ABSTRACT
Tenants are automatically discharged on an authorised transfer of a new tenancy, privity of contract liability is therefore abolished, and indemnity covenants are no longer required. Substitute liability comes into play in two main cases: authorised guarantee agreements and excluded assignments. Statutory indemnities were implied into sales of old tenancies and express covenants would usually be required in cases falling outside the statutes, such as gifts and assents. Restitution is a remedial device designed to reverse an unjust enrichment, that is to force the person who has been enriched to give up what he has obtained. Restitution is based on reversing a payment which is compelled. Thus the surety agreement must be demanded by the landlord. Contribution arises between two people with a common liability to ensure that no one of them bears too much of the burden.
