outgoing L and T can still sue/be sued for breaches before assignment— reverses Re King etc. Edlington Properties v J H Fenner (2006): o Tenant could not offset liability for rent against claim against Landlord 2 as original Landlord remains liable for own breaches s24 —new L cannot be sued s23. Liability of original parties—privity of contract [[Act effectively abolishes privity of contract for new leases]] Assignment of the lease: o S5— automatically abolishes continuing liability of original T : Under the Act, a tenant with a new lease will (generally) obtain an automatic release from the tenant’s covenants on assignment . Their liability ceases when they assign the leasehold interest to a 3 rd party . o The effect—a tenant under a new lease will only be liable for breaches of the covenants contained within the lease while they remain a tenant of the property —under LT(C)A 1995, s5 Assignment of the reversion: o S6—no automatic release of the landlord upon assignment of the reversion: 9
You've reached the end of your free preview.
Want to read all 15 pages?