Controversial break case update

Walker Morris reported recently on the High Court decision in Marks & Spencer v BNP Paribas Securities. The decision sparked controversy within the real-estate industry, particularly among commercial landlords, tenants and property litigators, because it seemed to fly in the face of established break notice principles and practice.

It has previously been clearly understood, and strictly endorsed by the courts, that post-break ‘overpayments’ (i.e, those rent and other lease payments that tenants are required to make in advance but that end up relating to periods following mid-term break dates) will only be recoverable from landlords where the particular lease in question contains express and very clear wording to that effect…

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