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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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was not resolved until <strong>the</strong> enactment <strong>of</strong> legislati<strong>on</strong> in 1995. 46Fortunately Irish practiti<strong>on</strong>ers <strong>and</strong> <strong>the</strong>ir clients have been spared <strong>the</strong>sedifficulties, so far as an original tenant is c<strong>on</strong>cerned, 47 because <strong>of</strong> <strong>the</strong>provisi<strong>on</strong>s <strong>of</strong> secti<strong>on</strong> 16 <strong>of</strong> Deasy’s Act.3.13 Secti<strong>on</strong> 16 provides as follows:“From <strong>and</strong> after any assignment hereafter to be made <strong>of</strong> <strong>the</strong>estate or interest <strong>of</strong> any original tenant in any lease, with <strong>the</strong>c<strong>on</strong>sent <strong>of</strong> <strong>the</strong> l<strong>and</strong>lord, testified in <strong>the</strong> manner specified insecti<strong>on</strong> ten, <strong>the</strong> l<strong>and</strong>lord so c<strong>on</strong>senting shall be deemed tohave released <strong>and</strong> discharged <strong>the</strong> said tenant from all acti<strong>on</strong>s<strong>and</strong> remedies at <strong>the</strong> suit <strong>of</strong> such l<strong>and</strong>lord, <strong>and</strong> all pers<strong>on</strong>sclaiming by, through, or under him, in respect <strong>of</strong> any futurebreach <strong>of</strong> <strong>the</strong> agreements c<strong>on</strong>tained in <strong>the</strong> lease, but withoutprejudice to any remedy or right against <strong>the</strong> assignee <strong>of</strong>such estate or interest.”This is an extremely beneficial provisi<strong>on</strong> which clearly must bepreserved, but <strong>the</strong>re are some problems with its operati<strong>on</strong> which needattenti<strong>on</strong>. One is that it applies <strong>on</strong>ly to assignment <strong>of</strong> a tenant’sinterest created by a “lease”, ie, by some written document. 48 Ofcourse most problems c<strong>on</strong>cerning c<strong>on</strong>tinuing liability are likely toarise in commercial lettings which are usually created by a lease, but<strong>the</strong>re seems to be no reas<strong>on</strong> why <strong>the</strong> provisi<strong>on</strong> should not apply torelieve a tenant holding under an oral tenancy, such as a periodictenancy arising by implicati<strong>on</strong>. 49 The Commissi<strong>on</strong> provisi<strong>on</strong>allyrecommends that secti<strong>on</strong> 16 <strong>of</strong> Deasy’s Act should be extended todischarge tenants holding under an oral tenancy.3.14 Ra<strong>the</strong>r more seriously, discharge <strong>of</strong> <strong>the</strong> original tenant issecured <strong>on</strong>ly where <strong>the</strong> l<strong>and</strong>lord’s c<strong>on</strong>sent to <strong>the</strong> assignment is“testified in <strong>the</strong> manner specified in secti<strong>on</strong> ten”. A number <strong>of</strong>problems arise in respect <strong>of</strong> this. One problem was drawn attenti<strong>on</strong> topreviously by <strong>the</strong> Commissi<strong>on</strong>. 50 This is that secti<strong>on</strong> 10 <strong>of</strong> Deasy’s4647484950C<strong>on</strong>tract <strong>and</strong> Estate (<strong>Law</strong> Com No 174, 1988).Secti<strong>on</strong> 5 <strong>of</strong> <strong>the</strong> <strong>L<strong>and</strong>lord</strong> <strong>and</strong> <strong>Tenant</strong> (Covenants) Act 1995.Cf <strong>the</strong> positi<strong>on</strong> <strong>of</strong> <strong>the</strong> original l<strong>and</strong>lord: see paragraph 3.17 below.See paragraph 2.10 above.See paragraph 2.18 above.Report <strong>on</strong> L<strong>and</strong> <strong>Law</strong> <strong>and</strong> C<strong>on</strong>veyancing <strong>Law</strong>: (1) <strong>General</strong> Proposals (LRC62

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