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Landlord's Rights: Forfeiture Explained

The landlord has the right to forfeit the lease for non-payment of rent based on both expressed and implied rights. Expressly, the tenancy agreement contains a forfeiture clause allowing the landlord to re-enter the premises if rent is not paid. Impliedly, for domestic lettings, the Landlord and Tenant (Covenants) Act 1995 provides the landlord an implied power to forfeit if rent is not paid within 15 days of the due date. Therefore, whether stated in the agreement or not, the landlord can forfeit the lease for three months of unpaid rent.

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25 views1 page

Landlord's Rights: Forfeiture Explained

The landlord has the right to forfeit the lease for non-payment of rent based on both expressed and implied rights. Expressly, the tenancy agreement contains a forfeiture clause allowing the landlord to re-enter the premises if rent is not paid. Impliedly, for domestic lettings, the Landlord and Tenant (Covenants) Act 1995 provides the landlord an implied power to forfeit if rent is not paid within 15 days of the due date. Therefore, whether stated in the agreement or not, the landlord can forfeit the lease for three months of unpaid rent.

Uploaded by

David
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as ODT, PDF, TXT or read online on Scribd

● Confirm whether or not your advice in (1) above would be the same if the Tenant has been

paying the rent but has sublet the property without the Landlord’s consent. Why?
●

● Exercise 2- Question 1- Remedies and effect: Tenant has not paid rent for three
months
●
● First thing: forfeiture of deposit
●

● Forfeiture
● l Right
● n (i) Expressed Rights?
● u Normally a lease will contain a provision for forfeiture. A landlord’s right to forfeit is
exercised by the landlord taking possession- to bring an early end to the lease and re-enter
the premises
● u Re-entry on default
● l Clause 4(a) of the Tenancy Agreement (“TA”) - expressed stated in the TA that
forfeiture can be exercised under 3 circumstances - “if the said rent … whether legally or
formally demanded or not or if the Tenant shall fail or neglect to observe or perform… shall
be lawful for the Landlord at any time thereafter to re-enter on the Premises or any part
thereof in the name of the whole whereupon this Agreement shall absolutely cease and
determine but without prejudice to any…”
● u Express covenant to pay rent
● l Clause 2(a) of the TA - “ To pay the said rent on the days and in manner hereinbefore
stipulated without any reduction provided that the rent for the first and the last months of
the tenancy shall be apportioned accordingly on a daily basis if applicable.”
●
● n (ii) Implied Rights? Even if the agreement is silent, still have implied right to forfeit
● u If it is a domestic letting è implied power to forfeit under Part IV of the LT(C)O applies.
à Part IV applied in this question as stated in Clause 2(v) of the TA - “ Not to use the
Premises or any part or parts thereof except for domestic purposes”
● l Under s.117(3) of the LT(C)O, for tenancies entered into ON OR AFTER 27 Dec
2002**
●
● *NON-PAYMENT OF RENT
● l there is an implied power for the landlord to forfeit for the non-payment of rent
within 15 days of the due date

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