‘The Law Commission has unveiled a blueprint for the future of home ownership – including a commonhold regime described as “fit for purpose” nearly two decades after the concept was introduced.’
Law Society's Gazette, 21st July 2020
Source: www.lawgazette.co.uk
‘A lease that contains a covenant against use other than as a private dwellinghouse is breached where the tenant opts to let the property out on short term lets through sites such as Airbnb and Booking.com. However, where the tenant still makes regular use of the property as a residence in and around those bookings, the tenant will not be in breach of a separate covenant not to carry on a business from the property (as distinct from a covenant not to use the property for a business).’
Tanfield Chambers, 30th June 2020
Source: www.tanfieldchambers.co.uk
‘What happens when a landlord:
a. On the one hand, gives Tenant A a licence to do something which would otherwise be a breach of Tenant A’s lease, but;
b. On the other hand, is under an obligation to Tenant B to enforce the covenants in Tenant 1’s lease?’
St Ives Chambers, 6th July 2020
Source: www.stiveschambers.co.uk
‘An Upper Tribunal appeal of an FTT decision that the leaseholder, Ms M, was in breach of lease, and specifically a restriction “Not to do or permit or suffer in or upon the Demised Premises or any part thereof any illegal or immoral act or any act or thing which may be or may become a nuisance or annoyance or cause damage to the Lessors or the tenants of the Lessor or the occupiers of any part of the Building.”’
Nearly Legal, 1st July 2020
Source: nearlylegal.co.uk
‘Many property owners are taking advantage of new technology to advertise short term stays at their properties on various platforms. Two of the most common are Airbnb and Booking.com. Changes to the tax relief available on buy to let mortgages has also caused a move towards Furnished Holiday Lettings.’
St Ives Chambers, June 2020
Source: www.stiveschambers.co.uk
‘The recent case of Faiz & Ors v Burnley Borough Council [2020] EWHC 407 (Ch) provides clarity on a tricky practical issue: when can a landlord accept monies after it gains knowledge of its right to forfeit?’
Hardwicke Chambers, 17th June 2020
Source: hardwicke.co.uk
‘Since the property market coronavirus restrictions were lifted on 13 May 2020, there has been a reported rush to buy and sell houses and flats. Where property is leasehold, the sale of the lease is often the trigger which leads to a claim being made for either a new lease or the freehold under the Leasehold Reform Acts. The purchaser will always be concerned to see exactly what term is being acquired. A lessee of a flat wishing to buy a new lease must have owned the lease for two years before serving a notice (s. 39(2)(a) of the Leasehold Reform, Housing and Urban Development Act 1993). The same ownership period applies to a claim to acquire the freehold of a house (s. 1(1)(b) of the Leasehold Reform Act 1967).’
Falcon Chambers, June 2020
Source: www.falcon-chambers.com
‘This case tested the extent to which information contained on the face of the property register to registered leasehold estates can be relied on. It is the first time the High Court has specifically ruled on the question of whether the title plan and the floor level note on the property register are conclusive and can be relied on in isolation from the underlying lease, for the purpose of ascertaining the vertical general boundaries. The judgment confirms that the Land Registration Act 2002 does not modify the long-established principle that the general boundaries are determined by construing the lease itself. To that end, the lease is effectively incorporated into the register of title by reference and by HM Land Registry keeping a copy, so the description of the registered estate on the face of the property register does not stand in isolation and must be read in conjunction with the registered lease.’
Landmark Chambers, 1st June 2020
Source: www.landmarkchambers.co.uk
‘Is a landlord of a block of flats entitled to grant a licence to a lessee to carry out work which would breach an absolute covenant contained in a lease of their flat, where the leases of other flats in the same building require them to enforce covenants at the request of a lessee of one of those other flats, without being in breach of the latter covenant?’
Becket Chambers, 11th June 2020
Source: becket-chambers.co.uk
‘The Landlord and Tenant Act 1985 makes detailed provision for the regulation of residential service charges payable by long leaseholders. In particular, s.20B(1), 1985 Act provides that a tenant is not liable to pay service charges which were incurred more than 18 months before a demand for payment was served on the tenant. That provision does not apply if, within the same 18 month period, the tenant is notified in writing that the costs have been incurred and that he will subsequently be required under the terms of his lease to contribute to them by payment of a service charge (s.20B(2)). In Brent LBC v Shulem B Association Ltd [2011] 1 WLR 3014, the High Court held that the “demand” for the purposes of s.20B(1) had to be a contractually valid demand. That decision was approved – without argument to the contrary – in Skelton v DBS Homes (Kings Hill) Ltd [2017] EWCA Civ 1139.’
