Lawindexpro - Landlord Cases

Lawindexpro - Landlord and Tenant  Cases

Fitzroy House Epworth Street (No. 1) Ltd and Another -v- Financial
Times Ltd  [2006] EWCA Civ 329
CA
31 March 2006
The defendant tenant sought to exercise a break clause in the
lease. The landlord said that the notice was deficient because the
tenant had failed 'materially to comply with' its repairing
obligations. The judge found the cost of repairs were 20,000 GBP,
and that the tenant had done sufficient to be in material
compliance with its obligations and the notice was effective. The
landlord appealed. Held: the appeal succeeded. The judge had
applied the wrong test: "Materiality must be assessed by reference
to the ability of the landlord to relet or sell the property
without delay or additional expenditure. Where the provision is
absolute then any breach will preclude an exercise of the break
clause. But I see no justification for attributing to the parties
an intention that the insertion of the word 'material' was
intended to permit only breaches which were trivial or trifling.
Those words are of uncertain meaning also and are not the words
used by the parties."
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