Q&As
Are breaches of a commercial lease covenant to comply with planning Acts and obtain landlord’s consent prior to applying for planning permission once and for all or continuing for the purposes of forfeiture?
Pursuant to most leases, a landlord will have the right to re-entry or forfeiture upon a breach of a tenant’s covenant. Even where the lease is silent as to forfeiture, it may be shown that a breach is so serious that it goes to the root of the contract between the parties, and the right to forfeit automatically arises.
Save for in certain cases including the nonpayment of rent, a landlord cannot enforce a right to forfeit for a breach of covenant unless and until it has served a section 146 notice pursuant to the Law of Property Act 1925. This must give the tenant a reasonable time in which to remedy the breach, if the breach is indeed capable of remedy.
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