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Termination Clauses - LTA 1954
1. Is the lease one to which LTA54 applies?
a. If not, lease will expire on the contractual termination date (STATE DATE) and landlord will be able to obtain possession at that point b. Contracted-out tenancies b.a. For leases granter prior to 1 June 2004 approval of court to contract out had to be obtained prior to the grant of the lease b.b. For leases granted on or after 1 June 2004 a notice procedure has to be complied with before the grant of the lease Reg 29(2) 2003 Order b.b.1. Landlord must give the tenant notice in a prescribed form which contains a warning to the tenant that he is agreeing to a lease without security of tenure, advising him to obtain professional advice b.b.2. Tenant must make a declaration that he has received the notice &
agrees lease should be contracted out b.b.2.a. If tenant given notice less than 14 days before grant of lease then tenant's declaration must be made in the form of a statutory declaration before an independent solicitor b.b.3. A reference to the service of the notice & tenant's declaration must be contained or endorsed on a document creating the lease c. If there is a tenancy, the premises is occupied by the tenant & for business purposes then LTA54 will apply and the tenancy will not come to an end at the expiry of fixed term, but will continue by virtue of s24. Landlord will have to comply with procedure under the act in order to determine the lease c.a. Tenant must have exclusive possession for terms of years absolute or fee simply in possession c.b. Excluded tenancies c.b.1. Tenancies at will c.b.2. Tenancies not exceeding 6 months c.b.2.a. If occupation of more than 12 months then will not be excluded c.b.3. Contracted out tenancies 38(4) LTA54 c.c. Occupied c.c.1. Can be through an agent, manager or company owned by the tenant c.d. For business purposes c.d.1. 23(2) widely defined c.d.1.a. Any act carried out by a body of persons c.d.1.b. Business use need not be sole purpose of occupation but must be main purpose and not merely incidental to a residential or other purpose c.d.1.c. Does not need to be profit making
2. What is the procedure for a landlord to terminate the lease?
a. Surrender the lease - need mutual agreement from tenant & landlord b. Periodic tenancy b.a. Landlord gives tenants a notice to quite, expiring at the end of the completed period of tenancy c. Forfeiture c.a. 146 LPA notice c.a.1. Specify breach c.a.2. Require remedy in reasonable time c.a.3. Tenant pay compensation c.b. 147 LPA 1925 tenant can apply for relief for internal decorative repairs (PAGE 265-5 CP) d. Serve a s.25 notice on tenant stating that landlord wishes to terminate lease d.a. Carried out between tenant and tenant's competent landlord
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