Weekly review: 9th – 13th July

Construction: Deed of Mutual Covenant

The construction of the Deed of Mutual Covenant should seek to give the best  business sense to the terms employed (Century Star Ltd v Knutsford Enterprises Ltd).

Conveyancing: deeds: execution: corporations

The procedure specified in the corporation’s articles of association for the affixing of the company seal to a deed should be followed and the execution clause should be consistent with this (Jones v Bohmann International Ltd).

Estoppel

Where A makes a statement of facts to B and B then organises his business affairs on the strength of the statement then A will be estopped as against B from asserting that the facts are otherwise than as A represented them to be (Neville v Wilkinson).

Leases: refusal to give vacant possession at the end of the term

Where a tenant refuses to give possession at the end of the term, he can be liable in damages to a landlord whose sale with vacant possession cannot be completed as a result. The damages can include damages payable by the landlord to the buyer of the reversion and any legal costs payable by the landlord to the buyer (Ho Kin Pong v Tam Kok Hung).

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