Landmark ruling on lease renewals could shift landlord-tenant balance of power

Supreme Court

Source: Shutterstock/Lukasz Pajor

Imminent ruling could challenge landlords’ right to refuse to renew tenants’ leases when planning major redevelopments.

In Franses vs The Cavendish Hotel, the tenant, an antique rug shop, is accusing the landlord, the hotel, of misinterpreting and misusing the Landlord and Tenant Act 1954 for the sole purpose of kicking them out.

The case specifically revolves around section 30 (1)(f) of the act. It states that a landlord can refuse a tenant’s new lease if they intend on reconstruction or demolition works that they “could not reasonably do so without obtaining possession of the holding”.

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