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Commonhold and Leasehold Reform Act 2002

Section 168: No forfeiture notice before determination of breach

291.Section 168 places restrictions on the service of notices under section 146(1) of the Law of Property Act 1925 in respect of breaches of covenants or conditions in a residential long lease.  Subsection (1) prohibits the serving of a notice unless one of the conditions of subsection (2) is satisfied.  These are:

a)

that on an application to a LVT it has been finally determined that a breach has occurred;

b)

the breach has been admitted;

c)

a court in any proceedings, or arbitral tribunal in proceedings pursuant to a post dispute arbitration agreement, has finally determined that a breach has occurred.

292.Subsection (3) provides that a notice cannot be served until 14 days after a final determination has been made under (a) or (c) above.

293.Subsection (4) provides that a landlord may apply to a LVT for a determination that a breach of covenant or condition has occurred but subsection (5) precludes this where the matter is to be referred to arbitration under a post dispute arbitration agreement (see section 169(5)) or where the matter has already been determined by a court or arbitral tribunal pursuant to such an agreement.

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