Landlord and Tenant

Question 1

What’s the hierarchy of evidence?

Answer 1

o Open market lettings
o Lease renewals
o Rent Review
o Independent expert determinations
o Arbitrator determinations
o Court determinations
o Court determinations under L and T Act 1954
o Sale and Leasebacks
o Surrender and renewals

Question 2

What are the common clauses in a lease?

Answer 2

Definitions, Demise, Rent, Repair clauses, Insurance, Alienation Clauses.

Question 3

Whats the difference between a lease and a licence?

Answer 3

Leases grant exclusive possession of the property. Licenses only grant specific use.

Leases grant possession for a certain term, minimum 6 months.

Question 4

What other guidance notes are you aware of in relation rent reviews?

Question 5

Whats the difference between a expert witness and an independent expert?

Answer 5

a surveyor acting as an expert witness owes an overriding duty to the tribunal to present expert evidence.

An independent expert is an individual appointed by two parties in a dispute to recommend a binding settlement.

Question 6

Whats the difference between an arbitrator and an independent expert?

Question 7

When would it be in the tenant’s interest to use an arbitrator in a rent review?

Question 8

Whats a Calderbank?

Answer 8

A unconditional offer to settle a rent review dispute.

Question 9

What does the landlord and tenant covenants act of 1995 do?

Answer 9

Replaces privity of contract, which means that the original tenant remains responsible for lease conditions. Instituted an AGA.

Question 10

What does the landlord tenant act 1987 signify?

Answer 10

Assignment consent must be given in a reasonable time frame by the landlord.

Question 11

What is the law of property act 1925?

Answer 11

Instituted section 146 forfeiture.

Question 12

What are the standard assumptions you would find in a Lease?

Answer 12

The property is fit for letting, the tenant has complied with their obligations under the lease, assume vacant possession.

Question 13

What are the standard disregards you would find in a rent review clause

Answer 13

Tenant improvements, The tenant’s occupation of the premises, any goodwill.

Question 14

What tenant improvements must a rent review disregard?

Answer 14

improvements carried out where there is a Licence for Alteration in place and have been carried out in the past 21 years.

Question 15

What are the main differences between an Independent Expert and an Arbitrator?

Answer 15

Arbitrator is bound by the Arbitration Act 1996.
Arbitrator can only be sued on a point of law.
Arbitrator must rely on evidence submitted to them.
Independent Expert usually appointed by parties or the President of the RICS.
IE uses their own knowledge and expertise and and makes their own settlement award which can be higher or lower and different from either parties position.

Question 16

Can both Arbitrators and Independent Experts determine costs?

Answer 16

Arbitrators can usually, however Independant Experts are bound by what the contract (lease) says.

Question 17

What would you mark a Calderbank Letter with?

Answer 17

Without prejudice save as to costs

Question 18

What does without Prejudice save as to costs mean?

Answer 18

Means that the offers and statements made in a particular letter or email cannot be used as evidence in court.

Question 19

How long are Calderbank offer usually acceptable within

Answer 19

21 days?

Question 20

Is there any situation where acceptance of a Calderbank is not binding?

Answer 20

If the acceptance has not been made in writing.

Question 21

Is there a time limit by where the tenant or landlord must respond to either a S25/S26 notice?

Answer 21

The landlord must respond to the tenant after a section 26 request within 2 months.

Question 22

What is the Lease Renewal Equivalent of a Calderbank Letter?

Answer 22

A Part 36 Offer - an unconditional offer to agree lease renewal terms.

Question 23

When a court is determining a lease renewal what do they have primary regard to?

Answer 23

The existing lease

Question 24

What is the maximum length of time that the court can grant a new lease?

Answer 24

15 years - because it falls within the standard rent review provision of 5 yearly and because it is stated in Section 33 of the 1954 Act.

Question 25

What Case Law relates to a Court deciding on a new lease?

Answer 25

O’May VS City of London

Question 26

What is Section 30 of the Landlord and Tenant Act?

Answer 26

Grounds for opposition of a lease renewal:
a) Lack of repair
b) Delay in paying rent
c) Other substantial breaches of lease covenant
d) Landlords provision of alternative accommodation
e) Where the tenancy is a result of a sub-letting
f) Redevelopment
g) The landlord intends to occupy; must be competent landlord (5 or more years)

Question 27

What part of the landlord and tenant Act relates to Interim Rent

Answer 27

Section 24A

Question 28

What is Section 29 of the LLT Act 1954 relate to?

Answer 28

Order by court for the grant of new tenancy or termination of current tenancy

Question 29

What is Section 34 of the 1954 Act

Answer 29

Relates to setting of rent under new tenancy.

Question 30

What is section 40 of the Act

Answer 30

Request for information