Covenants The Run With The Land- Does The Option To Renew Run With The Land?
Feb 21, 2007 | Article
Written by Natalie Vukovich
(The Six-Minute Commercial Leasing Lawyer 2007)
In a lease, landlords and tenants make various covenants in each other's favour. Most clients believe that up on a sale of property, the transferee of the landlord's interest is obliged to perform all of the landlord's covenants under the lease and to honour all of the rights granted to the tenant thereunder. Similarly, most clients believe that upon an assignment of a leasehold interest by the tenant, the assignee is obliged to perform all of the tenant's covenants under the lease and entitled to demand performance of all of the covenants of the landlord therein. Not so.
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