Facts
- A fixed term commercial lease, which had contracted out of landlord and tenant protective legislation, expired
- The lessee remained in possession of the premises whilst negotiations took place to create a new (more permanent) fixed term lease
- After 16 months, negotiations had not been concluded
- The lessee claimed that an implied periodic tenancy had been created, providing landlord and tenant legislative protection
Issue
- Had an annual periodic tenancy been implied?
Decision
- No
Reasoning
- The trial judge overstated the inactivity of the negotiating parties, there was still an intent to create a new lease
- The parties did not intent to create a periodic tenancy, especially as such a tenancy would provide landlord and tenant legislative protection for the lessee, which was contracted out of in the previous lease
- The lessee had merely a tenancy at will
- For the distinction between a periodic tenancy, a fixed term lease and a tenancy at will, please see land law notes on leases
