leases Flashcards
how are leases developed?
Leases developed outside the feudal structure of estates.
-which makes some sense what ur doing -going into contract to hire out land youre paying money higher fee and in return land being hired to you
what are leases treated as?
Leases were originally very much part of the law of contract and treated as personalty.
creates personal prop rights
what has happened since lpa?
Since the LPA 1925, leases have been incorporated into conventional land law, S.1 LPA recognises the lease (‘ term of years absolute) as one of main legal estates.
treates as one of two main estates- leasehold and freehold
what is a leasehold estate aka?
term of years absolute but now referred to as lease or tenancy
leasehold compared to freehold
leasehold endures smaller slice of time ,fixed and certain duration
-possesory rights enjoyed by holder of leasehold estate (tenant ) more lim to freehold- leasehold ahs limtiations by superior estate holder- land lord
what are leases?
Leases are now contracts whereby land is hired out in return for some rent paid .
contract of letting
what is teh leaseholder given?
The leaseholder is given ‘exclusive possession’ of the land for a given contractual period, in return for the leaseholder paying his landlord rent.
certainty of term
exclusive possion
rent
what do leases have mix of?
A lease is therefore contract of letting, lease are therefore ‘chattels-real’.
A lease is therefore a hybrid form of personal and real property. It is now a well established form of title/estate in land.
who is the freeholder and leaseholder?
Typically a landlord will be a ‘freeholder’ of land who has granted a lease to another – a ‘leaseholder’.
what does the landlord have what does the leaseholder have?
The landlord has an interest in ‘reversion’ and collects his rent.
-once lease granted he has given away exclusive possession by the lease for the period of lease in return for the rent , land lord has interest in reversion – he receives rent and leaseholder has
The leaseholder has an interest ‘in possession’.
different terms?
The terms, ‘landlord’ and ‘tenant’, ‘lessor’/ ‘lessee’, ‘demise’, ‘demisor’ and ‘demisee’ all refer to the landlord/tenant relationship.
Context of Leases- what are the 4 contexts of leases?
Private Residential Sector
Public Residential Sector
Commercial/Business Leases
Agricultural Leases
what happens in each context?
In each sector leases are frequently regulated by Statute. As leaseholders have a form of title which will in time run out, as the contract runs its course, Parliament has given a lot of statutory protection to leaseholders, typically:
LEASEHOLDERS= STAT PROTECTION BY PARL - as time runs out
what is security of tenure?
Security of Tenure (i.e rights to remain in the property after the contractual term has expired – possession often only being recoverable by the landlord by way of court order, only on proof of certain statutory e.g grounds/procedural requirements);
e.g dont pay rent
cts will always look at unfairness
what are the other forms of protection?
Compensation rights.
Certain rent protection.
what is the 1st main context?
The main statutory codes in each sector of leasehold law are:
(i) Private Rented Sector
Rent Act 1977 ‘protected tenancy scheme’ (old private sector lettings entered into pre-15.1.89) and more typically the Housing Act 1988 (as amended by Housing Act 1996 (‘assured’ and ‘assured shorthold tenancy’ schemes).
what is the 2nd main context?
(ii) Public Residential Sector
Housing Act 1985 ‘ secure tenancy scheme’. Offers statutory protection/ security of tenure and other rights (e.g the right to buy) to council tenants etc.
what is the 3rd main context?
(iii) Agricultural Tenancies
Agricultural Holdings Act 1986 and Agricultural Tenancies Act 1995.
what is the 4th main context?
(iv) Commercial/Business Leases
Landlord and Tenant Act 1954 Part II. Offers security of tenure and rights of lease renewal and compensation to business tenants.
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e.g of no.4?
idea is e.g set up restaurant business 5 yr lease takes 3 yrs to get business goig customers start comin yr 5 landlord says want prop – not fair start again wheres the good will- so economic reg protects small businesse- when 5 yr lease runs out unless uve contracted out the act applies and ccarry on on stat of tenancy e.g claim for landlord new lease landlord can oppose it but only get possession on certain grounds- without those certai grounds landlord wont get possession- u can renew and renewal- case for renewal gets stronhe
other acts that exist for protection?
(v) Many other acts also exist, e.g the Protection from Eviction Act 1977 (as amended) which protects most residential tenants and licensees from unlawful harassment or illegal eviction; or e.g the Leasehold Reform Act 1967 which allows tenants of long residential leases to ‘enfranchise’ i.e compulsorily acquire the landlords title for a pre set figure. Similar provisions exist for private tenants in blocks of flats who wish to become their own landlord, e.g see, Leasehold Reform Housing and Urban Development Act 1993.
Types of Leases and Tenancies?
Fixed term tenancy Periodic tenancy Tenancy at will Tenancy at sufferance Tenancy by estoppel
what is a fixed term?
A Fixed term lease is one for a fixed period, e.g 6 months, 1 year, 5 years, 10 years or say 99 years. Any number can be used. At common law, when the lease period runs out, the tenant becomes a trespasser, unless Statute offers extra protection/security of tenure.
-lease will not term until end of fixed term, subjetc to presence of break clauses allowing for early term, or breach of cov which could lead to term of the lease by forfeiture
what is a Periodic tenancy?
granted intitally for certain period e.g weekly, monthly, yearly, with the period ongoing until lease brough tto end , either by notice or breach of cov - notice same time as lease so notice 1 month lease 1 month hw yearly requires 6 months notice
peropdic tenancy over dwelling house= min of fpir weks- protection from eviction act 1997
notices can also be spec by parties themselves
periodic ten may be implied when person takes possesion and pays rent by reference to a period (certaintyu of term)