Dilapidations

Definitions

Law of Property Act 1925, Section 146:

Legislation setting down the restrictions on and relief against forfeiture of leases and underleases.

Landlord and Tenant Act 1927, Section 18(1):

Legislation limiting the extent of damages recoverable relating to the overall value of the property or intended use.

Leasehold Property (Repairs) Act 1938, Section 1:

Legislation giving relief to a tenant from the necessity to repair the building in circumstances where there are more than 3 years left of the term. There are some exceptions which can allow some types of repair to succeed.

Terminal Schedule:

A term describing the breach of the repairing covenant and the repair required. Usually contains costs and is served at or near the end of the term of the lease.

Lease:

Under the Law of Property Act 1925 it is a requirement that the ownership of land or the entitlement of holding over land should be recorded in writing. In connection with leasehold property, that document which sets down the obligations of the parties is known as a lease.

Repairing Obligation:

Usually created as a covenant within the lease as a form of words which describes the obligation of the landlord and tenant to repair the property. The wording is important and great care should be taken when agreeing to a lease containing a repairing obligation as the full extent of the liability can be very expensive and is often misunderstood. Always insist a schedule of condition is taken at the outset to understand your extent of liability you are signing up to.