Break Clause – Is yours Conditional?
Operating a break clause is not simply a case of submitting a formal notice to terminate the lease in accordance with the break clause requirements. Break clauses will almost always contain specific requirements for performance. Failure to appreciate the true meaning may lead to severe ramifications.
Neglecting to strictly comply with these pre- conditions may well render the validity of the break null and void.
The following issues have recently been tested in the courts;
- Rent and all outstanding payments must be made by the break date
- Payment of interest on late payments
- Vacant Possession
- Removal of partitioning
- Specific Performance