Legal Issues in a Commercial Lease: Arrears of Rent and Repair Covenants

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This article discusses the legal issues related to arrears of rent and repair covenants in a commercial lease. It covers the liabilities of tenants and remedies available for breach of covenants.

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Lease by deed to Ted Ted
covenanted to pay rent carry
out repairs

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Table of Contents
INTRODUCTION ..........................................................................................................................3
TASK ..............................................................................................................................................3
a) Is Ted liable for the arrears of rent Advise on all relevant issues and procedures..................3
b) Is Azim liable for the repair and user covenants....................................................................4
c) What remedies are available against Azim for breach of the repair and user covenants........5
d) How would your answer to parts a and b above differ if the lease had been granted in 1995
.....................................................................................................................................................6
CONCLUSION ...............................................................................................................................6
REFERENCES................................................................................................................................7
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INTRODUCTION
Lease deed is that kind of legal document which is been used in order to mark out terms
and conditions within which property is been leased out. The lease deed contains all information
regarding lessor, lessee, tenure of lease, payment over lease and other terms which is to be
followed by both lessor and lessee within the term of lease. Such deed is been used for making
property which is been given over lease attain legality within the eyes of law. It is mainly used in
order to make all kinds of leased payment done on time. Scope of these laws are wider as they
cover various aspects which is related to lease taking place between lessor and lessee. Nature is
dynamic as it directly affects lease deed. In this file things covered is based over arrears of rent
and remedies are available for breach of the repair.
TASK
Case study: In 2018 Layla has registered proprietor over commercial unit which is
granted over 20 years of lease which makes deed to be carried out over repairs which is used for
the premisses of business purpose only Earlier this year Ted is been assigned to Azim and he did
not pay rent for six months and refused over carrying out repairs and has been using premises
over dwelling. With full reference to legal authority advise Layla on the following:
a) Is Ted liable for the arrears of rent Advise on all relevant issues and procedures
The above case scenario shows that the main topic of discussion is lees of deed which is
an instrument that is been used over land or premises that has been rented to the owner over
fixed period of time. In this leasee is having exclusive used of land over premises during the term
of lease subject over conditions contained over lease(Decker, 2017). This is covered within the
legislation that is property act 1925. The key policies of the act is to reduce over number is legal
estates within which freehold and leasehold of been generally made over the transfer of interests
within the land easier for purchases. In this other policies is been regulated over mortgage and
leases making regulation over assignment over tackling some of the short coming of law within
the property law. Innovation is been included over default creation upon easement within section
62 making denial over asses and statutory applications to be covered over very long leasehold.
In the above case it can be observed that Section 25A is been applied. It says that the amount of
arrears of rent received form tenant that is unrealised over making subsequently from tenants. In
the case assesses should be deemed over income from house property in respect of financial
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years that is received over total income within the head of “Income from house property” within
which owner of property or not within financial years. Further the act covers that paying rent
from the date over tenancy started. In this tenancy is known as 'assignment' or 'succession'
which is responsible for rents arrears within the case. The case scenario explains that Ted is been
assigned to Azim and Azim did not pay the rent. So, as per the section mentioned above it can be
observed that Ted is nit required to pay the rent as Azim did not pay it.
b) Is Azim liable for the repair and user covenants
In this case another aspect is covered which is based over making repair upon property
which is required to be done by the landlord. Further the concept of covenant to repair makes
agreement made between lessor and lessee obligating over adjusting which makes defects
corrected over premises during the term of lease which is been allotted. Full repairing is that part
of lease within which an tenant is required to take all costs over repairs and insurance over
property which is been leased by the landlord. In this mots common exemption is that tenant is
required to give back the property as it is when lease is ended. In order to make it more
significant two important condition for this purpose has been given as follows:
Tenant is not responsible upon the state of repair of premises over the beginning of lease.
If any disrepair exists to property at the time lease is taking place(Brady, 2020).
Also it is been observed that any lease which is containing through an agreement within
landlords and tenant is made over deed. Then in such agreement if evidence lacks upon taking
covenants two condition is been applied that is given as follows:
The agreement within certain circumstances binds successors over title while being an
covenant.
If breach has taken place then either party is not allowed to treat the lease as the emnd
until breach is proved.
Term over lease agreement is been generally treated over covenants where the
agreements has been made over deed. Lease over duration is than three years and is not even
made in writing over certain consonants which is to be existed.
So, it can be observed from the above case scenario that Azim is not liable for the
damages which has to be prepared since rent has not been paid by him. Further the case observed
that the property is been registered in the name of Lylan that makes him the original owners of
the property as per the property law of UK. Since landlord is always responsible for repairs to the

