Introduction
In essence, “leases” are created between landlords and tenants as contracts to grant exclusive possession of the land for a defined period of time, in exchange of rent from tenant. Leases give contractual interests to tenants, while at the same time creates proprietary interests in the land by granting exclusive possession, which elevates a tenancy into an “estate/interest in land”. It can therefore be understood and has been suggested by commentators that leases are of dual nature and should “be characterised as something of a hybrid”[1]: a hybrid of contract and estate in land. In the landmark case of Bruton v London and Quadrant Housing Trust[2], court to a certain extent disregarded this dual nature and consequently revolutionized the long-established understanding and principles of lease/tenancy and created a new species of “lease”. This essay will explain the decision made in Bruton, explore its implications and elucidate the potential problems associated with it.
Facts
The defendant charitable organization London & Quadrant Housing Trust (“LQHT”),entered into an agreement with and was granted a licence by the local authority (“the Council”) to use a block of flats owned by the Council for temporary housing accommodation for homeless persons. Both parties confirmed the nature of agreement as a licence with no proprietary interest or estate granted to the LQHT.
LQHT executed a licence agreement with the plaintiff, Mr. Bruton, to allow him to reside in the flat. According to the licence agreement, LQHT preserved the right to enter the flat for reasons of inspection and repair works. Mr. Bruton later initiated proceedings against LQHT, alleging that he occupied the flat as a tenant and LQHT was in breach of the implied covenant to repair under Section 11 of a Landlord and Tenant Act. LQHT defended its case and claimed that Mr. Bruton was merely a licensee of the
Bibliography: 2. Bright, Susan Leases, Exclusive Possession and Estates(2000) L.Q.R. 116(Jan), 7-11 3 ----------------------- [1] Brown, James and Pawlowski, Mark Bruton: A New Species of Tenancy (2000) 4 L [9] Bright, Susan Leases, Exclusive Possession and Estates L.Q.R. 2000, 116(Jan), 7-11 [10] Lewisham Borough Council v Roberts [1949] 2 K.B