What is Forfeiture of Lease

Lease forfeiture is a legal process whereby a landlord is permitted to regain possession of a property from a tenant who has violated the terms of the lease agreement. This process is initiated when the landlord exercises their right to reclaim possession without the tenant’s consent. Typically, forfeiture occurs in instances where the tenant has breached a condition of the lease or contravened a specific covenant established within it.

The landlord usually employs a Bailiff, also known as a Certificated Enforcement Agent, to carry out the forfeiture by entering the property peacefully and taking vacant possession. The right of forfeiture is enshrined in the lease agreement, which is further protected under Section 24 (2) of the Landlord and Tenant Act 1954. In most leases, peaceful possession is considered to be gained when the landlord’s Bailiff enters any part of the land, and that can include external areas such as an outside compound.

In circumstances of non-payment of rent, the landlord often does not need to issue any prior notice before commencing forfeiture. This ease of process is what makes forfeiture a potent tool for landlords seeking to address breaches of a lease, particularly when the tenant has defaulted on rental payments.

Forfeiture can be used effectively when landlords find it challenging to pursue Commercial Rent Arrears Recovery (CRAR), especially if the Bailiff cannot gain entry or if there are few or no goods available to seize. The common grounds on which forfeiture may be enacted include non-payment of rent, but other breaches, depending on the lease wording, are also valid. A key component of this process is the inclusion of a forfeiture clause within the lease, which allows the landlord’s Bailiff to re-enter the premises following a breach. This clause typically outlines that the landlord may peaceably re-enter the premises if rent remains overdue for a specified period, often ranging from as little as seven to twenty-one days.

Should the landlord need to forfeit the lease, it can be accomplished through either a peaceable re-entry or by initiating court proceedings. Peaceable re-entry involves the Bailiff gaining access to the premises without any force or altercation. However, caution must be exercised as any display of violence can lead to criminal charges under the Criminal Law Act 1977.

In cases where the property includes a residential element, landlords should refrain from re-entering the property, as highlighted in legal precedents like Pirabakaran v Patel (2006). Alternatively, pursuing forfeiture through court proceedings can serve as a method to regain possession; however, this route tends to incur higher costs and often consumes more time compared to peaceful re-entry.

A tenant, sub-tenant, or lender may seek relief from forfeiture through the court, especially if they wish to continue with the tenancy. In these situations, the court may impose specific conditions for the tenant to meet, such as settling rent arrears before the case is considered.

In the end, forfeiture of a lease presents landlords with a significant mechanism to address breaches, particularly in relation to rent arrears. While it can be effective, landlords must ensure they are well-informed about the legal implications and processes involved to avoid making costly errors.

The team At Frank G Whitworth have been providing enforcement services since 1948 with our sister Company Quality Bailiffs we are Professional Private Investigators and High Court Enforcement Officers. Our work was featured on the BBC1’s fly on the wall documentary “The Sheriffs are Coming” Our team understand all about the importance of acting quickly and professionally.

Contact Frank G Whitworth now to discuss using our Forfeiture of Lease Service.

0208 106 5397

sales@frankgwhitworth.co.uk

124 City Road, London, EC1V 2NX

 

 Professional Associations and Certifications

Professional associations and certifications can provide reassurance of a companies credibility and competence. Look for affiliations with industry organisations such as the Association of British Investigators and the High Court Enforcement Officers Association

Choose a company who is recognised by reputable professional associations and holds relevant certifications to ensure that they adhere to industry standards and best practices. Frank G Whitworth and its sister company Quality Bailiffs are true professionals .Some of our team of agents on the ground include Luke, Grant James and Ben

We operate all around England and Wales providing numerous services like CRAR , recovering debts, evictions of tenants, eviction of travellers & trespassers . This is done in all locations including London, Birmingham, Plymouth