Break Notices

The option for a landlord or tenant to serve a break notice to terminate a tenancy offers the parties flexibility and is particularly useful if the economic outlook is uncertain or the landlord intends to redevelop the premises.

Break notices often have a number of conditions which must be fully complied with if the lease is to terminate. These conditions could include requirements to pay all sums due under the lease by the break date (together with any interest on any arrears), to ensure that there are no material breaches or to give vacant possession. Once a break notice has been served it cannot be withdrawn.

If you are a tenant considering whether to operate a break clause in a lease and serve a break notice, taking advice at an early stage will ensure that you know exactly what you need to do to bring a lease to an end. The notice period required by the break clause might seem like a long way into the future but if you have to conduct extensive remedial work to comply with a break condition then extensive planning may be required. You may also need detailed advice about the existence of any material breaches of the lease and what it means to put the premises back into what the lease might describe as a good or substantial state of repair.

Careful attention also needs to be paid to the service of the break notice including its format, the method of delivery and the identity of the persons who need to be served.

How can we help you?

• Advising landlords and tenants in relation to the conditions attached to the operation of break clauses.
• Drafting and arranging to serve break notices.
• Advising what you need to do to remedy any breaches of the lease to ensure that the break takes effect.
• Advising you in relation to any obligation to give vacant possession and/or to reinstate the premises.
• Communicating with your landlord to try to reach an agreement and compliance with break conditions.
• Advising landlords whether the conditions attached to a break have been satisfied, corresponding with the tenant and dealing with any legal action.

Although the process of serving a break notice might seem straightforward, clients often benefit from comprehensive advice from the outset.