Leasehold covenants – enforceability after assignment or sub-letting


In this lecture we look at the special rules which determine the enforceability of leasehold covenants after a tenant’s lease or the landlord’s reversion is assigned to a third party, or when a tenant creates a sub-lease.

Since 1995, there have been two sets of rules on this topic: one set applying to leases created prior to that 1.1.96 and another set for those created on or after that date.

In the first section of this lecture, we look at the former set of rules (for ‘old’ leases) and in the second section, the latter set (for ‘new’ leases).

For both ‘old’ and ‘new’ leases, the lecture explains, with animated diagrams:

  • When the benefit and the burden of covenants pass to assignees of the lease or the reversion
  • When, if at all, the benefit and the burden of covenants pass on the creation of a sub-lease by a tenant
  • The position of original covenantors after they have parted with possession

Since this topic involves many specific rules, with different ones applying in different situations, the lecture ends with a helpful summary of the key points.

Lecturer: Gianni Vuolo
Duration: 51 minutes (approx)

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