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55 1931

LANDLORD AND TENANT ACT, 1931

PART III.

Right to New Tenancy.

Application of this Part of this Act.

19. —(1) On the termination within the meaning of this section of a tenancy in a tenement, this Part of this Act shall apply to such tenement if such tenement complies with any one of the following conditions, that is to say:—

(a) such tenement was, during the whole of the three years next preceding the termination of such tenancy, bonafide used by the tenant for the time being thereof wholly or partly for the purpose of carrying on a business and, immediately before such termination, either was held by the tenant thereof under a tenancy from year to year or under a lease or other contract of tenancy for a term of not less than one year or a lease for a life or lives or had been for not less than seven years continuously in the occupation of the person who was the tenant thereof immediately before such termination or of his predecessors in title, or

(b) such tenement was, during the whole of the period of thirty years next preceding the termination of such tenancy, continuously in the occupation of the person who was the tenant thereof immediately before such termination or of his predecessors in title and such tenement was not acquired by such tenant or any of his predecessors in title by purchase for valuable consideration within such period of thirty years, or

(c) at the termination of such tenancy the reversion of the landlord in the tenement does not exceed three years and such tenement was, during the whole of the period of fifteen years next preceding such termination, continuously in the occupation of the person who was the tenant thereof immediately before such termination or of his predecessors in title, or

(d) improvements have been made on such tenement and the tenant would, if this Part of this Act did not apply to such tenement, be entitled to compensation for improvements in respect of such improvements and not less than one-half of the letting value of such tenement at such termination is attributable to such improvements.

(2) References in this section to the termination of a tenancy as a point in time shall be construed as referring—

(a) in the case of a tenancy terminated by notice to quit, to the date of the service of such notice to quit; and

(b) in the case of a tenancy terminating by the expiration of a term of years or other certain period or by any other certain event, to the day which is three months before the expiration of such term or period or the happening of such event; and

(c) in the case of a tenancy terminated by the fall of a life or any other uncertain event, to the date on which such event happens.

Right of tenant to new tenancy.

20. —Subject to the provisions of this Act, a tenant of a tenement to which this Part of this Act applies shall, on the termination of his tenancy in such tenement, be entitled to a new tenancy in such tenement on such terms as may be agreed upon between such tenant and his landlord or as shall, in default of such agreement, be fixed by the Court.

Restrictions on the right to new tenancy·

21. —(1) A tenant shall not be entitled to a new tenancy under this Part of this Act where—

(a) his tenancy is terminated by ejectment for non-payment of rent; or

(b) his tenancy is terminated by ejectment, notice to quit, or otherwise on account of a breach by such tenant of a condition of such tenancy; or

(c) he terminates his tenancy by notice of surrender or otherwise; or

(d) his tenancy is terminated by notice to quit given by his landlord for good and sufficient reason; or

(e) his tenancy terminated otherwise than by notice to quit and his landlord either refused for good and sufficient reason to renew his tenancy or would, if he had been asked to renew such tenancy, have had good and sufficient reason for refusing so to do.

(2) In this section the expression “good and sufficient reason” means a reason which emanates from or is the result of or is traceable to some action or conduct of the tenant and which, having regard to all the circumstances of the case, is in the opinion of the Court a good and sufficient reason for terminating or refusing to renew (as the case may be) the tenancy.

Compensation for disturbance in certain cases.

22. —(1) Where it appears to the Court either—

(a) that the landlord of a tenement to which this Part of this Act applies bona-fide intends or has agreed to pull down and rebuild or to reconstruct the buildings or any part of the buildings included in such tenement, or

(b) that such landlord requires vacant possession of such tenement for the purpose of carrying out a scheme of development of property which includes such tenement, or

(c) that for any reason the creation of a new tenancy in such tenement would not be consistent with good estate management,

the tenant of such tenement shall not be entitled under this Part of this Act to a new tenancy in such tenement.

(2) Where an application for a new tenancy under this Part of this Act is refused on one of the grounds mentioned in paragraph (a) or paragraph (b) of sub-section (1) of this section and the landlord of the tenement to which such application relates does not, within a reasonable time, carry out the intention, agreement, or purpose (as the case may be) on account of which such application was refused, such landlord shall be guilty of contempt of Court and be punishable accordingly.

(3) Where the Court is satisfied—

(a) that the tenant of a tenement to which this Part of this Act applies would, but for this section, be entitled under this Part of this Act to a new tenancy in such tenement, and

(b) that, during the whole of a period of three years expiring at or within three months before the termination of his tenancy in such tenement, such tenement was used by the tenant for the time being thereof wholly or partly for the purpose of carrying on therein a business,

such tenant shall, in lieu of a new tenancy under this Part of this Act, be entitled, on quitting such tenement on the expiration of such tenancy, to be paid by the landlord of such tenement compensation (in this Act referred to as compensation for disturbance) in accordance with this Act.

(4) Where compensation for disturbance is awarded under this section to the tenant of a tenement and such compensation is not paid within the time limited in that behalf by this Act, such tenant shall be entitled, after the expiration of the said time so limited and before the payment of such compensation, to renew his application for a new tenancy under this Part of this Act in such tenement, and the foregoing sub-sections of this section shall not apply in respect of such application and the granting of such application shall operate as a discharge of the said award of compensation for disturbance.

(5) Where the Court is satisfied—

(a) that the tenant of a tenement to which this Part of this Act applies would but for paragraph (a) or paragraph (b) of sub-section (1) of this section be entitled under this Part of this Act to a new tenancy in such tenement, and

(b) that the landlord will not require possession of such tenement for the purposes mentioned in the said paragraph (a) or the said paragraph (b) (as the case may be) until after the expiration of a period of at least six months,

the Court shall, if such tenant so requests, continue the existing tenancy of such tenant in such tenement until such tenancy is terminated by such landlord for the purposes aforesaid by the service of six months previous notice in writing, but subject to the condition that such continuation of such tenancy shall be without prejudice to the right of such tenant to relief under this Act on such termination of such continued tenancy.

Measure of compensation for disturbance.

23. —Where the Court awards to a tenant compensation for disturbance the measure of such compensation shall be the pecuniary loss, damage, or expense which such tenant sustains or incurs or will sustain or incur by reason of his quitting the tenement in respect of which such compensation is awarded and which is the direct consequence of his quitting such tenement.