Property Practice

Question 1

What is the statutory protection given to commercial tenants under the Landlord and Tenant Act 1954?

Answer 1

Tenant does not have to vacate their property at the end of a contractual lease, unless the landlord uses one of the statutory methods of terminating the lease

Question 2

What are the four ways a tenancy protected by the 1954 Act can be terminated?

Answer 2

1. Forfeiture by the landlord
2. Surrender by both parties
3. Landlord serves a valid section 25 notice (to terminate lease or suggest new lease), or
4. Tenant serves a valid section 26 notice (to request a new lease)

Question 3

What are the three statutory requirements for a landlord to contract out of the 1954 Act?

Answer 3

1. Health warning from landlord
2. Declaration from tenant
3. Reference in the lease

Question 4

What is a section 25 notice, and when must it be served?

Answer 4

A notice sent by the landlord informing the tenant that they require the premises back at the end of the term, or that they wish to enter into a new lease with the tenant, served between six and twelve months before they wish the tenancy to end

Question 5

What are the seven statutory grounds (three of which concern tenant fault and four of which do not), one of which must be contained in a section 25 notice?

Answer 5

Discretionary:
Tenant fault:

• Failure to repair
• Persistent delay in paying rent
• Substantial breaches of other obligations

No tenant fault:

• Landlord requires whole premises (if tenant only rents part)

Not discretionary:

• Has suitable alternative premises for the tenant
• Intends to demolish or reconstruct premises which cannot be done with tenant in occupation
• Intends to occupy premises himself

Question 6

What is a section 26 notice, and when must it be served?

Answer 6

A notice sent by the tenant requesting a new lease, served between six and twelve months before they wish the new tenancy to begin

Question 7

After receiving this notice, how long does the landlord have to inform the tenant if they intend to oppose the request?

Answer 7

Two months

Question 8

What must a landlord do in response to a section 26 notice if they are unwilling to agree to a new lease?

Answer 8

Justify their refusal by reference to one of the seven statutory grounds they would be able to use for their own section 25 notice

Question 9

What is a tenant entitled to if a landlord quits the lease using a no-fault ground?

Answer 9

Compensation, on the basis that they have not done anything wrong

Question 10

Why is the tenant not entitled to compensation where there is alternative premises?

Answer 10

Because they will not have suffered any loss

Question 11

What topics does the full Property Practice deck contain, and how do I access it?

Answer 11

The full deck contains over 130 flashcards dealing with the SRA syllabus:

• Types of Property Transactions;
• Preliminary Matters and Starting a Property Transaction;
• Investigating Title;
• Pre-Contract Searches;
• Planning;
• Funding the Transaction;
• Exchange of Contracts;
• Pre-Completion;
• Completion;
• Post-Completion;
• Remedies for Delay;
• Commercial Security of Tenure.

Visit www.cleverprep.co.uk to purchase full access.