Q&As

Can a lease merger clause be inserted into the sale agreement or would it be safer to enter into a Deed of Surrender and annex the agreed form to the contract for sale when (A) is intending to sell the freehold title to (B), a current tenant who currently holds a tenancy agreement for a term of one year and thereafter from year to year?

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Published on LexisPSL on 18/01/2016

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

  • Can a lease merger clause be inserted into the sale agreement or would it be safer to enter into a Deed of Surrender and annex the agreed form to the contract for sale when (A) is intending to sell the freehold title to (B), a current tenant who currently holds a tenancy agreement for a term of one year and thereafter from year to year?

Can a lease merger clause be inserted into the sale agreement or would it be safer to enter into a Deed of Surrender and annex the agreed form to the contract for sale when (A) is intending to sell the freehold title to (B), a current tenant who currently holds a tenancy agreement for a term of one year and thereafter from year to year?

Our Practice Note: Merger of freehold and leasehold titles—law and land registration procedure covers the law and land registration procedure in relation to the merger of freehold and leasehold titles, including looking at charges, and the effect of merger on underleases, easements and restrictive covenants.

A lease terminates as a result of merger when both the lease and the reversion on that lease become vested in the same person—see Rye v Rye.

However, merger does not arise

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