Landlords will breathe a sigh of relief following a recent Court of Appeal judgement. In this case, the tenant had exercised a break clause, ending the lease early. It sought a refund of parts of payments it had made in advance for rent, service charge, car parking and insurance charges, which related to a period after the break date.
The court ruled that it was not appropriate to imply a term into a lease that entitled the tenant to a refund of the rent, car parking fee and insurance charges that it had paid in advance in accordance with the express terms of the lease.
A checklist that highlights the practical issues that a tenant should consider when exercising a break clause in a commercial lease is available on request.
0 Comments