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15 February 2013 / Malcolm Dowden , Ruby Dalal
Issue: 7548 / Categories: Features , Landlord&tenant , Property
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Gremlins in the closet

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Tenants should beware of outstanding rent reviews & any potential liability, as Ruby Dalal & Malcolm Dowden explain

Recent retail casualties, including Comet and Jessops, mean that a significant number of high street and trading park leases are likely to become available for assignment or underletting. Prospective new tenants should check carefully to ensure that attractive bargains are not overtaken by delayed rent reviews.

In Idealview Ltd v Bello [2009] EWHC 2808 (QB) a landlord was not time-barred by statute despite being almost 13 years late in implementing a rent review, and there was nothing in the rent review clause itself to make time of the essence.

Oblivious tenant comes unstuck

Mr Bello took an assignment of the lease in October 2005. The fact that the auction sale conditions excluded the seller’s liability for any rent arrears above the original rent amount did not set off any alarm bells for the tenant. In fact, the landlord had not exercised the rent review due on 25 March 1994.

In 2006,

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