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Ash
Ash, Solicitor
Category: Property Law
Satisfied Customers: 10916
Experience:  Solicitor with 5+ years experience
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I have a lease that ended in 2011.I then had an agreement with

Customer Question

I have a lease that ended in 2011.I then had an agreement with the landlord (not a new Lease. which ends Dec 2014.The landlord has now issued a new lease for me to sign with a new increased rent. I have been in my commercial property since 1993.I am not happy to sign a new lease which has many stipulations including personal guarantees. Do i have any rights regarding this.
Submitted: 3 years ago.
Category: Property Law
Expert:  Ash replied 3 years ago.
Alex Watts :

Hello my name is ***** ***** I will help you with this.

Alex Watts :

What was the agreement you signed, if any in 2011 pleas?

Alex Watts :

* please? *

JACUSTOMER-n73mzmkl- :

The agreement was between my company and the Landlords company.With an increase of rent of £24.180.00 and it says that the both parties have agreed to extend the lease ending 1/6/11 until December 2014.

Alex Watts :

Ok - but nothing in terms of automatic renewal?

JACUSTOMER-n73mzmkl- :

no. Also it did not state a review of rent in 2014.

Alex Watts :

Its bad news I am afraid. If the lease ended what you have is a tenancy at will.

Alex Watts :

This means it can be terminated at any time up to December 2014 because you do not have a formal lease.

Alex Watts :

if you had a formal lease it would set out a right to renew and rent increases. But sadly you do not have this.

Alex Watts :

This means the Landlord can increase the rent or make you sign a new one with personal guarantees

Alex Watts :

Because you do not have an existing lease (it ran out) your rights are very limited indeed.

Alex Watts :

I am sorry if this is not the answer you want and certainly not the one I want to give you, but I have a duty to be honest

Alex Watts :

Can I clarify anything for you about this today please?

JACUSTOMER-n73mzmkl- :

but i was not offered a new lease in 2011 but only agreeded an agreement for three years.How does the landlord and tenants act 1954 work then.

Alex Watts :

You would have a new signed lease from 2011 to 2014.

Alex Watts :

If you wanted a new lease with the same provisions one should have been provided.

Alex Watts :

I asked if it had an automatic right to renew and you said no - this indicates you are not given protection by the 1954 Act.

Alex Watts :

Landlords can exclude the 1954 protection provisions

JACUSTOMER-n73mzmkl- :

can you explain what is an automatic right to renew?

Alex Watts :

That is at the end of the lease the tenant gives notice to renew on the same terms.

Alex Watts :

The only thing that is argued about then is rent

JACUSTOMER-n73mzmkl- :

sorry we did have a right to renew but we were not offered a new lease but only an agreement between my company and the landlords.

Alex Watts :

Did you sign a new lease in 2011?

JACUSTOMER-n73mzmkl- :

No

Alex Watts :

Then that is a problem. Therefore it ends and you have a tenancy at will, which means you have no protection whatsoever

Alex Watts :

I am sorry

JACUSTOMER-n73mzmkl- :

so does that mean?

JACUSTOMER-n73mzmkl- :

sorry so what does that mean?

Alex Watts :

That means you have a tenancy at the property but it can be ended and you have no right to renew or any other protection

Alex Watts :

Your old tenancy with protection ended.

Alex Watts :

You have another once 2011 - 2014 with no protection

Alex Watts :

I am sorry

JACUSTOMER-n73mzmkl- :

I thought that because the lease had ended and i was not offered a new lease but an agreement that it becomes a periodic tenancy which is protected by the landlord and tenants act 1954.

Alex Watts :

Sadly not. You are thinking of a private dwelling.

Alex Watts :

This tenancy has ended.

Alex Watts :

You then become a tenancy at will

Alex Watts :

That is as a commercial tenant it is different to private.

JACUSTOMER-n73mzmkl- :

we are commercial tennants

Alex Watts :

Yes I know that. I am saying the law is different for commercial tenants

Alex Watts :

A fixed term lease comes to an end. There is no security of tenure under the Landlord and Tenant Act 1954 (in the case of commercial premises).

JACUSTOMER-n73mzmkl- :

so what you are saying is that i have to sign a new lease and also give personal guarentees

Alex Watts :

Sadly yes.

Alex Watts :

If you had renewed in 2011 it would have been on the same terms, but sadly you did not

Alex Watts :

When the lease ended in 2011 so did your rights

Alex Watts :

I am sorry

JACUSTOMER-n73mzmkl- :

so can you just explain what this 1954 act is.

Alex Watts :

That is mainly for tenants that have a current fixed tenancy

JACUSTOMER-n73mzmkl- :

many thanks for your help

Alex Watts :

I am sorry its not better news and it certainly is not the answer I want to give you, but I have a duty to be honest

Alex Watts :

Can I clarify anything else for you?

JACUSTOMER-n73mzmkl- :

no

Ash and other Property Law Specialists are ready to help you
Customer: replied 3 years ago.

sorry just one more question if the lease had not run out.Can i say that i wanted to renew the my lease with the same conditions as the old lease.

or can the landlord make me sign a completely new lease

Expert:  Ash replied 3 years ago.
If the lease had not run out - yes.
Alex
Customer: replied 3 years ago.

Thanks Alex

if i need anymore help how long do i have for you to answer my questions?

Expert:  Ash replied 3 years ago.
Well it depends, if I am in Court it can be a few hours.
ALex