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Update: commercial property

It's been a busy six months for solicitors - but what did you miss? Michael Fahy provides a snapshot of the cases that have shaken things up and of the new code on service charges

13 June 2011

Break notices

It is something of an indication of the state of the current market that there have been several recent cases concerning the topic of break clauses in leases – as landlords are understandably reluctant to lose tenants.

It can be extremely costly for tenants – and possibly their advisers – to get it wrong when serving a break notice as was illustrated in the case of NW Trustees Limited and Others v Telular Corporation [2011].

The facts concerned a ten-year lease with usual break notice requiring the service of not less than six months’ notice in writing to the landlord. The mechanics for service included special delivery and delivery by hand to the landlord’s registered office.

Complications arose as a result of the reversionary interest changing hands on several occasions, and predictably the notice was served on the wrong landlord. Somewhat fortunately for the tenant, it received a response from the pre...

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