LW1304 - Property Law Case Study - Law Assignment Help

Assignment Task

Q1. A is allowed access to a shop to run his business. The shop is located inside a shopping mall owned by B. The shopping mall has certain designated areas for shops, cinema halls, and playing area for children. To formalize the transaction, A and B entered into and signed an agreement. The duration of the agreement and its various stipulations are summarized as follows:

The agreement was for 5 years and could be renewed for another 5 years on mutual consent of the parties

A was responsible for maintenance of the shop, paying of electricity bills, except for the relevant property tax

A could further transfer the possession of the property to anyone else, without the consent of B; but the responsibility to make monthly payments to B (for using the shop) remained that of A in all cases

A could not materially alter structure of the shop and could only make minor changes that would not change the ‘underlying identity’ of the shop

The shop could only be used to run a sports related business or a readymade garment business

A would be liable to vacate the shop if he contravened any of the stipulations of the agreement. Further, A would also be liable to vacate if he became an insolvent or of unsound mind or both!

Based on the above, determine the following:

(i) Whether the above agreement created a lease or a licence in favor of A? Expressly state the factors based on which you are making your conclusion. Also refer to the relevant case laws. (5 marks)

(ii) If A needed to obtain prior consent of B for transferring the possession of the property to a third person, would that change your answer in part (i) above? (5 marks)

(iii) If A is to be evicted from the premises before the expiry of 5 years, can B do so? Explain the law on the point assuming the State Rent Control Act is applicable. (5 marks)

(iv) If agreement extends for 10 years, does B need to serve a notice to A for eviction? (5 marks)

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