Restrictive covenants can affect how you use and enjoy your property. Some are minor, such as rules about keeping caravans on the land, while others can be much more limiting.

If a restrictive covenant has been breached, this can cause problems during conveyancing. Most buyers, and their mortgage lenders, will want proof that any breach has been dealt with before completion.

There are a couple of common ways this is usually handled:

• Indemnity insurance – This provides financial protection if someone with the benefit of the covenant later takes action.
• Rectification – Removing or correcting what caused the breach.
• Retrospective Consent – This can, in some circumstances, be obtained from the party with the benefit of the covenant but usually at the cost of a premium.

All of these options have their limits. Indemnity insurance only pays compensation and does not prevent enforcement. Fixing the breach does not guarantee protection against claims for historic breaches. There is also no guarantee that obtaining retrospective consent for historic breaches is obtainable as the party with the benefit of the covenant may be uncontactable or the premiums may simply be too excessive for the standard seller. While retrospective consent is a prudent “belt-and-braces” approach, it can remove more accessible options such as indemnities, which often depend on not approaching the party benefiting from the covenant.

The law provides another option. Under Section 84(1) of the Law of Property Act 1925, the Upper Tribunal (Land Chamber) has the power to remove or change restrictive covenants in certain circumstances.

An application can be made on one or more the following grounds:

• Obsolete – The restriction is no longer relevant because of changes to the property, the surrounding area, or other important factors.
• Unreasonable restriction – The covenant stops reasonable use of the land and provides little or no real benefit to those who can enforce it, or it goes against the public interest. In these cases, compensation would usually be enough to cover any loss.
• Agreement – The people who benefit from the covenant have agreed that it should be removed or changed.
• No real harm – Removing or changing the covenant would not cause any meaningful harm to those who benefit from it.

If a restrictive covenant is affecting your property, we would be happy to discuss your options. Please contact our offices if you would like advice on removing or changing a restrictive covenant.

Saffron Walden office: 01799 523441

Haverhill office: 01440 702485

Sawston office: 01223 832939

Email: [email protected]

When businesses take on new premises, most of the focus naturally falls on the headline terms — the rent, the location, and the length of the lease. Whilst these are very important considerations, the repairing clause contained within a lease can have financial implications which go well beyond the annual rent payable.

For that reason, it is important that you seek legal advice as early as possible so that you can fully understand your repairing obligations and put in hand arrangements which will strike a fairer balance between Landlord and Tenant ensuring that the Tenant is only responsible for maintenance and repair which arises during the lease term and avoids the need to contribute towards improvements or remedying pre-existing defects.

What Is a Repairing Clause (and Why Should You Care)?

A repairing clause sets out who is responsible for maintaining the property during the lease term. In many commercial leases, that responsibility sits with the tenant.

At first glance, this might seem straightforward. Keeping the premises tidy and fixing the odd issue is to be expected. However, the wording used in commercial leases can go much further than simple day-to-day upkeep.

In some cases, tenants are required not only to maintain the property, but to put it into good repair — even if parts of it were already worn or damaged when they moved in.

“Full Repairing” Leases – More Than Just Maintenance

Many commercial leases are granted on a “full repairing” basis. This can place a wide obligation on the tenant to keep the property in good condition throughout the term.

This obligation might mean fixing issues that were there before the lease began. For example, if the roof, windows, or internal fixtures were already showing signs of age, a broadly worded repairing clause could mean the tenant becomes responsible for putting them right.

This is why it’s so important to fully understand the extent of the commitment before signing and to discuss the mechanisms that can be put in place to help manage the repairing liability.

Why the Starting Condition Matters

One of the most sensible steps a tenant can take is to consider the condition of the property at the start of the lease.

If a tenant agrees to keep the premises in good repair without any limits, they may be expected to hand it back in better condition than when they took it on. In older buildings especially, this can lead to unexpected costs over time.

Making sure the lease fairly reflects the state of the property at the outset can help avoid disputes later on.

The End of the Lease – Dilapidations

Repairing obligations don’t just matter during the lease — they often come into sharp focus when the term comes to an end.

Landlords will usually inspect the property and may produce a schedule of dilapidations, setting out any repairs they believe the tenant should have carried out. If the property hasn’t been maintained in line with the lease, the tenant may be asked to complete works or make a financial payment instead.

These claims can come as an unwelcome surprise if the obligations weren’t fully understood at the start.

How can we help you?

At Adams Harrison, we have experience in dealing with commercial leases. We are well placed to advise you on the implications of a repairing clause and the steps that you can take to minimise your liability. If you are in the process of negotiating a commercial lease or have concerns about the repairing obligations, contact our commercial property team to discuss your situation.

Explained – Assured Periodic Tenancy (APT)

We are fast approaching the 1^st May 2026 being the date that many of the new tenancy reforms in the Renters Rights Act come into force.  Yet there remains confusion about the transition of existing Assured Shorthold Tenancies and what will happen to these after the 1^st May.  This blog briefly explains the new default tenancy known as Assured Periodic Tenancy or APT that will come into force.

All existing Assured Shorthold Tenancies as of the 1^st May will automatically convert into APTs and continue as the same tenancy.  There is no need to enter into new agreements or vary the terms of existing agreements.  If you already have a written agreement, then all you need to do is issue the government information sheet to your tenant by the 31^st May (this will be published next month so watch this space).  Failure to do this could result in a civil penalty of up to £7,000.  Any clause in your current tenancy regarding set end dates will be overwritten by the Renters Rights Act and tenancies will continue on a rolling basis meaning no end term and allowing tenants to give two months’ notice.

All new tenancies entered into from 1^st May will now be APTs.  Due to the number of changes and civil penalties introduced by the Renters Rights Act it is important that Landlords do not use old agreements or DIY agreements for new tenancies.  For example, if you enter into a new tenancy after the 1^st May and the agreement purports to let for a fixed term a landlord faces a civil penalty of up to £7,000 for a first offence.  Repeated or serious breaches can lead to penalties up to £40,000 or a criminal prosecution.

Free Resource – As a landlord, to help you prepare for these changes our Property Litigation Team have produced a checklist.  Consider this checklist to help ensure that your existing tenancies transition under the new rules and for you to be prepared when entering into new tenancies under the new Act. Click on the link below to download a pdf copy of the checklist.

Renters Rights Act – Compliance checklist for Landlords

You can find out more about our services to Landlords and Tenants, and download our leaflet, here Residential Landlord and Tenant Disputes Legal Services | Adams Harrison

For more information and advice on this and how this may affect you please contact our Property Litigation Team at [email protected]