Leases are legally binding contracts that set out the rights and obligations of landlords and tenants. When one party fails to comply with their obligations, this may constitute a breach of lease, which can lead to serious legal and financial consequences. Whether you are a landlord dealing with a defaulting tenant or a tenant accused of breaching your lease, it is vital to understand your rights, remedies, and the proper course of action.
At Blackstone Solicitors, we advise clients across England and Wales on all aspects of lease disputes and property litigation. In this article, we explore the common types of lease breaches, how to identify and respond to them, and the legal mechanisms available to enforce or defend lease terms effectively.
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Understanding Lease Breaches
A lease can be breached in various ways, depending on its terms. Breaches may be material or minor, one-off or ongoing, and may relate to payment, conduct, use of premises, or compliance with conditions.
Common breaches by tenants include:
- Non-payment of rent or service charges
- Unauthorised alterations to the property
- Subletting without consent
- Failure to keep the property in repair
- Using the premises for unauthorised purposes
- Disturbing other occupants or neighbours
Common breaches by landlords include:
- Failing to carry out repairs they are responsible for
- Withholding consent unreasonably for assignments or alterations
- Entering the property without notice or justification
- Failing to provide services outlined in the lease
Whether you are a landlord or a tenant, the first step in addressing a breach is to examine the terms of the lease carefully, including any notice requirements, remedies clauses, and forfeiture provisions.
Step One: Identifying and Evidencing the Breach
Before taking legal action, it is essential to:
- Confirm that a breach has occurred by reviewing the lease terms.
- Gather evidence, such as written correspondence, photographs, inspection reports, rent ledgers, or witness statements.
- Determine whether the breach is capable of remedy, and whether the lease requires a notice to be served before further action.
In some cases, what appears to be a breach may in fact be permitted by the lease or allowed under statutory provisions. Obtaining legal advice early can help clarify your position and avoid costly missteps.
Step Two: Serve Notice (If Required)
Most commercial leases — and many residential ones — include provisions that require the injured party to serve a formal notice before taking enforcement action.
For Landlords – Section 146 Notice
Under the Law of Property Act 1925, a landlord cannot forfeit a lease for a breach of covenant (other than non-payment of rent) unless they have first served a Section 146 Notice. This notice must:
- Specify the breach complained of
- If the breach is capable of remedy, require the tenant to remedy it
- Require the tenant to pay any compensation (if applicable)
The tenant must then be given a reasonable time to comply. If they fail to do so, the landlord may proceed to forfeit the lease — either by peaceable re-entry or issuing court proceedings.
For Tenants – Notice of Landlord’s Breach
If the landlord is in breach, the tenant should serve a notice identifying the breach and requesting remedy. In some cases, the tenant may be entitled to withhold rent or claim damages, but this should never be done without legal advice, as doing so incorrectly can put the tenant in breach themselves.
Step Three: Attempt Resolution
Not every lease breach needs to result in litigation. In many cases, breaches arise from misunderstandings or operational oversights and can be resolved through open communication or negotiation.
At Blackstone Solicitors, we always explore the potential for early resolution through:
- Negotiation between solicitors
- Mediation, which can provide a confidential and cost-effective way to resolve disputes
- Settlement agreements, including variations to lease terms
Early resolution is often quicker, less expensive, and more commercially practical — particularly where the landlord-tenant relationship is ongoing.
Step Four: Enforcement and Litigation
If the breach is serious or ongoing, and informal resolution proves unsuccessful, it may be necessary to take formal legal action. The correct approach will depend on whether you are the landlord or the tenant, and the nature of the breach.
- Landlord Remedies
- Forfeiture of Lease
If the lease includes a forfeiture clause, and proper notice has been served, the landlord may bring the lease to an end. Forfeiture can be exercised through:
- Peaceable re-entry (usually commercial property, if unoccupied)
- Court proceedings, especially where the tenant resists or disputes the forfeiture
- Claim for Damages
A landlord may bring a claim for financial losses arising from the breach, such as unpaid rent, repair costs, or loss of rental value. - Injunctions
For ongoing or serious breaches (such as unauthorised use), a landlord may apply to court for an injunction requiring the tenant to stop or rectify the breach. - Debt Recovery
Where the breach involves non-payment of rent or service charges, landlords can use debt recovery proceedings or statutory demands in some cases.
