Covenants in Leases

Beschreibung

Landlord and Tenant Law Quiz am Covenants in Leases, erstellt von nathan_hutchings am 08/05/2013.
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Quiz von nathan_hutchings, aktualisiert more than 1 year ago
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Erstellt von nathan_hutchings vor etwa 11 Jahre
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Zusammenfassung der Ressource

Frage 1

Frage
The covenant
Antworten
  • Contractual terms contained in a lease
  • Implied covenants
  • Express covenants
  • Estate in land

Frage 2

Frage
Implied covenants
Antworten
  • Plug gaps when parties fail to agree expressly
  • Common Law or Statute
  • Implied covenants always prevail of express covenants

Frage 3

Frage
Examples of L’s covenants implied by common law
Antworten
  • Covenant for quiet enjoyment
  • Covenant to keep common parts in reasonable repair
  • Covenant to pay rent, rates and taxes
  • Covenant to allow L to discharge his repairing obligation

Frage 4

Frage
Examples of T’s covenants implied by common law
Antworten
  • Covenant to pay rent, rates and taxes
  • Covenant to allow L to discharge his repairing obligation
  • Covenant for quiet enjoyment
  • Covenant to keep common parts in reasonable repair

Frage 5

Frage
Covenants implied by statute
Antworten
  • Improve minimum standard of protection provided for L and T by common law
  • Can usually override express agreement of parties (note contrast with covenants implied by common law)
  • Express agreements always prevail
  • Most statutes which imply terms provide that parties cannot contract out by express agreement

Frage 6

Frage
Express covenants
Antworten
  • Expressly agreed between the parties as result of negotiations
  • In commercial context L and T can often afford to appoint solicitors and leases can be lengthy and complex

Frage 7

Frage
Typical express covenants
Antworten
  • Rent
  • Rent review
  • Repair
  • User
  • Alterations
  • Alienation (assignment and subletting)
  • Covenant for quiet enjoyment
  • Covenant to keep common parts in reasonable repair

Frage 8

Frage
Repairs
Antworten
  • Parties free to allocate responsibility as they please
  • Parties not free to allocate responsibility as they please
  • L solely responsible (likely to recover cost from T through service charge)
  • T solely responsible
  • L and T share responsibility – most common arrangement : – L repairs structure and exterior (likely to recover costs through service charge) - T repairs interior

Frage 9

Frage
Most common arrangement for repairing covenant
Antworten
  • L solely responsible (likely to recover cost from T through service charge)
  • T solely responsible
  • L and T share responsibility – most common arrangement : – L repairs structure and exterior (likely to recover costs through service charge) - T repairs interior

Frage 10

Frage
Steps for disrepair?
Antworten
  • 1) First identify physical extent of premises to which repairing covenant extends
  • 2) First identify physical extent of premises to which repairing covenant extends
  • 2) Is there disrepair? Must be deterioration from a previous physical state
  • 1) Is there disrepair? Must be deterioration from a previous physical state

Frage 11

Frage
Windows - not deteriorated from previous physical state
Antworten
  • Lace v Chantler
  • Walsh v Lonsdale 1882
  • Quick v. Taff Ely B.C.
  • Aslan v Murphy

Frage 12

Frage
What is the standard of repair?
Antworten
  • Guidance in the lease as to the standard of repair
  • No guidance in the lease as to the standard of repair

Frage 13

Frage
‘fair wear and tear’ exception
Antworten
  • natural deterioration
  • T not liable for such damage if there is a fair wear and tear exception
  • T liable for such damage if there is a fair wear and tear exception
  • Has to be expressed in the repairing covenant
  • Implied in repairing covenant

Frage 14

Frage
This will define standard of repair by reference to condition of property at start of lease
Antworten
  • schedule of condition
  • schedule of dilapidations
  • ‘fair wear and tear’ exception

Frage 15

Frage
Standard of repair when lease does not give guidance - put premises into state of repair contemplated by covenant and then to - keep premises in repair
Antworten
  • Proudfoot v Hart (1980)
  • Quick v. Taff Ely B.C. [1986]
  • Aslan v Murphy

Frage 16

Frage
Implication of ‘reasonableness’ requirement - L must act reasonably when carrying out repairs - T cannot insist that works undertaken more cheaply if L is being reasonable in his approach
Antworten
  • FluorDaniel Properties v Shortland Investments [2001]
  • Aslan v Murphy
  • Calthorpe v McOscar
  • Proudfoot v Hart (1890)

Frage 17

Frage
Many leases require repair but not renewal
Antworten
  • Is there liability to do something about the disrepair?
  • What is the standard of repair?
  • Obligation to renew is more onerous than obligation to repair

