ABSTRACT

In a well drafted institutional lease, there are two very important clauses which both landlord and tenant will wish to ensure are carefully drafted in order for the provisions to reflect the wishes of the parties. Often, most frequently with shops, there is a "keep open" provision within the user clauses in the lease and typically this will be related to the usual business hours in the locality or perhaps within a covered shopping centre. More common are clauses which restrict the tenant sometimes found in the alienation provisions, where the landlord may reserve the right to withhold consent to assignment on the grounds of quality, user mix, or particular trades and businesses. The court will decides on the particular facts of the case, whether the landlord was indeed being unreasonable and this may extend to a particular long decision making process in dealing with the tenant's application for the change of use.