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property's structure and exterior,basins, sinks, baths and other sanitary fittings including pipes
and drains(Ballem, 2019).
c) What remedies are available against Azim for breach of the repair and user covenants
Breach of covenant in this violation of agreement over promise is been made upon
written over property deeds and is been refereed over making implied condition over which
agrees. In this covenant is always been part of an contract or property deed. This is been refereed
over an expressed or implied condition over which party agrees. Covenant is part of an contract.
It is frequently related over way of real property over home or vehicles in case when the contract
is not been live up to covenant is considered as breach which is been sued over damages. In
order over making sure the promise is been refer over something within the breach of covenant is
sued over damages. The promise is been referred over something that is made over promise
related to something in future which is important enough and termination of an action is done. In
case where Tenant dos not pay rent Landlord can as the court to passed an order of evocation for
tenant and also request upon money damages in relation to rent late fees and, court costs.
Complain can be launched by landlord over filling an complain immediately regarding failure to
pay rent. Filing a failure to Pay Rent- Landlord's Complaint: Complain launched must be
completely filled out and filed within the lower court that is having jurisdiction over property.
Then court issued summons. The summon can be posted through mail only when action is for
repossession of property. The summon says that tenants is required to appear before the court
and should answer over landlord complain. In this tenant is required to "answer" the landlord's
complaint to "show cause" why the landlord's demand to repossess the property should not be
granted. Other remedies which can be used by landlord is Eviction within which landlord must
file a “Petition for Warrant of Restitution”. In case tenant is having various judgement passed
against him or her over failing to pay rent then eviction can be done immediately even if
willingness is shown by tenant over paying rent.
It can be observed form the above case scenario that Azim has no paid the rent so the
above remedy can be used by Lylan in order to make evocation of Azim as the Ted has assigned
the property to Azim which makes Azim liable to pay rent not Ted.
d) How would your answer to parts a and b above differ if the lease had been granted in 1995
In the year 1995 new act has been introduced in order to deal with landlord and tenant
name of the act is Landlord and Tenant (Covenants) Act 1995. The act says that any lease which
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has been granted on or after 1996 forms “new” tenancy within which exemption has been made
over the old act. As per the exception original tenant is been made liable over covenants involved
in lease that makes tenants assigned the lease. According to the act “new” tenancy has been
released automatically over the lease that is been assigned. Then as per section 24(2) of the act
tenant remains liable over the breach of covenants. In section 16 of the act landlord is required to
enter into an sanctioned guarantee agreement which makes tenants liable till the time agreement
is been released over tenant covenants within the lease. In the above case scenario it can be
observed that Layla has registered proprietor over commercial unit which is granted over 20
years of lease in the year 2018 which makes both the sections applicable within the case. Thus
Azim is liable over committing breach by not paying the rent on time.
(Adler, 2018).
CONCLUSION
From the above discussion it can be concluded that lease deed is the process by which an
agreement is been signed over the tenant which is been issued in order to make possession over
property attained in more effective way. The in this file various aspects related over tenant is
been covered.
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REFERENCES
Books and Journals
Adler, L., 2018. 5 Making the Distributive Turn. In Gay Priori (pp. 175-211). Duke University
Press.
Ballem, J.B., 2019. 14. Termination of the Lease. In The Oil & Gas Lease in Canada (pp. 339-
355). University of Toronto Press.
Ballem, J.B., 2019. 7. The Habendum and Interpretation Clauses. In The Oil & Gas Lease in
Canada (pp. 149-177). University of Toronto Press
Brady, M.E., 2020. Turning Neighbors into Nuisances. Harv. L. Rev., 134, p.1609.
Decker, A., 2017. Community Land Trusts and State Legislation: A Model Act to Enable This
Affordable Housing Tool. J. Affordable Hous. & Cmty. Dev. L., 26, p.489.
Emmeus Davis, J., 2017. Common Ground: Community-Owned Land as a Platform for
Equitable and Sustainable Development. USFL Rev., 51, p.1.
Glotzer, P., 2020. 6. ADAPTATIONS. In How the Suburbs Were Segregated (pp. 183-211).
Columbia University Press.
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