LTA 1954 - Applicability

Question 1

what is security of tenure?

Answer 1

T’s right to renew the business lease at the end of its term. Right granted by the Landlord and Tenant Act 1954 (Part II) (LTA 1925)

Question 2

what is the effect of LTA 1954?

Answer 2

if the LTA 1954 applies, the lease cannot be terminated by common law methods - only in accordance with the LTA

Question 3

when does the LTA 1954 apply?

Answer 3

LTA applies to tenancies occupied (by T or agent) for business purposes

Business = wide definition i.e. clubs, trades (not hospitals)

Question 4

when does the LTA 1954 not apply?

Answer 4

even if the lease satisfies the definition, these leases will not be protected by the LTA 1954:
o Tenancies at will
o Certain businesses leases i.e. farming, mining
o Fixed-term less than 6m (NB: there are exceptions)
o Fixed term if LTA has been contracted out.

Question 5

when will the LTA 1954 protect a fixed term lease?

Answer 5

the LTA 1954 will not protect a fixed term lease of less than 6m unless:
 T or predecessor in same business have been in occupation for 12m; or
 Tenancy less than 6m but renewal/extension beyond 6m

Question 6

what is the contracting out procedure?

Answer 6

 Must be done before grant of the lease.
 LL gives notice + T makes declaration in prescribed form.
 Must be noted in lease.