- When does receipt of rent waive the right to forfeit? (Faiz v Burnley Borough Council)
- What are the practical implications of this case?
- What was the background?
- What did the court decide?
- Case details
Property Disputes analysis: Generally speaking, where a landlord demands or accepts from a tenant rent that has fallen due after they have knowledge of a breach of covenant that would have otherwise entitled the landlord to forfeit the tenant’s lease, that demand or acceptance of rent amounts to waiver of the right to forfeit. The Court of Appeal considered the question of whether acceptance of rent that fell due after the breach entitling forfeiture, but before the landlord had knowledge of the breach, would amount to waiver. It held that once a landlord has knowledge of a breach of covenant that entitles them to forfeit a lease, they will be found to have waived the right to forfeit if they demand payment of rent which became payable after the breach of covenant even if the rent became payable before the landlord had knowledge of the breach. Written by Faisel Sadiq, barrister at Hardwicke.
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