The following Property practice note provides comprehensive and up to date legal information covering:
Under an authorised guarantee agreement (AGA), an outgoing tenant guarantees some or all of the obligations of an incoming tenant under a lease. It was introduced by section 16 of the Landlord and Tenant (Covenants) Act 1995 (LT(C)A 1995) to appease landlords whose position had been substantially reduced by the abolition of original tenant liability. It only applies to ‘new’ leases (ie those granted on or after 1 January 1996). A lease granted on or after that date but pursuant to an agreement for lease, option or court order that was made before that date does not qualify as a ‘new’ lease.
An AGA may be a separate document or may be included in a licence to assign. In either case it must be in writing and signed by the guarantor if it is to be enforceable.
An AGA must:
be an agreement where the tenant guarantees the performance by the assignee of the covenants from which the tenant has been released. Where a tenant assigns in breach of covenant or by operation of law, the tenant has not been released (see Unauthorised assignments and AGAs), and
be entered into where the lease contains a covenant against assignment without the landlord’s consent and consent will only be given on the condition (which must be lawfully imposed) that the outgoing tenant
**Trials are provided to all LexisPSL and LexisLibrary content, excluding Practice Compliance, Practice Management and Risk and Compliance, subscription packages are tailored to your specific needs. To discuss trialling these LexisPSL services please email customer service via our online form. Free trials are only available to individuals based in the UK. We may terminate this trial at any time or decide not to give a trial, for any reason. Trial includes one question to LexisAsk during the length of the trial.
To view the latest version of this document and thousands of others like it, sign-in to LexisPSL or register for a free trial.
Existing user? Sign-in
Take a free trial
The primary function of office-holders in personal and corporate insolvency is to collect in the assets belonging to a company or individual and to distribute these to the company's or individual's creditors. Office-holders have various duties and powers in order to ensure that they do this. For
Commercial Property Standard Enquiries (CPSEs) are industry standard pre-contract enquiries used in commercial property transactions. CPSEs are endorsed by the British Property Federation and are free to use. The CPSEs include specific environmental enquiries at enquiry 15 and there are several
Source of the doctrine of the separation of powersThe origins of the doctrine are often traced to John Locke’s Second Treatise of Government (1689), in which he identified the 'executive' and 'legislative' powers as needing to be separate.‘… it may be too great a temptation to human frailty, apt to
A declaratory judgment is a judgment identifying the rights, duties or obligations of one or more parties in a dispute. It is legally binding, but does not order any action by a party. A court may issue it alone or in conjunction with some other relief such as an injunction and can be granted on an
0330 161 1234
To view our latest legal guidance content,sign-in to Lexis®PSL or register for a free trial.