Landmark Chambers, 2nd June 2020
Source: www.landmarkchambers.co.uk
‘Another Upper Tribunal decision to add to the now large pile of cases on airbnb/short let use and breach of lease. In this case, the FTT had found the short let use not to be in breach of lease (for cunning reasons I’ll come back to) and the head lessor had appealed to the Upper Tribunal. The decision upholds the Nemcova line on “private residence” use, but also has a finding of interest on “business use”.’
Nearly Legal, 6th June 2020
Source: nearlylegal.co.uk
‘Residential leases can last a long time. A lot can change in 99 years or 999 years. What the landlord deemed an absolute “no-no” in 1965 might not seem such a bad idea now. However, following the Supreme Court’s decision in Duval v 11-13 Randolph Crescent Ltd [2020] UKSC 18; [2020] PLSCS 84 if the landlord has given other leaseholders in the block the benefit of a mutual enforceability covenant, the landlord will put itself in breach of covenant if it gives a tenant permission to do something which would breach an absolute covenant. The consequences of this decision are potentially far reaching.’
Tanfield Chambers, 13th May 2020
Source: www.tanfieldchambers.co.uk
‘In relation to the qualifying criteria and procedure, the Law Commission was asked to make recommendations and the report on those aspects is due in the Spring. On the question of valuation, the Law Commission’s remit was slightly different. It was required to come up with “options” to reduce the premiums payable by leaseholders, not “recommendations”. It will then be a matter for the politicians to decide which option should be adopted. The Law Commission Report (Leasehold home ownership: buying your freehold or extending your lease. Report on options to reduce the price payable (HMSO, 2020), Law Com. No. 387) on those options was published on 9 January 2020.’
Tanfield Chambers, 26th May 2020
Source: www.tanfieldchambers.co.uk
‘There was no dispute about the facts. The Claimant church is a charitable company limited by guarantee, which took a 30 year lease of a former industrial unit from the Defendants and converted it into a Church and community centre. That was the permitted use under the lease.’
Tanfield Chambers, 22nd May 2020
Source: www.tanfieldchambers.co.uk
‘With many businesses large and small struggling to survive or collapsing into administration or liquidation landlords are particularly vulnerable to rent arrears and the difficulty of finding a suitable tenant to replace the existing. The following is an overview of what steps a landlord can take in this uncertain world.’
Pump Court Chambers, 26th May 2020
Source: www.pumpcourtchambers.com
‘The Court of Appeal decision in Dr Julia Duval v 11 – 13 Randolph Crescent Ltd [2018] EWCA Civ 2298 was a wake-up call to landlords to be alive to their, often overlooked, obligations to enforce tenants’ covenants at the behest of other tenants. That decision has been confirmed by the Supreme Court: [2020] UKSC 18.’
Hardwicke Chambers, 12th May 2020
Source: hardwicke.co.uk
‘Two of the leases of 11-13 Randolph Crescent are held by the respondent, Dr Duval and a third lease Is held by Ms Martha Winfield. Each lease contains a covenant, clause 2.6, which prevents the lessee from making any alteration or improvement in, or addition to, the premises demised by the lease without the prior consent of the landlord. Each lease contains an absolute covenant, clause 2.7, which prevents the lessee from cutting into any roofs, walls, ceilings or service media. Clause 3.19 requires the landlord to enforce, at the request and cost of the lessee, certain covenants in the leases held by other lessees, including any covenant of a similar nature to clause 2.7. Mrs Winfield sought a licence from the landlord to carry out works to her flat which the landlord granted, subject to Mrs Winfield securing adequate insurance. Dr Duval then issued proceedings against the landlord seeking a declaration that the landlord did not possess the power to permit Mrs Winfield to act in breach of clause 2.7 of her lease. The landlord appealed to the Supreme Court.’
UKSC Blog, 6th May 2020
Source: ukscblog.com
‘This article is intended to provide a brief overview on the law of enfranchisement under the Leasehold Reform Act 1967 (‘LRA’), with an update on recent case law.’
St Ives Chambers, 4th May 2020
Source: www.stiveschambers.co.uk
‘Leaseholders and landlords of residential leasehold properties face difficulties without any direct precedent in modern times. In particular, the sudden collapse in leaseholder incomes has had a dramatic effect on service charge receipts. The challenges pose numerous legal questions.’
Tanfield Chambers, 1st May 2020
Source: www.tanfieldchambers.co.uk
‘Mr Fivaz had (and still has) long leases of two flats in a block owned by by Marlborough. In around 2014 he unilaterally replaced the front door of each flat. About 5 years later the landlord complained that his actions constituted a breach of the leases. It brought proceedings in the FTT for a determination of breach pursuant to s.168(4) of the Commonhold and Leasehold Reform Act 2002.’
Falcon Chambers, April 2020
Source: www.falcon-chambers.com
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