Jennifer Slade

Commercial Leases Half Option LLB module

Review – what have we covered and when?

Past paper – 2003 Exam

General comments on assessment

Lecture 1 – Introduction (Workshop 1)

Enforceability of leasehold covenants (revision of the rules)

Termination

Landlords remedies for non-payment of rent

Lecture 2 (Workshop2) Procedure on grant of a commercial lease SDLT on leases VAT on property and leases

Lecture 3 – lease drafting basics (Workshop 3) Commercial lease drafting Stand forms/precedents Lease anatomy Code of Practice for Commercial Leases Lease of part and of whole Prescribed clauses

Lecture 4 (Workshop 4) The Parties Habendum and Reddendum The Parcels Clause

Lecture 5 (Workshop 5) Rent Rent Review

Self Study Week Service charges Tenants amendments

Lecture 6 (Workshop 6) Alienation

Lecture 7 (Workshop 7) Repairing covenants Landlord’s remedies

Lecture 8 (Workshop 8) Alterations User Insurance

Lecture 9 (Workshop 9) Landlord and Tenant Act 1954

Assessment reflects focus of that year’s course.

Question 1 – Deleted, since asks about old law It was about the procedure for

contracting out, based on a court order being obtained (now replaced by notice procedure)

Question 2 – this is about Mr Winship acting as guarantor (cl 6 – cite accordingly) note Liability Period (cl 1.20) he covenants to pay rent and perform covenants,

if T defaults – also will take new lease following disclaimer

guarantee continues notwithstanding variation, giving time, etc (note general law)

Amendments – limit liability (e.g. none if T on an AGA), L to inform if T defaults, G to take part in rent review, T to assign to G if defaults

Question 3 – rent review/user covenant V. restrictive user (Cl 1.26/Sched 3 para

3.1.1 – recruitment agency) Widened at review (Sched 2 para 1.1)-

use as offices – so unfair inflation of rent – delete

Question 4 – Cl 3.27 – L’s release from liability Explain that, unlike T, L is not released

automatically when sells interest – L must apply to T (who has 4 weeks) – ss.6, 8 1995 Act

Clause means that if T objects must be reasonable

Nb – now L could use Avonridge clause?

Question 5 – see workshop 7 Question 6 – deleted – odd question

Question 7 – T not occupying for 12 months See Sched 3 para 3.1.2 – T must not leave

Premises unoccupied for more than 1 month without telling L, etc

So T could be in breach – discuss forfeiture

Know your way around syllabus Text Lectures and Workshops

70:30 split (practical:MCQ’s)Calculator!MCQ’s

Best answer

Go through advance documentation carefully Note relationship between provisions If asked about a provision, check (and report)

its effect at rent review as well

Clauses can be acceptable as well as unacceptable – explain

Refer to relevant clauses in answers

Key provisions of ActsKey cases“Amendments”

Describe and explainBe commercial (Commercial and

Business Aware!!)

Good Luck!!!