Landlord & Tenant - Level 2/3

Question 1

What is a lease?

Answer 1

A lease is a contract between two or more parties that creates a legal interest (a leasehold) in land and buildings.

Question 2

For a document to be a lease it must?

Answer 2

Be for a certain term i.e, a fixed period of time
Grant exclusive occupation of the property
Be at a rent

Question 3

What are the key features of a lease?

Answer 3

Demise
Parties
Lease term
Rent
Rent review clause
Repairing liability
User clause
Alienation

Question 4

What does demise mean?

Answer 4

This is the agreed ‘property’ that is to be let.

Question 5

What does parties mean?

Answer 5

Precise details of who the landlord, the tenant, and any guarantor/surety is etc.

Question 6

What does the lease term mean?

Answer 6

How long the lease is to be ranted for and from when.

Question 7

What does the rent mean?

Answer 7

What the commencing rent is and when it will start.

Question 8

What does the rent review clause mean?

Answer 8

A complex area that sets out the nature, basis and frequency of any review of the rent during the lease term.

Question 9

What does the repairing liability mean?

Answer 9

This sets out who is responsible for the repair of the property during the lease term. This can range from all of the responsibility being upon the tenant (full repairing) to only being responsible for the interior (internal repairing).

Question 10

What does the user clause mean?

Answer 10

This sets out the uses that the parties agree the tenant can use the property for the lease term. This is not to be confused with what planning permission may or could exist.

Question 11

What does alienation mean?

Answer 11

This governs the ability of the tenant is grant a sub-lease of all or part of their leasehold interest (subletting) or sell it in its entirety (assignment).