Q&As

Where a tenant remains in occupation after the contractual expiry of a contracted-out business lease, what is the nature of that occupation?

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Produced in partnership with Georgia Whiting of 4 King’s Bench Walk
Published on LexisPSL on 16/03/2018

The following Property Disputes Q&A produced in partnership with Georgia Whiting of 4 King’s Bench Walk provides comprehensive and up to date legal information covering:

  • Where a tenant remains in occupation after the contractual expiry of a contracted-out business lease, what is the nature of that occupation?

Where a tenant remains in occupation after the contractual expiry of a contracted-out business lease, what is the nature of that occupation?

The basic proposition is that where a lease has effectively excluded the provisions of the Landlord and Tenant Act 1954 (LTA 1954), the tenant will have no right to claim a new lease at the end of the contractual term.

However, a common scenario in such situations is the tenant ‘holding over’ after the expiry of the fixed term, that is to say, failing to leave. This may be for a number of reasons, such as ongoing negotiation between the parties as to the terms of a new lease or simply through inadvertently maintaining the status quo and treating the lease as continuing. Often, there will not be a written contract between the parties to stipulate the rights and legal status of the occupier

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