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The landlord's right to terminate a lease by way of forfeiture, in response to a breach of its tenant's covenants, is a powerful weapon, but one that must be wielded with care.
Before exercising this right it is essential for a landlord to be certain that it is acting within the limits of the forfeiture clause in the lease. A tenant not only needs to know whether a notice of intention of re-entry is valid, but must also be aware of its obligations in order to prevent the right to forfeit arising in the first place.
Our Property Litigation team has extensive experience and expertise in dealing with this complex and confusing area of law. We regularly act for both landlords and tenants in forfeiture situations, whether by court proceedings or peaceable re-entry, and can give practical advice to guide you through this legal minefield.
- We can advise as to whether a right to forfeit has arisen; whether the right has been waived; and what steps should be taken to avoid waiver.
- We will prepare and serve the appropriate forfeiture notice, a Section 146 notice or a notice of peaceable re-entry.
- We can assist with the process of peaceably re-entering premises.
- We will pursue or defend forfeiture proceedings at court and/or applications for relief from forfeiture.
- If forfeiture has been wrongly exercised we can advise on the consequences for each party and, if necessary, will pursue or defend a claim for wrongful forfeiture.