When does a liability for dilapidations arise on surrender?
A recent High Court decision has found that liability for reinstatement of the premises was released by terms of a Deed of Surrender, which limited the liability to breaches that occurred before the date of surrender, thus releasing the parties from their obligations and from all liability arising on or after the date of surrender. The case represents an expensive reminder of the need for landlords to take care when drafting provisions for surrender.
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