Landlords should not rest on their laurels, and think that
having a clause in a lease making the exercise of an option to
renew a lease, conditional on performance of the Lease by the
Tenant, is in itself sufficient protection should the Landlord want
to challenge a Tenant taking up its option. The Landlord needs to
do more, and in a very timely fashion.
In situations where the breach of the lease occurred before the
Tenant gave notice the Landlord has to also give a prescribed
notice to the Tenant that complies with section 133E of the
Conveyancing Act 1919, and do so within 14 days of
the Tenant giving notice.
The Tenant then has one month from receiving the prescribed
notice from the Landlord in which to seek from the Supreme Court an
order for relief against the operation of the clause in the lease
that makes the effectiveness of the option conditional on
performance of the Lease. Where that application is not made by the
Tenant in time, or the resulting Court