ABSTRACT

If the tenant has sub-let the whole of the premises and the subtenancy satisfies s 23 of the 1954 Act, the s 25 notice should be served on the sub-tenant. If, however, only part of the premises have been sub-let and the tenant is in business occupation of the unlet part, the s 25 notice should be served on the tenant. This will result in the renewal of the tenant’s lease of the whole of the premises. Alternatively, the landlord may serve separate notices on the tenant and sub-tenant(s), which will result in separate leases being granted, one to the tenant for the part which it occupies, and one to the sub-tenant for the part which it occupies, with the effect that the sub-tenant will then become a tenant of the landlord. In theory, the landlord must first serve a s 25 notice on the tenant and then, as the landlord will, following this, be the competent landlord in respect of the subtenant(s), serve a s 25 notice(s) on the sub-tenant(s). In practice, if all the notices are served on the same day, it will be presumed that they are served in the correct order (Keith Bayley Rogers and Co Ltd (A Firm) v Cubes Ltd).