Frage 18

Frage
Remedying of disrepair and inherent defect fell within scope of T’s covenant to repair Work required was repair not renewal
Antworten
  • Ravenseft Properties Ltd v. Davstone (Holdings) Ltd [1980]
  • National car parks v Trinity Development Co 2001
  • FluorDaniel Properties v Shortland Investments [2001]
  • Proudfoot v Hart (1890)

Frage 19

Frage
CA set out three guidelines for repairing covenants
Antworten
  • McDougall v Easington D.C. (1989)
  • National car parks v Trinity Development Co 2001
  • Lister v Lane (1893)
  • Ravenseft Properties Ltd v. Davstone (Holdings) Ltd [1980]

Frage 20

Frage
Three guidelines: a) Do the alterations..
Antworten
  • affect the whole or substantially the whole of the building?
  • make the building different in character from the building originally let?
  • cost a significant proportion of the value of the previous existing building?

Frage 21

Frage
Three guidelines: b) Do the alterations..
Antworten
  • affect the whole or substantially the whole of the building?
  • make the building different in character from the building originally let?
  • cost a significant proportion of the value of the previous existing building?

Frage 22

Frage
Three guidelines: c) Do the alterations..
Antworten
  • affect the whole or substantially the whole of the building?
  • make the building different in character from the building originally let?
  • cost a significant proportion of the value of the previous existing building?

Frage 23

Frage
Alienation: T disposing of lease
Antworten
  • Assign
  • Sub-let
  • Mortgage
  • Part with or share possession
  • Part with or share occupation
  • Terminate
  • Surrender

Frage 24

Frage
Alienation
Antworten
  • T is free to dispose of premises as he chooses unless lease contains restriction on T’s right to dispose
  • T is not free to dispose of premises as he chooses unless lease contains restriction on T’s right to dispose

Frage 25

Frage
Three categories of restrictive lease covenants:
Antworten
  • Absolute covenant
  • Qualified covenant
  • Fully qualified covenant
  • Fully unqualified covenant
  • Unqualified covenant

Frage 26

Frage
Absolute covenant
Antworten
  • T prohibited altogether from doing something
  • T may do the thing in question but only with L’s consent
  • T may do the thing in question with L’s consent and that consent must not be unreasonably withheld

Frage 27

Frage
Qualified covenant
Antworten
  • T may do the thing in question but only with L’s consent
  • T prohibited altogether from doing something
  • T may do the thing in question with L’s consent and that consent must not be unreasonably withheld

Frage 28

Frage
Fully qualified covenant
Antworten
  • T prohibited altogether from doing something
  • T may do the thing in question but only with L’s consent
  • T may do the thing in question with L’s consent and that consent must not be unreasonably withheld

Frage 29

Frage
Absolute covenants against alienation
Antworten
  • If T disposes of premises he will be in breach of covenant but disposal still valid
  • Note also L may waive prohibition
  • Prevented from disposing of interest unless can negotiate with L and obtain L’s consent to a disposal

Frage 30

Frage
Qualified and fully qualified covenants against alienation
Antworten
  • T could request consent but L could still refuse consent on any grounds whatsoever
  • T could request consent and L could not refuse consent
  • T is helped when there is a qualified covenant by section 144 LPA 1925 and section 19(1)(a) LTA 1927
  • T is not helped when there is a qualified covenant by section 144 LPA 1925 and section 19(1)(a) LTA 1927

Frage 31

Frage
Section 144 LPA 1925
Antworten
  • L cannot demand payment for his consent – only expenses
  • Converts qualified covenants against alienation into fully qualified covenants against alienation

Frage 32

Frage
Section 19(1)(a) LTA 1927
Antworten
  • Converts qualified covenants against alienation into fully qualified covenants against alienation
  • L cannot demand payment for his consent – only expenses

Frage 33

Frage
LTA 1988 Section 1(3)
Antworten
  • L is under a duty: - to give consent unless reasonable not to
  • - to serve written notice on T of decision - within a reasonable time stating why any consent is withheld or the conditions subject to which it is granted
  • T can sue L for damages if L fails to comply with duty

Frage 34

Frage
Section 4
Antworten
  • L is under a duty: - to give consent unless reasonable not to
  • T can sue L for damages if L fails to comply with duty

Frage 35

Frage
What is a reasonable time?
Antworten
  • Clear that L must act quickly
  • Three weeks reasonable in a complex case

Frage 36

Frage
When is it unreasonable to refuse consent?
Antworten
  • Depends upon circumstances of particular case
  • General principle = L not entitled to refuse consent for reasons which are not connected to subject matter of lease
  • E.g. Proposed new T is of insufficient financial standing
  • Proposed new T’s race or gender

Frage 37

Frage
LTA 1927 section 19(1A)
Antworten
  • Applies only to leases of commercial premises granted on or after 1st January 1996
  • Affects only assignments
  • Applies only to leases of commercial premises granted on or after 1st January 1993
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