Land 9 - Covenants in leases Flashcards
What are the basic components of a lease?
Parties, date, definitions and interpretation provisions, demise and rents, tenant covenants, landlord covenants, guarantor’s covenants, provisos, agreements and declarations, rights granted, rights excepted and reserved, other provisions, execution, prescribed lease clauses
What is the basic rule regarding tenant covenants?
Tenant may do all things an owner can do unless lease prohibits it
What is the most common landlord covenant?
Quiet enjoyment
What does quiet enjoyment entail?
To not interfere with the tenant’s possession or enjoyment of property
What is a guarantor’s covenant?
Agreeing to pay or perform obligations if tenant defaults
What does forfeiture mean in a lease context?
Right of landlord to bring lease to an early end in the event of a tenant breach
What rights might a tenant need?
Right of way to access premises, car parking rights
What is required for a lease to be granted by deed?
Must be granted by deed unless it falls within the short lease exception
What are implied covenants for tenants?
- Rent and taxes
- Repair
- Not committing waste
What does the general repairing covenant require from a tenant?
Keep the premises in the condition a reasonably minded owner would maintain
What is the landlord’s implied covenant of non-derogation from grant?
Landlord must not allow tenant to undermine the specific purpose of the lease
What is an absolute covenant?
The tenant is completely prohibited from certain actions
What is a qualified covenant?
The tenant is prohibited from doing something without the landlord’s consent
What is a fully qualified covenant?
The tenant is prohibited from doing something without the landlord’s consent, and the landlord must be reasonable in withholding consent
What is the statutory intervention regarding alterations in leases?
Landlord’s consent not to be unreasonably withheld under LTA 1927 s19(2)
What is the landlord’s remedy for breach of rent covenant?
Action for debt, forfeiture, distress, CRAR
What is required for a periodic tenancy notice to quit?
For a yearly tenancy – at least half a year’s notice; other periodic tenancies – full period’s notice
What is a break clause in a lease?
Provisions in the lease that allow termination under specified conditions
What is meant by surrender of a lease?
Handing back the lease to the landlord with the landlord’s consent
What must be present in legal leases for forfeiture to occur?
An express forfeiture clause
What is the procedure for exercising forfeiture?
- Determine if there has been a breach
- Check for a forfeiture clause
- Check for waiver
What does a s146 notice require?
Must specify the breach, require remedy if capable, and may require compensation
What is the relief available to tenants after a breach?
Court allowing lease to continue if arrears and costs are paid before trial
True or False: A landlord can forfeit a lease without a court order for residential premises.
False
Fill in the blank: A landlord can exercise the right of forfeiture by peaceful re-entry or _______.
[court order]
