1

[LEASE]
A lease grants exclusive possession of the land for a certain fixed or periodic term, in consideration of a premium (lump sun) or periodical payments. A leasehold estate is inferior to the freehold estate because first of all, it endures for a smaller slice of time than the freehold estate, the former having a fixed and certain duration where the latter is perpetual in duration and secondly, the possesory rights en oyed by the holder of a leasehold estate are more limited than those en oyed by a freehold estate owner, since the leasehold estate is sub ect to limitations placed upon it by the superior estate holder. !he leasehold estate is technically "nown as a #term of years absolute.

[TYPES OF LEASE]
Fixed Term Tenancy: A fixed term lease is a lease where the exact duration is fixed on the lease agreement. $t can be for a period a wee" or for %&& years, so long as the period is certain. !he lease will not terminate until the end of the fixed term sub ect to the presence of brea" clauses of lease agreement or a breach of covenant. Periodic Tenancy: !his is a lease that is granted initially for a certain period but that period will automatically recur until the lease is brought to an end either by serving the notice or through procedure following breach of covenant. 'lease note that a monthly period tenancy re(uires on months notice, a yearly periodic tenancy re(uires a sis months notice and a periodic tenancy over a dwelling house re(uires a minimum of four wee"s notice. )otice periods can also be specified by the parties themselves. Tenancy at will: A tenancy at will arises whenever a tenant, with the consent of the landlord, occupies or continues to occupy premises. !he agreement is very informal. *ither party can determine at will. !his is personal relationship between the parties where a person is allowed to ta"e possession of a property as a tenant but the agreement is such that either party can terminate the tenancy at will. $t is automatically determine on the death of either party. Tenancy at sufferance: where the tenant remains in possession upon expiry the lease period with neither the consent nor dissent of the land lord. $n this case, if the land lord consents, a new tenancy will be created and in the meantime the possession of the property will not amount to a trespass as the initial possession was lawful. Lease for Life: $f a lease is granted for someones lifetime it will be uncertain. !herefore, it offends against the rule that the maximum length of a lease must be certain. A lease for someones lifetime may be saved under +ection 1,-(.) of the /'A 1-0% where lease for the duration of lifetime of any person, or which is due to end with expiry of any life or on the marriage of the lessee. Perpetually renewa le lease: this type of lease is renewable. 1nder +ection 1,% of /aw of 'roperty Act 1-00 a lease can be automatically converted into a lease for 0&&& years. +o a lease for ,& years containing a clause whereby the tenant has the right to renew the lease for a further ,& years, at the expiry of every period, is perpetually renewable and will ta"e effect as a lease for 0&&& years. 2owever, a lease for ,& years that is renewable only for a further period of ,& years is not perpetually renewable and ta"es effect in the normal way.

0 Tenancy y estoppels: where the landlord has represented that he will grant lease and the tenant has relied upon this representation to his detriment. !enancy estoppels operate where the landlord has no title to the land when lease is granted. $n 3ruton v /ondon 4 5uadrant 2ousing !rust where the claimant argued that he had a lease from charitable housing trust. 2is argument were based on the fact that he en oyed exclusive possession of the property. !he landlord did not hold the freehold of the property but were merely licensees. !hey claimed that the claimant could not en oy the property as a tenant because a lease could not be granted by someone who did not hold the legal title over the land. !he 2ouse of /ords re ected this argument. $t based its udgment on whether or not the claimant had exclusive possession of the property6

[T!E "!A#A"TE#$ST$" OF A LEASE]

$n Street % &ountford there are , (four) essential characteristic of a lease, in absence of that a lease could not be exist7 1) *xclusive 'ossession6 0) 8ertainty or !erms6 9) 'eriodic !enancies6 ,) :ent.