parties?
No
What is the remedy for breach of licence?
Only damages
What scenarios indicate no exclusive possession?
- Landlord provides services e.g. cleaning
- Landlord retains a key: purpose for which key is retained is important - is right of access restricted or unrestricted?
- Sharing clause: landlord reserves right to share property or introduce others - must check if sham or not
What factors help determine whether a sharing clause is a sham or not?
(a) Size & Nature of Accommodation: is it realistic to introduce others?
(b) Relationship between Occupiers: Is it appropriate to introduce someone else?
(c) Wording of clause: the wider the clause, the likelier it’s a sham
(d) Has the clause ever been exercised?
Where there’s a joint tenancy of a lease, what is joint liability?
If one occupier leaves, the remaining ones are liable for whole rent
What is the s17 Tenant Default Notice provision?
Where landlord wants to pursue a former tenant who remains liable for a fixed charge, a landlord must serve notice within 6 months of such charge becoming due otherwise no claim can be taken
What is the s18 Liability for Variations provision?
Former tenants are NOT liable for additional amounts owed which they could not have anticipated when lease was entered into
What is the s19 Overriding Leases provision?
Former tenant can ask landlord for an overriding lease, becoming immediate landlord of defaulting party
The overriding lease is equal to remaining lease and 3 extra days
How is the period for a periodic tenancy worked out
By the period over which rent is calculated NOT when it is paid.
I.e “annual rent of £100 paid quarterly” would give a period of one year.
When is registration needed for a lease?
If it’s over 7 years
When is a deed needed for a lease?
All leases unless ‘short leases’
