Termination of an Agreement for Lease

15 Sep 2011

In the case of Extra MSA Services Cobham Ltd and another v Accor UK Economy Hotels Ltd and another (2010), the High Court had to consider whether a developer had the right to terminate a conditional agreement for lease.

Completion of the agreement was conditional on planning and various other consents and licences. The developer was required to use reasonable endeavours to satisfy the conditions and both parties could terminate the agreement if the conditions had not been satisfied by the longstop date.