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Take Notice - Tenant Break Clauses

Overview

In the current economic climate, tenants will be looking to make use of break clauses in their leases to exit from premises which are no longer commercially viable. Conversely, landlords may be looking to challenge break notices to render the break ineffective.
There have, as a result, been several cases over the last year that highlight the importance of making sure break notices have been served properly. It is crucial that a tenant complies with the precise requirements in its lease for the service of the break notice. If a break notice was found to be invalid, the lease would continue beyond the break date and a tenant may find itself unable to exit from the lease for some time.
In this article, we will look at two recent cases along with a quick reminder of issues surrounding the service of break notices.
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Tags: Real Estate.