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Leases Tutorial II

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Leases tutorial II question

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  • May 9, 2018
  • 6
  • 2017/2018
  • Exam (elaborations)
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Leonard is the registered proprietor of a small, residential cottage in the
English countryside. He granted a lease of the cottage to Teresa, who
composes contemporary classical music in her spare time. In the
negotiations leading to the grant of the lease, Teresa explained to Leonard
that the isolated, quiet location of the cottage was extremely important to
her, as it would facilitate her work as a composer; and that she was only
able to compose in quiet, natural environments.

The lease was granted to Teresa last year. The duration of the lease is 15
years, subject to a break clause exercisable by either party on the ffth
and tenth anniversaries of the grant of the lease. The lease contains
covenants by Teresa (i) to keep in repair the cottage and all its
installations, and (ii) not to assign the lease without frst obtaining
Leonard’s written consent. The lease was duly registered at the Land
Registry.

Shortly after Teresa moved in to the cottage there was some very heavy
rainfall. The rainwater came through the roof above Teresa’s bedroom.
The water ran down, and was absorbed by, the bedroom wall. This caused
the plaster on the upper part of the wall to crumble. Teresa was unhappy
about this. She was also unhappy that the boiler only worked
intermittently with the consequence that the cottage was often without a
hot water supply. Teresa mentioned these matters to Leonard, but he
directed her attention to the repairing covenant in the lease and told her
she was responsible for any necessary remedial work. Teresa consulted a
local engineer. He said he could replaster the bedroom wall but there was
little point doing so because the roof would continue to leak because it
had been constructed with substandard materials. He also told her that
the boiler’s poor performance was due to the poor design of its ignition
system. He told Teresa it required extensive modifcations. Teresa could
not aford the remedial work suggested by the engineer and took no
further action. To make matters worse, the toilet fush stopped working
with the result that Teresa has to pour buckets of water down the toilet
after each use. Teresa did not mention this matter to Leonard because she
was worried he would tell her to remedy it.

Two months ago, Leonard, who owns a large barn in close proximity to the
cottage, converted the barn to a printing press. The printing machinery is
a source of constant noise. The disturbance created by the press, and by
the vans and lorries that visit the site regularly day and night, is
preventing Teresa from composing and sleeping properly.

Last month Roberto visited Teresa at the cottage. Roberto is a friend of
Teresa’s and a sound artist with a particular interest in industrial noise. He
was excited and inspired by the soundscape generated by the printing
press and asked Teresa if she would consider assigning the lease of the
cottage to him. Teresa replied that she would happily do so.

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