Mohammed Majeed Faiz Shakeela Faiz SASSF Ltd v Burnley Borough Council

Mohammed Majeed Faiz Shakeela Faiz SASSF Ltd v Burnley Borough Council

The Council did not waive their right of forfeiture because they did not have knowledge of the 2017 Sublease until 18 October 2019, and any rent demanded or accepted prior to that date cannot constitute waiver. The revised insurance rent invoice was a recalculation for a period before knowledge of the breach and did not amount to an unequivocal act recognizing the continuation of the Lease.

Parties
Claimant: Mohammed Majeed Faiz; Claimant: Shakeela Faiz; Claimant: SASSF Limited; Defendant: Burnley Borough Council
Jurisdiction
England and Wales
Judgment Date
25 February 2020
Procedural Posture
Civil / Trial Judgment
Outcome
Claim dismissed
Legal Topics
Forfeiture of Lease, Waiver of Right of Forfeiture, Subletting, Security of Tenure, Breach of Covenant
Landlord and Tenant Property Law Forfeiture of Lease Waiver of Right of Forfeiture Subletting Security of Tenure Breach of Covenant

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Parties

Mohammed Majeed Faiz

Claimant

Shakeela Faiz

Claimant

SASSF Limited

Claimant

Burnley Borough Council

Defendant

Procedural Posture

Civil / Trial Judgment

Legal Issues

  1. 1 Whether the Council successfully forfeited the Lease by peaceable re-entry
  2. 2 Whether the Council waived its right of forfeiture by demanding and accepting rent after knowledge of the sublease to SASSF
  3. 3 Whether the 2017 Sublease was valid and when it took effect

Ratio Decidendi

The Council did not waive their right of forfeiture because they did not have knowledge of the 2017 Sublease until 18 October 2019, and any rent demanded or accepted prior to that date cannot constitute waiver. The revised insurance rent invoice was a recalculation for a period before knowledge of the breach and did not amount to an unequivocal act recognizing the continuation of the Lease.

Court Disposition

Claim dismissed

Orders

  • Claimants' claim for a declaration that the Council waived their rights of re-entry is dismissed.
  • Council is entitled to a declaration that the Lease and the 2017 Sublease determined on 22 November 2019.