Enforceability of covenants in 'new' leases - Landlord - Orignal tenant

4 important questions on Enforceability of covenants in 'new' leases - Landlord - Orignal tenant

Where the original tenant assigns the lease to a new tenant, can the original tenant be sued (s. 5(2)(a) LT(C)A 1995)? Will the original tenant still receive the benefits of the landlord covenants (s.5(2)(b))?

The original tenant is released from the tenant covenants on assignment (s.5 (2)(a) LT(C)A 1995) and cannot be sued.  The original tenant will no longer benefit from the landlord covenants (s.5(2)(b))

Explain the exception to the above rule under (s.16 of the 1995 Act) an authorised guarantee agreement ('AGA')?

Where the original tenant(T) entered into an AGA with the landlord (L) at the time of the assignment to the new tenant (T1). This ensures that the original tenant guarantees the performance of the tenant covenants by the assigned tenant (immediate successor).

Is an implied indemnity covenant applicable to the original tenant once they have been released (s.14 of the 1995 Act)?

An implied indemnity covenant does not apply as the tenant is released.
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Explain how the tenant can recover from the assignee in (Moule v Garrett) + express indemnity covenant?

The tenant who is liable under an AGA can recover from the assignee through:
  • Moule v Garrett
  • Express indemnity covenant on assignment  

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