Licenses to Alter - Essential Content, Pitfalls and Nice Surprises [2023]

While landlords retain a greater degree of control over consent to alterations than they have in relation to alienation, tenants are certainly not without rights. Landlords need to be aware of procedural pitfalls, and potentially serious consequences of being seen to have been unreasonable, even without the threat of a claim for damages. When consent is documented, surprisingly little attention is often given to the content of the humble licence to alter, and yet the consequences of how it (and the alterations clause of the lease) are drafted can be profound. We will consider the key pitfalls of the consent process, and how both parties might usefully anticipate and provide for future consequences in drafting terms.

At the end of this session, you will have an understanding of:

• The implications of key drafting points in alterations clauses
• Deadlines and flashpoints in the process of progressing an application for consent
• The risk of re-writing the lease by unreasonable conduct
• Potential for accidental release of lease guarantors, and how to prevent it
• Key matters for the drafting of the licence to alter