Landlord and Tenant Flashcards

1
Q

Lease?

A

interest in land which grants exclusive possession of a property for a fixed period of time.
If exclusive possession isn’t granted
license which isn’t an interest in land AND may revoke at any time.

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2
Q

Legal leases:
(3 elements)

A

Lease is capable of being legal estate in land pursuant to s1(1)(b) LPA 1925.
Lease of more than 3 years, deed is required to create a lease.
For a lease of 3 OR less years no formalities required provided they meet the exception to the deed rule.

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3
Q

Legal lease of more than 7 years MUST be registered with…

A

its own title number at the Land Registry.

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4
Q

Legal lease of 7 years or less takes effect as…

A

an overriding interest AND no form of registration required.

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5
Q

Equitable leases can arise where…

A

formalities of a legal lease haven’t been met.
Such as,
Contract to create OR transfer a legal estate.
OR
Where there is an attempt to grant a legal estate OR interest but failing to use a valid deed, provided that it’s for value AND in writing, incorporating all terms expressly agreed
AND signed by the parties.

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6
Q

A lease will contain covenants made between…

A

the landlord and tenant setting out their rights and obligations towards each other during the term of the lease.
Such covenants may be express OR implied.

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7
Q

Examples of covenants in a lease include:

A

obligation to pay rent/insurance, repair the property, allow quiet enjoyment etc

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8
Q

Lease must possess 3 characteristics (in addition to observing the correct formalities on grant):
And criteria not met?

A

*Certainty of term
*Exclusive possession
*Rent

license has been created

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9
Q

Certainty of term?

A

must be a certain start date AND a fixed AND certain maximum duration.

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10
Q

Exclusive possession?

A

tenant must be able to exclude all others from the property including the landlord.
Courts will look beyond sham agreements, wordings, AND clauses to see if the tenant has exclusive possession to recognise that a lease had been granted instead of a license.

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11
Q

Rent?

A

rent is indicative NOT essential.

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12
Q

Lease is a proprietary right capable of…

A

assignment to a new tenant AND can benefit from statutory protections.

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13
Q

License is a personal right can’t be…

A

assigned AND doesn’t benefit from statutory protections.

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14
Q

Privity of contract before 1 Jan 1996:

A

Covenants will be enforceable between the original landlord AND original tenant for the term of the lease.
However, original tenant remains bound by leasehold covenants for the duration of the contractual term of the lease,
EVEN where lease is assigned to another party.
Tenant is liable for breaches by his successors in title.

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15
Q

Privity of estate before 1 Jan 1996:

A

Exists between two parties if they are in a direct landlord AND tenant relationship BUT are not original landlord OR original tenant,
since interests have been assigned.

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16
Q

Successors in title to the original landlord AND to original tenant can be liable to each other on…

A

the covenants in the lease IF there is privity of estate
provided the covenants ‘touch and concern the land’ AND aren’t personal in nature.

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17
Q

The LT(C) A 1995 – applies to leases granted after 1 January 1996. Replaces the privity of contract and privity of estate with new rules:

A

Between the original tenant AND original landlord, all covenants in the lease are enforceable.
Upon assignment of the lease all covenants pass to assignee AND they cease to be liable on the covenants in the lease.
Assigning tenant automatically released from liability under the lease.

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18
Q

Outgoing landlord’s release not automatic, MUST follow the criteria in…

A

ss6 and 8 of the LT(C) A 1995 to be released from the landlord covenants.

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19
Q

Authorised Guarantee Agreements:

A

Post 1995 lease contains a qualified covenant against assignment, AND the current tenant asks for permission to assign,
landlord can ask the current tenant to enter into an authorised guarantee agreement.

20
Q

Assignor guarantees the new tenant will perform the covenants AND…

A

the guarantee will only last as long as the assignee REMAINS the owner of the lease.

21
Q

Alienation

A

is the disposal of a leasehold estate by the tenant.

