leases (essential requirements)

Question 1

what is a lease?

Answer 1

when one person with an estate in land (landlord) grants temporary right to another person (Tenant) to use and enjoy land exclusively.

Question 2

what is a sublease/underlease?

Answer 2

if lease is granted out of a superior lease

Question 3

who is the lessor?

Answer 3

the landlord

Question 4

who is the lessee?

Answer 4

tenant

Question 5

what is a licence?

Answer 5

a personal permission (personal right) to be on someone’s land

Question 6

what is right of security of tenure?

Answer 6

right of occupant to remain after the formal arrangement ends and request a new lease

Question 7

what are the 2 things that need to exist for a lease (street v mountford)?

Answer 7

1. certainty of term; and
2. exclusive possession

Question 8

is rent essential for a lease?

Answer 8

no it is not essential

Question 9

what is exclusive possession?

Answer 9

right to exclude all others from the property, including the landlord

Question 10

what is a fixed term for certain term for a lease?

Answer 10

fixed term exists where the maximum duration of the arrangement is known form the outset

Question 11

what is a periodic term for certain term for a lease?

Answer 11

a lease for one period eg, generally weekly, monthly, quarterly or yearly and it extends itself automatically until either landlord or tenant give notice to quit
can be both implied and expressed

Question 12

if a tenant agrees to pay £10,000 a year by four quarters - what is their periodic term?

Answer 12

it is a year because the rent is calculated annually

Question 13

what is the difference between exclusive possession and exclusive occupation?

Answer 13

exclusive possession: ability to exclude others
exclusive occupation: person occupies land by themselves without others

Question 14

if a landlord provides services to the occupier is this a lease or licence?

Answer 14

this is a licence

Question 15

are joint tenants seen as separate or a single entity?

Answer 15

singe entity and own/lease whole property as one collective entity

Question 16

what are the 4 unities that joint tenants must hold?

Answer 16

1. unity of possession
2. unity of interest
3. unity of time
4. unity of title

Question 17

what is unity of possession (1 of the 4 unities for joint tenants)?

Answer 17

must show they all are entitled to occupy the whole premises. no one has exclusive use of any part

Question 18

what is unity of interest (1 of the 4 unities for joint tenants)?

Answer 18

all occupiers must have leasehold interest for same term under the same conditions and must be jointly liable for the rent

Question 19

what is unity of time (1 of the 4 unities for joint tenants)?

Answer 19

all occupies interest must start at the same time

Question 20

what is unity of title (1 of the 4 unities for joint tenants)?

Answer 20

all occupiers’ interests must derive from same doc or from separate but identical docs which are independent

Question 21

what are the 2 factors that may defeat a lease?

Answer 21

where there is no intention to create legal relations
where there is a service occupancy

Question 22

when does a service occupancy arise?

Answer 22

in an employer/employee relationship between landowner and occupier. occupier is required to live in premises for the better performance of his duties as an employee - no tenancy even though rent may be paid

better performance = is key

Question 23

when does a short lease (3 years or less) not need to be created via a deed? (3 conditions)

Answer 23

1. lease takes effect immediately (in possession)
2. lease is granted at ‘best rent’ (interpreted as meaning ‘market rent’)
3. lease is not subject to a fine or premium (no upfront payment for grant of the lease)

Question 24

when do courts recognise a tenant has an equitable interest in land (equitable lease) on same terms as the defective legal lease?

Answer 24

there is a doc that complies with LP(MP)A 1989, s2 and
the remedy of specific performance is available