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Legal and General Assurance Society Ltd v Expeditors International (UK) Ltd

Language: English Series: Estates Gazette ; [2006] 18 EG 151 (CS) (1)Publication details: 2006Subject(s): Summary: ChD, 28 April 2006. "Considers whether a break clause terminating commercial leases was effective because the tenant had not delivered up the premises with vacant possession. E had served break notices and subsequently reached a settlement with L, releasing E on payment of £172 000 from any further liabilities under the lease. E covenanted to keep the premises in no worse a state than they were at the date when a schedule of dilapidations had been produced. L claimed arrears of rent and service charges contending that the break clause was invalid as the premises were not with vacant possession. E argued that a full and final settlement had been reached earlier and the lease had been validly terminated. "Held": claim dismissed. The parties had agreed that the break clause notices had terminated the leases and the sum paid to L had been calculated on that basis. L could not resile from the agreed compromise. It was not necessary to determine whether vacant possession had been granted in the instant case.

ChD, 28 April 2006. "Considers whether a break clause terminating commercial leases was effective because the tenant had not delivered up the premises with vacant possession. E had served break notices and subsequently reached a settlement with L, releasing E on payment of £172 000 from any further liabilities under the lease. E covenanted to keep the premises in no worse a state than they were at the date when a schedule of dilapidations had been produced. L claimed arrears of rent and service charges contending that the break clause was invalid as the premises were not with vacant possession. E argued that a full and final settlement had been reached earlier and the lease had been validly terminated. "Held": claim dismissed. The parties had agreed that the break clause notices had terminated the leases and the sum paid to L had been calculated on that basis. L could not resile from the agreed compromise. It was not necessary to determine whether vacant possession had been granted in the instant case.