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Set-off
This page contains material dealing withThe right (or otherwise) of a tenant to set-off a valid claim against his landlord against the new landlord after the reversion has been assigned; and
Anti-set off clauses.
Set-off by tenant after landlord has assigned the reversion
Arrears accruing prior to assignment of the reversion
Smith v Muscat
[2003] EWCA Civ 962
Introduction
In a lease to which the Landlord and Tenant (Covenant) Act 1995 does not apply, on assignment of a landlord's interest in the property, the right to the rent including arrears passes to the landlord by virtue of s141 of the Law of Property Act 1925. By virtue of s142 the new landlord becomes liable to comply with the landlord's obligations under the lease but he is not liable in damages for breaches that occurred prior to the date of the assignment of the landlord's interest (Duncliffe v Caerfelin Properties Ltd [1989] 2 EGLR 38).
Facts
In this case T was a Rent Act tenant. In December 1995 T began to withhold rent from his landlord because of disrepair. In 1999 the landlord sold the reversion to the new landlord. T continued to withhold rent. The new landlord served a notice to quit and commenced possession proceedings. The judge held that T was entitled ... THIS IS AN EXTRACT OF THE FULL TEXT. TO GET THE FULL TEXT, SEE BELOW
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