- Tenant Remedies
- Damages for Breach
Tenants may bring a claim if the landlord has breached their obligations, causing financial loss — for example, failing to carry out essential repairs or disrupting quiet enjoyment. - Injunctions or Specific Performance
Tenants may apply for an order compelling the landlord to carry out repairs or comply with other lease obligations. - Relief from Forfeiture
If a landlord forfeits the lease, the tenant may apply to court for relief from forfeiture, especially where the breach is minor or has been remedied. Courts have broad discretion to grant relief in appropriate cases.
The Role of the Court
In property litigation involving lease breaches, the courts aim to enforce lease terms fairly and in accordance with established legal principles. However, litigation can be complex and time-consuming.
Considerations include:
- The seriousness of the breach
- Whether the breach has been remedied or is capable of remedy
- The conduct of both parties
- The impact of enforcement (especially forfeiture) on both sides
- Whether damages or injunctions are more appropriate remedies
Judges also expect parties to have considered alternative dispute resolution (ADR) before coming to court. A failure to do so may lead to adverse cost consequences, even for a successful party.
Practical and Financial Considerations
Lease disputes can be costly — both in legal fees and in business disruption. Whether you are a landlord or tenant, it is important to weigh:
- Legal costs: Litigation may be expensive and is subject to the general rule that the losing party pays a portion of the winner’s costs.
- Time and disruption: Disputes may take months or years to resolve.
- Reputation and relationships: Particularly in commercial settings, maintaining business relationships may be a priority.
At Blackstone Solicitors, we help clients assess the strategic value of litigation and consider more cost-effective resolutions where appropriate.
Prevention is Better Than Cure
Many lease disputes arise from ambiguous lease drafting, unclear obligations, or a lack of communication. To prevent future breaches:
- Ensure leases are professionally drafted and reviewed
- Keep detailed records of communications and maintenance
- Seek legal advice before withholding rent or taking enforcement steps
- Regularly inspect and monitor the property for compliance
How Blackstone Solicitors Can Help
At Blackstone Solicitors, we have substantial experience in handling lease disputes for both landlords and tenants across England and Wales. Our services include:
- Reviewing lease terms and advising on breach
- Drafting and serving notices (e.g., Section 146 notices)
- Negotiating settlements or lease variations
- Representing clients in court for claims or defences
- Advising on relief from forfeiture, injunctions, and damages
Whether you are a landlord looking to protect your investment or a tenant defending your rights, we can provide the clear, robust legal advice you need.
Conclusion
A breach of lease can quickly escalate into a serious property dispute. By understanding your rights, following the correct procedures, and seeking expert legal guidance, you can deal with a breach effectively and minimise the long-term consequences.
At Blackstone Solicitors, we are here to help you navigate lease breaches and property litigation with confidence. Contact us today for tailored legal advice and practical support.
How we can help
We have a proven track record of helping clients deal with the legal aspects of Property Litigation. We will guide you through the process and ensure all checks are carried out swiftly and efficiently and we firmly believe that with the right solicitors by your side, the entire process will seem more manageable and far less daunting. You can read more about the range of property litigation services we offer by clicking here: https://blackstonesolicitorsltd.co.uk/commercial-litigation/
How to Contact Our Property Litigation Solicitors
It is important for you to be well informed about the issues and possible implications of Property litigation. However, expert legal support is crucial in terms of ensuring a positive outcome to your case.
To speak to our Commercial Property solicitors today, simply call us on 0345 901 0445, or click here to make a free enquiry. We are well known across the country and can assist wherever you are based. We also have offices based in Cheshire and London.
Disclaimer: This article provides general information only and does not constitute legal advice on any individual circumstances.
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