Transfers of Leaseholds and Landlord's Tort Liability

Question 1

Transfer of leasehold

Answer 1

1) Assignment: transfer of entire remaining term of lease

2) Sublease: transfer of part of remaining term of lease

T free to do so unless explicitly disallowed

Question 2

Assignment

Answer 2

Assignee stands in shoes of original T, direct relationship with L.

Assignee and L share nexus (privity of estate) —liable for original lease obligations
—each is liable to the other on all covenants in the lease that run with the land

After assignment, original T no longer in privity of estate with L, but lease K is still in effect, meaning original T still remains liable for original K obligations.

Question 3

Privity

Answer 3

Basically the nexus in which two parties are bound.

Privity of estate: relationship by possession

Privity of K: relationship by being on the K

If no privity, can’t sue.
-example: T1 -> t2 -> t3. L has no basis to sue T2 for damage caused by t3. But can sue T1 as a back up.

No privity for tenants by sublease

Question 4

Sublease

Answer 4

T2 has no privity with L. T1 and T2 are responsible to eachother.

Relationship between L and T1 remains intact.

Thus, if T2 fails, L -> T1 -> T2.
If L fails, T2 -> T1 -> L

Question 5

Landlord’s Tort Liability: Common Law of Caveat Lessee

Answer 5

L has no duty to make premises safe.

Exceptions:
1) Common areas
2) Latent Defects (Duty to warn)
3) Assumption of repairs (liable if undertaken negligently)
4) Public use rules
5) Short term lease of furnished dwelling (liable for ANY defective condition which proximately injures a tenant)

Question 6

Latent Defects

Answer 6

(hidden defects T couldn’t discover by reasonable inspection that L has knoweldge or reason to know) (L must warn or be liable)

No duty to repair, just to warn.

Question 7

Assumption of Repairs

Answer 7

no duty to repair, but if undertaken, L liable if negligent

Question 8

Public Use

Answer 8

L who leases public space and who sould know, bc of the sig nature of the defect and short length of htel ease, that a tenant will not repair, is liable for any defects on the premises that cause injury to members of the public

Question 9

Clauses prohibiting assignments and sublets

Answer 9

Literally construed. A clause prohibiting a assignment will not prohibit sublets and vice versa.