Q&As

A tenant of commercial property is in arrears of rent and is holding over under the Landlord and Tenant Act 1954. The landlord is willing to grant a new lease where in addition to the passing rent, separate provision is made for the tenant to pay the rent arrears under the expired lease off by instalments. If the tenant were then to default in paying the rent arrears but keep up payment of the current passing rent, could the landlord then forfeit the lease if arrear rent was reserved as ‘rent’? Is there anything barring such arrangement?

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Published on LexisPSL on 02/03/2018

The following Property Q&A provides comprehensive and up to date legal information covering:

  • A tenant of commercial property is in arrears of rent and is holding over under the Landlord and Tenant Act 1954. The landlord is willing to grant a new lease where in addition to the passing rent, separate provision is made for the tenant to pay the rent arrears under the expired lease off by instalments. If the tenant were then to default in paying the rent arrears but keep up payment of the current passing rent, could the landlord then forfeit the lease if arrear rent was reserved as ‘rent’? Is there anything barring such arrangement?

A tenant of commercial property is in arrears of rent and is holding over under the Landlord and Tenant Act 1954. The landlord is willing to grant a new lease where in addition to the passing rent, separate provision is made for the tenant to pay the rent arrears under the expired lease off by instalments. If the tenant were then to default in paying the rent arrears but keep up payment of the current passing rent, could the landlord then forfeit the lease if arrear rent was reserved as ‘rent’? Is there anything barring such arrangement?

Forfeiture is the landlord’s express right to re-enter premises and bring a lease to an end, due to a breach of covenant or the occurrence of a specific event detailed in the lease. The lease must contain an express forfeiture clause which allows the landlord to terminate the lease for the alleged breach, and the breach must not have been waived. In the absence of an express provision in the lease, a landlord may only forfeit if there has been a breach by the tenant of an express or implied condition.

For further guidance on forfeiture, see

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