Practice Notes Business Tenancies 4th Edition (Practice by Jill Morgan

By Jill Morgan

This ebook offers necessary sensible counsel to the provide, renewal, task and give up of industrial rentals. The techniques concerned are defined truly and concisely, with each one constituent a part of a advertisement hire being tested, and worthy tricks given on drafting. The booklet covers key case legislation and laws, the most recent info pertaining to deadlines and courtroom charges, the VAT outcomes for the letting of industrial premises, lease reports and statutory renewals. The ebook additionally summarises and gives sensible research of the owner and Tenant (Covenants) Act 1995.

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By Jill Morgan

This ebook offers necessary sensible counsel to the provide, renewal, task and give up of industrial rentals. The techniques concerned are defined truly and concisely, with each one constituent a part of a advertisement hire being tested, and worthy tricks given on drafting. The booklet covers key case legislation and laws, the most recent info pertaining to deadlines and courtroom charges, the VAT outcomes for the letting of industrial premises, lease reports and statutory renewals. The ebook additionally summarises and gives sensible research of the owner and Tenant (Covenants) Act 1995.

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Any extension to the demise should be dealt with by way of a supplemental lease. PRIVITY OF CONTRACT: THE 1995 AND 1999 ACTS 31 Thus, it is now even more important than before to consider carefully the effect of any proposed variation since, if the lease becomes a new tenancy, the landlord will have lost the benefit of privity of contract from previous tenants and guarantors and the alienation provisions will almost certainly be inappropriate. 3 New tenancies only: the abolition of privity of contract Release of tenants As the abolition of privity of contract applies only to new tenancies, the old rules (subject to the changes described in the later sections of this chapter) will continue to apply to existing leases and to leases granted after 1 January 1996 which are still ‘old tenancies’ under the 1995 Act.

Usually, the sub-tenant is required to enter into a direct covenant with the superior landlord to observe the covenants in the sub-tenancy. Where this has not been done, but the sub-tenancy is drafted expressly to give the superior landlord direct rights of enforcement, then clearly the first limb (s 1(1)(a)) will have been satisfied. As for subtenancies which contain no express rights of enforcement, the covenants will have to ‘confer a benefit’ on the superior landlord if he is to be able to enforce them (s 1(1)(b)).

It must also be then determined whether on ‘a proper construction of the lease’ it ‘appears that the parties did not intend the term to be enforceable by the third party’. Similarly, it is possible that a sub-tenant might have direct recourse against a superior landlord, perhaps for breach of covenant to provide a particular service. Superior landlords may wish to negate any presumption by express wording. 6 Exclusion of the 1999 Act It is open to the contracting parties to state expressly that they do not want other persons to have a right to enforce any part of the contract.

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