Miscellaneous Aspect of the law of lease

Question 1

Explain sublease

Answer 1

Is a reciprocal agreement in terms of which one party, the sub leaser, undertakes to confer upon another party, the sublessee, the temporary use and enjoyment of a specified thing in exchange for a counter-performance.

Question 2

Discuss second lease formed

Answer 2

No legal relationship exists between the original lessor and the sub-lessee. The sub-lessee’s term of lease cannot last for a period longer than that of the original lease

Question 3

What is the exception to the second lease?

Answer 3

The sublessee’s rights and obligations are dependent upon the sub-lessor’s title

Question 4

True/False

Do all conferments of occupation upon a third party will amount to sublease.

Answer 4

False

Question 5

Does the lessee of urban premises have power to sub-let those premises?

Answer 5

Yes, unless a contrary agreement exists between the lessor and the lessee

Question 6

Which term states that the lessee of rural premises needs the written consent of the lessor in the case of overzette?

Answer 6

Section 9 of the Placcaat of 1658

Question 7

What sub-letting in contravention of prohibition?

Answer 7

A prohibition against sub-letting constitutes a material breach of contract, in the form of positive malperformance and empowers the lessor to cancel the agreement

Question 8

Is the lessor entitled to cancel the agreement?

Answer 8

Yes, if no right to cancel is reserved in the contract since such infringement is a substantial violation of the contract

Question 9

Can the original lessor obtain a eviction order against sub-lessee?

Answer 9

Yes, as the sub-lessor does not have the power to sub-let and cannot transfer more rights than he possesses himself

Question 10

Explain termination of the lease

Answer 10

A lease can be terminated by fulfilment, agreement, set-off, prescription and supervening impossibility of performance.

Question 11

What is effluxion of time?

Answer 11

A lease must be concluded for a determined or determinable period

Question 12

State what is stated in Section 14 of the Consumer Protection Act

Answer 12

• The maximum period for fixed-term agreements at 24 months-
• After 24 months or extended term lease will continue automatically on a month to month basis unless
  = directs the lessor to terminate the agreement on its original expiry date
  = agrees to renewal of the agreement for a further fixed term

Question 13

What the other obligations of lessor in terms of CPA?

Answer 13

To give notice to his lessee of the impeding expiry of fixed term agreement, no further than 40 business days but no more than 80 days prior to the date of expiry.

Question 14

What should the notice of termination of lease included?

Answer 14

Notice to the lessee of any material changes that will apply to the lease if the agreement is renewed or continues beyond its original expiry date, as well as notice of the options available to the lessee in relation to the termination or continuation of the lease agreement.

Question 15

Discuss rescission as a result of breach of contract

Answer 15

Means by which a contract may be terminated. This form of termination requires context of lease agreements to which the CPA and specifically section 14 of the Act.

Question 16

What is a Notice?

Answer 16

If no term of lease was specified in relation to a lease to which the Consumer Protection Act or Section14 does not apply, but the lease was concluded on a periodic basis, the agreement may be terminated at any time on reasonable notice by any of the parties

Question 17

State the exception of termination of lease in a event of death

Answer 17

A) if it was agreed that the agreement would terminate upon the death of any of the parties
B) If the lease continues for as long as it is the will of the lessor, it is terminated upon the lessor’s death
C) if the lease continues for as long as it is the will of the lessee, it is terminated upon the death of the lessee.

Question 18

Discuss insolvency of lessor

Answer 18

A lease is not terminated by the insolvency of the lessor. If it is in respect of immovable it is sold subject to the huur gaat voor koop rule

Question 19

Explain insolvency of the lessee

Answer 19

A lease was terminated by the insolvency of the lessee. But not automatically terminated the trustee has the choice of terminating the lease by notice

Question 20

What is dissolution of partnership

Answer 20

A partnership is not a juristic person and its dissolution does not lead to the termination of the lease, unless an agreement to the contrary exists. After termination, the partners are co-lessees and are liable in solidum for the rent

Question 21

Discuss renewal of the lease by agreement

Answer 21

The lessor and the lessee may expressly or tacitly agree to conclude a new lease in respect of the same property after termination of the lease. Also referred as Relocation.

Question 22

What are the require