Leases

Question 1

What is a lease?

Answer 1

Exclusive possession for a term at a rent (Street v Mountford, per Lord Templeman)

Note could still pay ‘rent’ for a licence (e.g. Uni halls)
Cf. licences where have no rights in land, can’t stay there, no repair obligations, don’t have to take out insurance.

Street v Mountford turned thousands of people from licensees into tenants overnight. Was reponsible for the death of the private rented sector. Lots of people now have assured short-hold tenancies now.

Question 2

Exclusive possession is a question of ___ and not ____?

Answer 2

Substance and not form

Lodgers have a licence but if promised services which don’t materialise then it is a lease.

Question 3

Which case is the authority on multiple licences?

Answer 3

AG Securities v Vaughan
Multiple occupancy shared licences

It could be a lease if all sign the same form, or copies of the same document, since jointly given exclusive possession. Dangerous since liable for rent if others don’t pay.

Question 4

Can the landlord retain some control if gives a lease? Case?

Answer 4

Yes
Antionades v Villiers
But landlord needs to genuinely need that control.
Here landlord tried to say they were licences since he retained control. Court said they were leases.

Question 5

If have exclusive possession out of friendship, charity or generosity will this be a lease or licence?

Answer 5

Licence
Gray v Taylor
Since parties didn’t intend to enter into a formal legal relationship

Question 6

If an employer find you a house will it be a lease or a licence?

Answer 6

Norris v Checksfield
If it is exclusive possession in order to better do your job it will be a licence (even though looks like a lease)
If finds you a house where not integral to your job then may be a lease.

Question 7

List the 4 circumstances where a licence will be given, even though looks like a lease.

Answer 7

Lender in possession
Purchaser under contract of sale where let X move in before possession
Service compilers (exclusive possession to better perform your job) (Norris v Checksfield)
Family, friends, generosity, charity (Gray v Taylor)

Question 8

What must be true about the period in order for it to be a lease?

Answer 8

A lease must have a fixed period (Prudential assurance v LRB; Berrisford v Mexfield)

The term must be certain
Can’t be when man city win the league or
until when I say so (Ashburn Anstalt v Arnold)

Question 9

What are the 4 ways to challenge the uncertainty of term rules?

Answer 9

1. Periodic leases (no formality rules to these Prudential Assurance v LRB)
2. A term can be det on an uncertain event. 200 years or if man city win the league
   But can’t say “until I say so” (Ashburn Anstalt v Arnold)
3. Lease for life. S.149 LPA 1925
   Treated as leases for 90 years
4. Berrisford v Mexfield
   Where an uncertain term given to someone at CL interpret it to be a lease for your life (s.149 LPA so 90 years)

Question 10

Does rent need to be monetary?

Answer 10

No
But the absence of money rent may denote that the parties didn’t intend to create a legally binding relationship (Javid v Aqil)

Javid v Aqil
Granted a tenancy at will - v unique, runs in the end of an expired lease. Probably best regarded as a licence.