Unformatted text preview: tion by surrender
Surrender of a lease can arise from an agreement between the parties that the lease will terminate through
surrender at law.
Where an act done by one party and assented to by the other is consistent with discontinuing the
lease—for example, if the tenant gives up possession of the premises, or another person is granted a lease
and takes possession with the consent of the original lessee—the old tenancy is surrendered. The nature
of the new tenancy or lease is immaterial in such cases.
Where the premises are re-let, this is not in itself an acceptance of the tenant’s surrender. Forfeiture
If, within the leasing agreement, there is no provision for re-entry on breach of a covenant, the lessor
may use the penalty of forfeiture only if it can be established that the provision breached was not a
mere covenant but a condition. It has been held that payment of rent is to be considered a condition
rather than a mere covenant. For example, s 146 of the Property Law Act 1958 (Vic) and s 129 of the
Conveyancing Act 1...
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This document was uploaded on 04/23/2012.
- Three '12