22
Q

Alienation of a lease can happen by:
(4 elements)

A

*Assignment
*Sub-lease
*Mortgage/Charge
*Parting with possession/occupation

23
Q

Assignment no new lease created.
Lease is transferred from…

A

original tenant TO new tenant.

24
Q

Sub-lease new leases for a shorter duration is created by…

A

carving it out of the head lease.

25
Q

Mortgage/Charge, granted to a…

A

lender

26
Q

Parting with possession/occupation - tenant surrenders?

A

exclusive possession

27
Q

Absolute covenant against alienation:

A

Any assignment OR other dealing with the lease will be a breach AND can lead to forfeiture of the lease,
UNLESS landlord’s permission is given.
Absolute covenant not subject to any regulatory provisions.

28
Q

Qualified covenant against alienation:

A

Tenant can be permitted to assign OR part with possession provided the seller obtains prior consent of the landlord.
Such consent MUST not be unreasonably withheld.

29
Q

Landlord receives any written request to assign, underlet, charge OR part with possession of a lease.
The LTA 1988…

A

landlord MUST give his consent within a reasonable time,
state the conditions attached to the consent
OR the reasons for refusal of the consent.

30
Q

Landlord can take the following actions for non-payment of rent:
(3 elements)

A

Sue for rent
Commercial rent arrears recovery
Forfeiture

31
Q

Sue for rent:

A

landlord can sue the current tenant for non-payment of rent,
former tenant (using privity of contract)
OR rely on the authorised guarantee agreement.
This action doesn’t bring lease to an end.

32
Q

Commercial rent arrears recovery:

A

landlord enters the premises AND seizes the current tenant’s goods and sell them to pay any arrears of rent.
This action doesn’t bring the lease to an end.

33
Q

Forfeiture:

A

right to re-enter AND is exercised against the tenant in possession.
Landlord takes physical possession of the property AND prematurely terminate the lease.
Lease MUST contain an express forfeiture clause.
Landlord can forfeit by peaceable re-entry OR a court order for possession.

34
Q

Recovery between tenants:
If original tenant is sued by the landlord for a breach by the new tenant,
following action can be taken:

A

*Recover from assignee
*Recover monies owed using the indemnity covenant
*Rely on the implied indemnity

35
Q

Recover from assignee?

A

original tenant has discharged from their liability.

36
Q

Recover monies owed using the indemnity covenant?

A

granted by the assignee to the original tenant in the deed of assignment

37
Q

Rely on the implied indemnity?

A

implied into any assignment pursuant to s77 LPA 1925 (if lease granted BEFORE 1 January 1996).

38
Q

Effluxion of time:

A

Lease ends when term comes to an end.

39
Q

Break clause:

A

An option to determine the lease part way through the term.

40
Q

Repudiatory breach:

A

Contractual breach by one party that goes to the root of the contract thereby allowing the other party to end the contract.

41
Q

Notice to quit:

A

Periodic tenancies are ended by the service of a notice to quit by the landlord OR tenant.

42
Q

Disclaimer:

A

Bankruptcy OR liquidation of the tenant, the trustee in bankruptcy/liquidation can disclaim the lease.

43
Q

Merger:

A

Tenant acquires the freehold estate; the lease will merge into the reversionary title.

44
Q

Surrender:

A

Tenant yields the lease AND the landlord accepts the surrender.

45
Q

Frustration:

A

Performance of the contract isn’t possible through no fault of either party.

46
Q

Forfeiture for non-payment of rent:

A

Only be used against a tenant in possession.
Landlord MUST make a formal demand for the rent due AND present themselves at the premises between sunrise AND sunset.
Brings leases to an end.

47
Q

Forfeiture for breach of covenant (other than rent):

A

Only be used against a tenant in possession.
Landlord MUST serve a notice on tenant specifying breach,
requiring it to be a remedied (if possible) within a reasonable time AND requiring compensation (if wanted).
Brings the lease to an end.