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Consultation Paper on the General Law of the Landlord and Tenant

Consultation Paper on the General Law of the Landlord and Tenant

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6.17 Notwithst<strong>and</strong>ing <strong>the</strong> preliminary c<strong>on</strong>clusi<strong>on</strong> stated in <strong>the</strong>previous paragraph, <strong>the</strong> Commissi<strong>on</strong> c<strong>on</strong>siders that <strong>the</strong>re are fur<strong>the</strong>rissues which require c<strong>on</strong>siderati<strong>on</strong> in this c<strong>on</strong>text. One is that muchuncertainty exists over <strong>the</strong> c<strong>on</strong>cept <strong>of</strong> “repairs” <strong>and</strong> o<strong>the</strong>r works, suchas “improvements”, which do not come within <strong>the</strong> c<strong>on</strong>cept. Thisissue can arise in several c<strong>on</strong>texts. One is where <strong>the</strong>re is a disputebetween <strong>the</strong> parties as to whe<strong>the</strong>r particular works called for in, forexample, a repairs or dilapidati<strong>on</strong>s notice fall within <strong>the</strong> obligati<strong>on</strong> torepair c<strong>on</strong>tained in <strong>the</strong> lease. Ano<strong>the</strong>r example is where a rent reviewclause c<strong>on</strong>tains a disregard for tenant’s “improvements”. Suchdisputes involve usually what is essentially a matter <strong>of</strong> <strong>the</strong> correctinterpretati<strong>on</strong> <strong>of</strong> <strong>the</strong> particular provisi<strong>on</strong> or covenant in <strong>the</strong> particularlease. It has been suggested to <strong>the</strong> Commissi<strong>on</strong> that practiti<strong>on</strong>erswould find it helpful if some statutory definiti<strong>on</strong> or guidelines as towhat c<strong>on</strong>stitutes repairs, as opposed to improvements, were provided.At this stage <strong>the</strong> Commissi<strong>on</strong> has reached no c<strong>on</strong>clusi<strong>on</strong> <strong>on</strong> <strong>the</strong> matter<strong>and</strong> wishes merely to moot <strong>the</strong> point. There is always <strong>the</strong> danger thatan attempt to produce a statutory definiti<strong>on</strong> or guidelines, howeverwell-intenti<strong>on</strong>ed, will actually do more harm than good, by simplyshifting <strong>the</strong> issue <strong>of</strong> uncertainty from interpretati<strong>on</strong> <strong>of</strong> covenants inleases to interpretati<strong>on</strong> <strong>of</strong> <strong>the</strong> statutory provisi<strong>on</strong>s or, even worse,increasing <strong>the</strong> uncertainty by requiring <strong>the</strong> interpretati<strong>on</strong> <strong>of</strong> both inmany cases in <strong>the</strong> future. The Commissi<strong>on</strong> will give fur<strong>the</strong>rc<strong>on</strong>siderati<strong>on</strong> to this issue in <strong>the</strong> light <strong>of</strong> resp<strong>on</strong>se to this <str<strong>on</strong>g>C<strong>on</strong>sultati<strong>on</strong></str<strong>on</strong>g><str<strong>on</strong>g>Paper</str<strong>on</strong>g>.6.18 Ano<strong>the</strong>r issue arises from <strong>the</strong> fact that <strong>of</strong>ten repairingresp<strong>on</strong>sibilities are divided between <strong>the</strong> parties but <strong>the</strong> allocati<strong>on</strong> isnot exhaustive. A similar “gap” may also arise where <strong>the</strong> leasepurports to put repairing obligati<strong>on</strong>s <strong>on</strong> just <strong>on</strong>e <strong>of</strong> <strong>the</strong> parties, butagain <strong>the</strong> allocati<strong>on</strong> is not exhaustive. It is clearly undesirable that<strong>the</strong>re should be any doubt as to where resp<strong>on</strong>sibility lies for repairwork <strong>and</strong> it would be appropriate for legislati<strong>on</strong> to fill any gap whichmight exist in a particular case. Given that <strong>the</strong> l<strong>and</strong>lord is <strong>the</strong> owner<strong>of</strong> <strong>the</strong> demised premises, to whom <strong>the</strong>y will return <strong>on</strong> determinati<strong>on</strong><strong>of</strong> <strong>the</strong> tenancy, it would also seem appropriate that any residualresp<strong>on</strong>sibility should lie with <strong>the</strong> l<strong>and</strong>lord. The Commissi<strong>on</strong>provisi<strong>on</strong>ally recommends that where <strong>the</strong> lease or terms <strong>of</strong> a tenancyfail to deal with repairing obligati<strong>on</strong>s exhaustively, or not at all, anyresidual resp<strong>on</strong>sibility should lie with <strong>the</strong> l<strong>and</strong>lord.104

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