Assuming that there is a right to forfeit, which has arisen by virtue of non-payment of rent, and which has not been waived, subject to various statutory restrictions (see below), the landlord may physically re-enter the property and bring the lease to an end without the need for court proceedings. It should be noted there are various statutory restrictions in respect of the procedure for forfeiture of long residential leases (ie leases of 21 years or more of premises let as a dwelling), including in respect of non-payment of rent (section 167(1) of the Commonhold and Leasehold Reform Act 2002). Consideration should be given to the application of this provision, although it would appear

A tenancy of business premises occupied for the purposes of the tenant’s business and to which Part II of the Landlord and Tenant Act 1954 (LTA 1954) applies will continue pursuant to LTA 1954, s 24 until brought to an end by the service of what is referred to as a LTA 1954, s 25 notice by the competent landlord or a LTA 1954, s 26 request for a new tenancy by the tenant (or alternatively, by a tenant’s section 27 notice, surrender or forfeiture). In this case, we are told that the landlord has served a section 25 notice. The issue is whether the landlord can offer a new tenancy to a new tenant before the expiry of the section 25 notice. A section 25 notice must specify a date of termination and must be given not less than six months (unless more

Where a debtor pays money to a creditor to whom various sums are outstanding (such as, for example, several months of arrears) the doctrine of appropriation of debt will apply. This right entitles a debtor to stipulate how a payment is to be treated by the creditor. For instance, where a debtor owes several debts to the same creditor, the debtor may appropriate any payment they make to any particular debt or debts. The creditor is obliged to apply the payment in the manner directed. For an appropriation to be effective, the debtor must communicate the debtor’s intention to appropriate the payment to a specified debt. The doctrine of appropriation of debt was considered by the Court of Appeal in Khandanpour v Chambers who noted that in Thomas v Ken Thomas Ltd, Lord Justice Neuberger (as he then was) had endorsed the principles that where several separate debts are due from the debtor

Yes, if the landlord succeeds on the basis of: • ground (d) ie provision of suitable alternative accommodation (for more information in respect of this ground, see Practice Note: Grounds of opposition: ground (d)—alternative accommodation), and/or • a combination of grounds (d) and (f) Under section 37 of the Landlord and Tenant Act 1954 (LTA 1954), the tenant is entitled to statutory financial

This Q&A is in relation to residential premises. Residential leases are individual contracts between the freeholder and leaseholder setting out the responsibilities of the parties, including the payment of ground rent. How much ground rent is payable, whether this can increase, by how much and when, will depend on the terms of the relevant lease. Unlike commercial leases, historically, ground rent clauses in residential leases have not normally defined the increased ground rent by reference to the market or some other variable factor which requires valuation or other evidence to be considered. The increased ground rent due at the end of each lengthy period was usually defined as a stated sum or by way of simple calculation (eg doubling of the ground rent every 25 years). If the lease

In this scenario, it is presumed that the property in question is used for commercial purposes, as if the property is residential, a court order will be required in order to forfeit the lease. By way of background, a landlord may only forfeit the lease if it contains a contractual provision which defines the circumstances under which the lease can be forfeited. Where the tenant is in breach of a covenant other than the covenant to pay rent, the landlord must serve a section 146 notice (section 146 of the Law of Property Act 1925 (LPA 1925)) as per LPA 1925. This notice allows the tenant the opportunity to remedy the breach. After service of that notice, if the breach is not remedied within a reasonable time, the landlord can forfeit

For the purposes of this Q&A we have assumed that there is no ground to forfeit as a result of non-payment of rent. The first point to consider is whether the landlord has grounds to forfeit the lease (ie whether the right has arisen). Unless there is a breach of a condition of the lease (normally failure to pay rent will be breach of a condition, but the facts of any situation may vary), the right to forfeit must be specifically reserved in the lease. Bankruptcy as a form of insolvency does not generally prevent an action

The Housing Act 1988 (HA 1988) provides two main methods for landlords to bring an assured or assured shorthold tenancy to an end, being notice served under section 21 (the so-called ‘no-fault’ route to possession) or under section 8. Notice served under section 8 requires the establishment of one or more of the grounds set out in HA 1988, Sch 2 Pt I. The grounds in HA 1988, Sch 2 Pt I mandate the making of a possession order if made out; those in HA 1988, Sch 2 Pt II give the court a discretion as to whether

Once a lease has expired, a landlord’s terminal dilapidations claim will be for damages. The amount recoverable is governed by common law principles for the assessment of damages for a breach of the covenant to repair, subject to the statutory cap imposed by section 18(1) of the Landlord and Tenant Act 1927 (LTA 1927). At common law, the measure of damages for disrepair will be the reasonable cost of putting the property back into the state in which it ought to have been at lease expiry. The damages claim may also include any foreseeable consequential losses such as loss of rent for the period during which disrepair prevents reletting. However, a causal connection must be established between the failure to repair and the losses claimed, so for example the

This question raises the circumstances in which an assured shorthold tenancy (AST) can be brought to an end by the landlord. The landlord has to obtain an order of the court and execute it by obtaining a warrant of possession. That order can be obtained either under sections 7 or 21 of the Housing Act 1988 (HA 1988). The focus of this Q&A is upon orders obtained under HA 1988, s 7. That section sets out a number of grounds set out in HA 1988, Sch 2, Pt I, upon which possession may be sought. Depending upon which ground is relied on, if a court is satisfied that it has been established it either must make an order for possession or may do so if

The right to collective enfranchisement of a self-contained building containing two or more flats by a majority of qualifying tenants through a nominee purchaser is contained in Chapter I of Part I of the Leasehold Reform, Housing and Urban Development Act 1993 (LRHUDA 1993). The right is exercised by the service of a section 13 notice which must specify the information set out in that section. The reversioner of the premises must give a counter-notice under LRHUDA 1993, s 21, which must either admit the right and set out proposals, state why the reversioner does not admit the right, or state that an application will be made on the grounds that they intend to redevelop the whole or a substantial part of the specified premises. Where the reversioner does not admit the right, then LRHUDA 1993,

Lease extensions Section 39(1) of the Leasehold Reform, Housing and Urban Development Act 1993 (LRHUDA 1993), gives a tenant, in specified circumstances, the right to acquire a new lease of their flat: ‘This Chapter has effect for the purpose of conferring on a tenant of a flat, in the circumstances mentioned in subsection (2), the right, exercisable subject to and in accordance with this Chapter, to acquire a new lease of the flat on payment of a premium determined in accordance with this Chapter’ The specified circumstances which are referred to in LRHUDA 1993, s 39(1) are set out in LRHUDA 1993, s 39(2). As LRHUDA 1993 stands today, there is only one specified circumstance: ‘…the tenant has for the last two years been a qualifying tenant of the flat…’ The process for a tenant to acquire a new lease A tenant who wishes to exercise