Remedies for breach of covenant

Question 1

Remedies for breach of rent covenant?

Answer 1

1. debt action (not good if bad finances)
2. CRAR
3. former tenant/guarantor
4. Rent deposit
5. Forfeit

Question 2

How to pursue former tenant/guarantor for rent breach?

Answer 2

s17 notice on OG tenant
* intention to reclaim rent
* serve notice within 6 months of breach
* OG tenant ask for overriding lease to become defualting tenant’s landlord

Question 3

Commercial Rent Arrears Recovery (CRAR)?

Answer 3

• COMMERCIAL PREMISE ONLY
• Give 7 days notice of intention to enter
• Landlord enter property and take goods

Question 4

What goods cannot be taken under CRAR?

Answer 4

• Business goods
• value up to £1350

Question 5

Rent Deposit

Answer 5

Take money immediately from rent deposit as soon as breach happened

Question 6

Forfeiture

Answer 6

landlord ends lease + vacant possession

Question 7

Requirements for forefeiture?

Answer 7

• 21 days unpaid rent
• peacefully re-enter property or court

Question 8

How can forfeiture be waived?

Answer 8

if landlord asks for/accepts rent after the breach

Question 9

disadvantage of debt action?

Answer 9

can only recover sums due wtihin 6 months of notice served

Question 10

Options for breach of repair covenant?

Answer 10

1. specific performance
2. damages - - s146
3. self help clause
4. forfeit - s146
5. use AGA

Question 11

‘old’ lease liability?

Answer 11

• T1: privity of contract
• T2: direct covenant
• T3: privity of estate
• CAN COME FOR ALL

Question 12

‘new’ lease liability?

Answer 12

• current tenant: privity of contract
• old tenant if given AGA (released from liability of assign new lease)