Interpretation
28Interpretation: “ground rent”
1
In this Act “ground rent” means—
a
a fee farm rent; or
b
the rent payable under a lease granted for a term of more than 50 years,
other than a nominal rent.
2
In subsection (1) “nominal rent” means—
a
a rent of a yearly amount of less than £1; or
b
a peppercorn or other rent having no money value.
3
For the purposes of this Act where a ground rent is payable if demanded (however expressed), it shall be treated as payable even though there is no demand.
4
Where the amount of a ground rent is subject to alteration in consequence of a breach of covenant (whether it is to be increased from a lower amount to a higher amount in the event of a breach or is subject to reduction from a higher amount to a lower amount so long as there is no breach), for the purposes of this Act the amount of the ground rent is the lower amount.