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LondonlawyerJ
LondonlawyerJ, Solicitor
Category: Property Law
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Experience:  Experienced solicitor
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I have just been served a notice under section 146 telling

Customer Question

i have just been served a notice under section 146 telling me i have breached the covenant in my lease (subletting), i have 5 days to get out or they will peaceably re enter the property - i believe i have done nothing wrong, the guys i have brought into the property with me are my friends and we are running a business together form that property, - i have no problems leaving if they dont want me there, but i cant do it in 5 days ! can i make them get a court order or something to allow me more time to vacate the premises - i have tried the counter notice claiming benefit of leasehold act 1938m but i only have 10 months left and that refers to repairs not subletting - can you help/advise
Submitted: 1 year ago.
Category: Property Law
Expert:  LondonlawyerJ replied 1 year ago.
Hello, I am a solicitor with 20 years experience. I will try to answer this for you.
Can you tell me a little more please. Is this a business lease or a residential lease? Are you subletting or are you simply allowing friends to stay with you as guests.
As far as a Section 146 notice is concerned then the following applies.
A notice is served by a landlord who wishes to commence forfeiture proceedings against a leaseholder following a breach of a lease. This notice must specify the breach complained of,
importantly if the breach is capable of remedy, require the leaseholder to remedy the breach, and
in any case require the leaseholder to make compensation in money for the breach.
The leaseholder is afforded a reasonable time to remedy the breach if it is capable of remedy following service of the section*****proceedings cannot be commenced unless the leaseholder fails within a reasonable time to remedy the breach, if it is capable of remedy, and to make reasonable compensation in money for the breach, to the satisfaction of the landlord.
Also this link may be very useful to you. http://www.hallettandco.co.uk/assets/files/publications/Guide%20Note%20Property%20Litigation%20Forfeiture%20of%20Commercial%20Tenancies.pdf
Have you disputed the allegation of subletting with the landlord? When does the 5 days expire?
Customer: replied 1 year ago.
5 days expires on tuesday - - i have been in the property for 8 years , i moved out in january this year with 18 months left on the lease (commercial property) i ve been talking with friends about setting up a new carpet business ( they have been running one from a different unit and i run a different business for my unit ) the plan was to move them into my old unit, i have already moved across the road,my new unit has a shop that we are currently turning into a carpet shop to generate sales and they will be fulfilled from the unit i hold the lease on.I told the landlord this in january and they said they had no objections as long as i was part of the business. i continue to pay the rent every month (on both my new and old units) finally in june this year we were in a position to move the carpets to the old unit, which we did. i still continue to pay the rent, i got a letter in august asking for proof that we were all involved in a business together as i am not on their companies directors nor they on mine, we havent had chance to meet and go over fine details and how to restructure and put together a legal company etc as yet, holidays/ deaths businesses to run etc and i then get a solicitors letter saying they are servicing the section 146 notice - i organised a meeting with them to discuss on 30th oct after getting the notice on the 27th , but they are adamant that the 146 notice goes ahead, i had my last conversation with them yesterday and they are going ahead with the section 146 so i have until tuesday afternoon to leave according to the notice - to be honest we just want to run our business, they are now whining about cars parking outside and telling us we are subletting to someone else etc, they just do not seem to want us there, so we will happily go - we will still start the carpet shop (just about to start the refurb) but will use a different unit to stock from on a nearby industrial estate - we just want to run our business without hassle . my issue is i cant get out of the unit and into another before tuesday i need another 2 weeks or so - so what can i do - im gutted that they've done this because there is just no need.
the landlord tells me that by not having a formal agreement in place with my friends i am legally subletting , which breaches my lease - but i still pay the rent (they pay other parts of the business) & i still insure my stock in the unit
Expert:  LondonlawyerJ replied 1 year ago.
Are you not in occupation anymore? When did the landlord discover that the sub-letting had taken place? Has he accepted rent since?
If you are still running a business from that property you have a decent argument that you are not sub letting and can apply for relief from forfeiture. You really need to see a lawyer on Monday face to face in the orthodox manner to discuss your options here as seeking relief from forfeiture may be your only option to prevent the landlord forfeiting your lease.
Customer: replied 1 year ago.
yes still in occupation, i told the landlord that my friends were moving in in january and they wrote me a letter saying they had no objections as long as i was part of the business (which i am) i continued paying rent until october when they sent the notice to me and sent my rent back - how do i apply for relief from forfeiture ? do i just write a letter to their solicitor, do i have to find a court to grant it? i dont want to spend a fortune on solicitors, at the end of the day ill go elsewhere , we just dont want the hassle , but i dont want them coming along changing locks etc etc on tuesday , i just want a couple of weeks to sort somewhere else. Im happy writing letters to whoever but its knowing exactly what to put in them and who to write them to.
Expert:  LondonlawyerJ replied 1 year ago.
You should see a solicitor on Monday. In the meantime send their lawyers an email stating
- 1 you are still in occupation.
-2 you have not sub let - explain that you are sharing with your new business associates
3 you explained al this in advance
4 they have accepted rent since the arrangement commenced in January
5 they have no right forfeit the lease
6 you will resist their attempts to do so
7 if they attempt peaceable re-occupation they will be acting unlawfully and you will seek compensation
8 If they want you to leave early you have no objection on reasonable notice and with suitable compensation for the inconvenience etc.
You need to see a lawyer face to face on Monday.

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