landlord & tenant part i nature of relationship.ppt

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    Nature of the relationshipEulalie N. Greenaway (Ms)

    Course Director 

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    Relationship arises in circumstances where:

     a person who has an estate/interest in

    real property grants or is deemed to havegranted to another an estate/interestwhich is less than that which the grantorholds

    a contract exists or is deemed to be inexistence, albeit a unique form of contract

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    Estate/Interest created means that:

    the relationship is one of tenure and socovenants which touch and concern the land

    will bind the person who has granted thelimited interest(grantor/landlord) and person towhom the interest granted (grantee/tenant)

    pament of !rent" is deemed to made in respectof land resulting in rights to grantor/landlordsuch as recover of possession, distress, inapplicable #urisdictions, where rent unpaid

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    grantee/tenant is estopped from deningthe grantor"s/landlord"s title and theconverse is true

    concurrent estates/interests can be held inthe same land, i$e$ landlord/tenant/sub%tenant

    estate/interest ends on the expir of thecontract

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     &his unique contract consists of thefundamental requirements of a contractsuch as:

    capacit

    o'er acceptance

    intention to create legal relations

    consideration and

    sub#ect to an statute, rights and obligations willbe determined on the agreement of the parties,common law, equit and practice$

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    The unique contract cont’d:

    contract confers on the grantee/tenant an

    estate/interest in land, whether this exists inlaw or equit

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    The unique contract cont’d:

    *onfers the right to exclusive possessionof land that is either sub#ect to or can bemade subject to a denite term:

    Isaac v otel de !aris "treet v #ountford

    !rudential $ssurance v %ondon&esiduary 'ody

    %ace v (handler

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     &erm granted must be less than term heldb the lessor/landlord or sub%lessor:

    %ewis v 'a)er

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    The unique contract cont’d:

    + central requirement is that there must be

    alwas a letting or demise of land orinterest in land:

    mine, farm, house, strata/condominium,

    hole in the ground

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    ow is the relationship created*

    +xpress a,reement: document in writing % lease,deed, other written agreement or oral agreement

       Implied a,reement :

    ougadeen v Ramsamoo# (-..) - 0IR 1.2

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    ow is the relationship created*

    $ttornment :

    Expressed or implied consent to rightsbeing transferred$ 3or example, a tenantma accept being the tenant of a newlandlord b continuing to occup the leased

    premises after it has been sold

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    ow is the relationship created *

    "tatute: e$g$ Rent Restriction legislation

    +stoppel:

    4eredith v 5ra

    E$6$ 7ewis 8ons 7td v 4orelli

    4ac9le v utting6arrison v 0ells

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    ow is the relationship created*

    $cts of part performance :

    (onsider the -alsh v %onsdaleprinciple

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    $,reement for a lease: + binding agreement for a lease is

    determined b ordinar rules of law ofcontract:

    &ossiter v #iller

    these rules require o'er acceptance:

    (hew v &ichmond ai,obin v 0ias

    arvey v !ratt

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    "tatute of 1rauds 2344 5678 : oral lease treated as leases at will lease for three ears or less need not be in

    writing if some act of part performance and

    fair mar9et rent paid$

    +quity developed an exception to thestatutor requirement of writing in favour of apart who can show su9cient acts of partperformance referable to the contractalle,ed

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    +ssentials of an a,reement:

    must be in writin,:

    ;urgess v *oxorth v 7oomes

    all leases of unre,istered land must be b

    deed (except in ;/dos)

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    leases of re,istered land for 1 ears ormore (

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    4ust contain the material terms of theagreement:

    ◦ the parties full described

    ◦ the consideration , i$e$ rent

    ◦ the propert = full description

    ◦ period/duration of the tenanc

    ◦ signed b the part in respect of whom it will beenforced therefore both parties (part to be

    charged)Timmins v #ooreland "treet !roperties

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    0octrine of !art !erformance: +n oral agreement for a lease ma still be

    enforeceable >art see9ing to enforce agreement must

    show:

    (a) a binding agreement

    (b) su9cient acts of part performance

    (c) such acts must be indicative of theagreement consistent with its

    terms

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    -hat amounts to part performance* :;rough v ettleton

    Rawlinson v +mes

    8teadman v 8teadman4adison v +lderson

    usual remed is to order speci?c

    performance to give e'ect to theagreement or damages where speci?cperfomance is not available$

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    "pecic !erformance : an equitable remed, granted at court"s

    discretion

    the part in breach is required to performhis part of the agreement

    ta9es into account conduct of the parties,whether performance is possible, e'ect oforder = hardship, unreasonableness

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    0ama,es:  common law remedy > breach of

    contract may extend to include equitable

    dama,es

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    (apacity of the parties: $bsolute owner oint tenant

    Tenant?in?common $liens #inors #entally disabled persons

    (orporations (rown/"tate

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    +xclusive !ossession: &he right to control the land and to exclude

    all other persons from it, including thelandlord$

     &his is a signi?cant factor that de?nes therelationship

    Issac v otel de !aris"treet v #ountford

    "hell #ix %td v #anchester @ara,es %tdA

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    +ll relevant factors must be consideredeven where exclusive possession granted:

    0ou,adeen v &amsamooj B others

    "ylvester v (yrus

    #or,an v $@ 5!A(A8

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    8ome considerations:-$   +re the terms of the agreement consistent

    with usual lease arrangementsA

    1$   0hat is the nature of the relationshipbetween the partiesA

    &omany v &omany. 1acchini v 'ryson

    2$   0hat is the consideration involvedA(amount/value)

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    B$ 0hether the occupant had previousloccupied the premises or has been let intopossession on account of the transactionnow in issue

    $  &he capacit of the grantor to grant atenanc

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    0enite !eriod:

    In most cases the period is clear andde?nite but in some circumstances this mabe the issue

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    Tenancies for a xed term:7ace v *handler

    6aigee v Eric9son

    Roman v Roman4etcalf v Edghill

    !eriodic Tenancies:

    *entaplo 7td$ v 4atlodge 7tdRor Robinson v &exaco *aribbean Inc$

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