Land - Landlord & Tenant (3)

3. Roscoe owned some run-down commercial premises which he hoped to obtain planning permission to develop. Meanwhile he agreed to lease the premises to Slater at a monthly rent. The lease was to continue until Roscoe obtained planning permission, but Slater could terminate the arrangement at any time by giving one month’s notice. Slater went into possession and paid rent. Recently Roscoe was refused planning permission and he gave Slater one month’s notice.
Discuss.

Certainty of term
- Before a lease can take effect, the maximum duration of the term must be known or made certain
- Certainty of term distinguishes freehold from leasehold
- If a lease’s maximum duration is not known, the lease is void according to Lace rule
- However, if consider this to be a periodic tenancy, Slater becomes a periodic tenant on a monthly bases
- According to Prudential case, any restriction of rights of notice to terminate a lease by either the landlord or the tenant or both sides will be void
- Thus ‘the lease was to continue until Roscoe obtained planning permission’ clause is voide as it limits Roscoe’s right to give notice to terminate the lease
- Conclusion: Roscoe’s one month notice to Slate is good and will be upheld; Slater has to leave