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A lease of a flat was granted in 1985 for 125 years. Its current tenant has recently died. A solicitor is acting for the personal representatives who are selling the lease of the flat with limited title guarantee.
The flat is in a poor state of repair due to the current tenant’s failure to comply with the repair covenant in the lease. The personal representatives are keen to emphasise that the flat is being sold as seen.
The solicitor is in the process of drafting the contract and the transfer (‘the Sale Documentation’).
What provision, if any, should the solicitor include in the Sale Documentation relating to the state of repair of the flat?
A. No provision is needed because the personal representatives are selling with limited title guarantee.
B. A provision excluding the seller’s duty of utmost good faith in relation to the tenant’s repair covenant in the lease.
C. No provision is needed because the lease is an ‘old lease’ as it was granted before 1 January 1996.
D. A provision modifying the statutory covenants for title which would otherwise imply compliance with the tenant’s repair covenant in the lease.
E. A provision clearly stating that the lease is a ‘new lease’ due to it being assigned after 1 January 1996.
D - A provision modifying the statutory covenants for title which would otherwise imply compliance with the tenant’s repair covenant in the lease.
Candidates who answered correctly: 32%
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