Administrators of the claimant company asserted that the company had held informal leases of two hangars owned by the defendant, and also complained of their transfer at an undervalue. The first defendant said that the occupations were under license only.
Held: The occupation, having the characteristics of a tenancy, was in fact a tenancy. As to termination, in the case of an implied periodic tenancy, the length of notice required to be given to bring the tenancy to an end will depend upon the period by reference to which the rent is calculated. In addition, in the case of a business tenancy, the 1954 Act confers further protection for the business tenant, requiring a special notice to be served under section 25 of that Act. This was an annual tenancy since that had been the basis of calculation of the rent.
The second defendant had not acted in good faith in her transaction, and had acted with no reasonable grounds for believing that the transaction would be for the benefit of the company under section 238(5)(b) of the 1986 Act..
Sales J
[2011] EWHC 2238 (Ch), [2011] BPIR 1405
Bailii
Insolvency Act 1986 238(5)(b), Landlord and Tenant Act 1954 25
England and Wales
Citing:
Cited – Street v Mountford HL 6-Mar-1985
When a licence is really a tenancy
The document signed by the occupier stated that she understood that she had been given a licence, and that she understood that she had not been granted a tenancy protected under the Rent Acts. Exclusive occupation was in fact granted.
Held: . .
Cited – London and Associated Investment Trust Plc v Calow 1986
The defendants had sought premises for a consulting business. A licence was initially given to allow the premises to be prepared for occupation, but then a head lease was granted. An underlease for the defendant was prepared, but not executed. On . .
Cited – J A Pye (Oxford) Ltd and Another v Caroline Graham and Another CA 6-Feb-2001
Where a tenant under a grazing license had stayed over after the end of the tenancy, and had been refused a renewed licence, and had continued to graze the land for over twelve years, the mere overstaying was not enough to evidence an animus . .
Cited – QFS Scaffolding Ltd v Sable and Another CA 17-Jun-2010
The parties disputed whether a lease from S to LDC had been surrendered. S and QFS were negotiating for a renewal lease. No new lease having been agreed the parties agreed to a monthly sum to be paid pending agreement. L then let to a third party . .
Lists of cited by and citing cases may be incomplete.
Landlord and Tenant, Insolvency
Updated: 01 November 2021; Ref: scu.443241
