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JGM
JGM, Solicitor
Category: Property Law
Satisfied Customers: 10100
Experience:  30 years experience in property law.
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Hello, Is it usual for a Landlord to have a break clause

Customer Question

Hello,

Is it usual for a Landlord to have a break clause in a lease? I am a tenant, and have requested a break clause in a 12 month lease (I always do). They've said yes, but the lease the agent has come back with contains both a Tenant break clause and a Landlord break clause. (Not for bad tenant behavior - just for any reason.) To my mind, the Landlord having a break clause negates the point of having a lease, and I feel un-protected from possible eviction at the Landlord's whim! I've never heard of a Landlord break clause. Have you? (Agent is reputable but they seem quite dumb.) Please advise quickly, as I need to decide on the lease. THANKS!
Submitted: 4 years ago.
Category: Property Law
Expert:  JGM replied 4 years ago.
It's more unusual to have a landlord break clause than a tenant one but I have seen them on a number of occasions.

I take your comment about being unprotected against eviction but at the same time a commercial landlord is entitled to feel the same way about a tenant break clause; he has the same uncertainty about whether he will have a tenant if the break clause is implemented.

At the end of the day a commercial lease is the result of the negotiation of a contract. There is nothing legal or illegal about a landlord break clause. If you don't like it your option is to say so. If the landlord won't budge the issue of whether you take the lease is a matter for your own commercial judgment.

Is it perhaps the case that the landlord is playing a game with a view to you dropping your own requirement for a tenant break clause?
Customer: replied 4 years ago.

Yes, I expect he is playing a game with me so I drop my break clause. I could, I suppose. Or I could keep both in, retaining my right to break the lease: he is very unlikely to use his, since he doesn't want another void period as he's just had one.


 


Then again, the thought of living with a break clause hanging over me is bad. I'd be homeless, whereas his risk is just of one of his numerous investments having a slightly lower return. Wow the tenant is actually better protected in America than here. I should have stayed there..


 


Thanks for the advice.


 


 

Customer: replied 4 years ago.

Yes, I expect he is playing a game with me so I drop my break clause. I could, I suppose. Or I could keep both in, retaining my right to break the lease: he is very unlikely to use his, since he doesn't want another void period as he's just had one.


 


Then again, the thought of living with a break clause hanging over me is bad. I'd be homeless, whereas his risk is just of one of his numerous investments having a slightly lower return. Wow the tenant is actually better protected in America than here. I should have stayed there..


 


Thanks for the advice.


 


 


 

Expert:  JGM replied 4 years ago.
Thank you.

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