Operating a break clause is not simply a case of submitting a formal notice to terminate the lease in accordance with the break clause conditions. This is far from the case, and the devil is in the detail. Break clauses will almost always contain specific requirements for performance; Failure to strictly comply with these pre-conditions […]
Tenant Guide to Landlord Disrepair Claims
The expiry of a lease presents a landlord with the possibility of an income void lasting many months, which has an even greater impact in a difficult lettings market. It is unsurprising, therefore, that unscrupulous landlords sometimes regard a terminal dilapidations claim as a means of offsetting the leaner times ahead. What can a tenant […]
Diminution valuation in dilapidations cases
Critique of the “Stand In The Street” method – in contrast to the Shortlands residual valuation method THE CRUDE “STAND IN THE STREET” METHOD This method is dying out gradually. It consists of looking at the building without analysis of the schedule of dilapidations and asking oneself “Well, really, what difference does it make?” – […]
Why Are Dilapidations Claims So Complex and Costly?
Dilapidation claims are often contentious, mainly due to the differences between the landlord’s interpretation of disrepair to the space in question vs. the tenants. The two parties will, no doubt, also have differing viewpoints on the level of repair work that should subsequently be undertaken. So who is right – the tenant or the landlord? […]
Dilapidations Protocol – Quotes for Surveyors
Since the formal adoption of the Dilapidations Protocol under the CPR, the issue of compliance or non-compliance with the Protocol has been a talking point and a bit of a battle ground in negotiations. The issue has created a lot of “heat” but little “light”. To help cut through this, dilapidations surveyors, in discussions with […]
Dilapidations Settlements – Do’s and don’ts
Where proceedings are issued but the claim reaches a dilapidations settlement beforehand, the lawyers will usually deal with the documentation of the settlement. However, the vast majority of dilaps claims settle without the need for court proceedings and the surveyors document the agreements. The following is a checklist for those situations: Do set out the […]
Reflections on Dilapidations Practice
Dilapidations Terminology
Break Clause – specific clause within a lease, which allows a tenant to give notice to terminate the lease before full term. This may contain onerous provisions such as material compliance or giving vacant possession. Contract Administration – when a tenant opts to undertake some or all of the dilapidation works in order to mitigate […]