A surrender of a lease by operation of law occurs where the owner of an estate is party to some act which is taken as evidence that the lease has ended. Where a tenant wishes to surrender their lease and acts accordingly – perhaps by returning the keys – there must be clear and strong evidence that the landlord has accepted the surrender, otherwise the lease continues.
In the case of Artworld Financial v Safaryan [2009] EWCA Civ 303 the landlord granted a three year lease to a family. The tenants left the property after 21 months and handed back the keys to the landlord. The landlord took back the keys, checked the inventory, redecorated, put back furniture, parked a car in the driveway and some members of the landlord’s family also lived at the property for a couple of weeks. Following this the tenant was then sued for further rent.
It was held that the landlord’s actions collectively showed that the landlord was holding the property as his own and such actions were an unqualified resumption of possession by the landlord. The landlord’s actions were therefore inconsistent with the survival of the lease. By the actions of the landlord, it was concluded that a surrender by operation of law had taken place.
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