Edlington Properties Ltd v J H Fenner and Co Ltd
Edlington Properties Ltd v J H Fenner and Co Ltd
- 2005
[2005] EWHC 2158, 20 October 2005. Considers whether a lessee's claim against an original lessor can be set-off against rent due to the new lessor after the commencement of the lease. Defendant (F) was the lessee of a site, the reversion to which was assigned to the claimant (E). The original lessor had granted F a lease to a factory it was to construct on the site. F claimed damages from the original lessor on the ground of the factory's defective construction and E brought proceedings against F to recover arrears of rent. "Held": F had no right to set-off. A landlord's right to sue for previously accrued arrears of rent was a chose-in- action. The reversion itself with its accompanying right to sue for future rent was not affected by equitable set-off. The Landlord and Tenant (Covenants) Act 1995 had been principally passed principally to enable a party to be released from the covenants of a tenancy on assignment of a lease or the reversion. SS3 and 23(1) of the Act made the benefit and burden of covenants pass with the estate for the future but left past rights and obligations with the assignor.
LANDLORD AND TENANT (COVENANTS) ACT 1995 S3
LANDLORD AND TENANT (COVENANTS) ACT 1995 S23(1)
MUSCAT V SMITH
REEVES V POPE
MORTGAGE CORPORATION V UBAH
LOTTERYKING LTD V AMEC PROPERTIES
[2005] EWHC 2158, 20 October 2005. Considers whether a lessee's claim against an original lessor can be set-off against rent due to the new lessor after the commencement of the lease. Defendant (F) was the lessee of a site, the reversion to which was assigned to the claimant (E). The original lessor had granted F a lease to a factory it was to construct on the site. F claimed damages from the original lessor on the ground of the factory's defective construction and E brought proceedings against F to recover arrears of rent. "Held": F had no right to set-off. A landlord's right to sue for previously accrued arrears of rent was a chose-in- action. The reversion itself with its accompanying right to sue for future rent was not affected by equitable set-off. The Landlord and Tenant (Covenants) Act 1995 had been principally passed principally to enable a party to be released from the covenants of a tenancy on assignment of a lease or the reversion. SS3 and 23(1) of the Act made the benefit and burden of covenants pass with the estate for the future but left past rights and obligations with the assignor.
LANDLORD AND TENANT (COVENANTS) ACT 1995 S3
LANDLORD AND TENANT (COVENANTS) ACT 1995 S23(1)
MUSCAT V SMITH
REEVES V POPE
MORTGAGE CORPORATION V UBAH
LOTTERYKING LTD V AMEC PROPERTIES