Tenants Warned Over Compliance With Lease Terms

Posted: 28th June 2011

When you are required to transfer a property once sold or at the end of the lease, you are required to give the new occupant vacant possession.

Sale Sign
This is a strict requirement, meaning that the property must be capable of being occupied immediately. As such, it must be empty of people and the belongings of the person vacating it.
In a recent case, a tenant who was vacating a let property as a result of the termination of the tenancy wanted to continue to occupy the property for a few days after the break date in order to complete works necessary to comply with its repairing obligation under the lease.
The tenant requested the landlord’s permission, but there was no response to the request. The tenant kept the premises secure but retained the keysto the property after the break date.
The Court of Appeal agreed with the landlord that vacant possession had not been given to it and the tenant had therefore failed to comply with the conditions attaching to the break clause.
This case shows how important it is to ensure compliance with lease terms. In this case, a desire to avoid a small cost relating to completion of the repairs to the property has landed the tenant with a much greater liability.