Contracted-out tenants: Erimus revisited
By Jessica Ready
The Court of Appeal has found in favour of a business tenant and decided that, despite protracted negotiations for a new lease on expiry of its contracted-out lease, a periodic tenancy had not been created in the intervening period.
Back in November 2013, we reported on the High Court decision of Barclays Wealth Trustees (Jersey) Ltd v Erimus Housing Ltd  — highlighting the potential risk to a tenant of remaining in occupation at the expiry of a contracted-out lease and allowing prolonged negotiations of a new lease.
The tenant, Erimus Housing, has now successfully appealed against this decision…
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