In Evans v Enever ([1920] 2 KB 315) T’s lease contained a forfeiture clause which gave the landlords the right to re-enter if the rent was in arrears or if the tenant became bankrupt. The tenant fell into arrears with the rent and was adjudicated a bankrupt.
The landlords commenced possession proceedings but these came to an end, in accordance with section 212 of the Common Law Procedure Act, when the tenant paid the rent and costs to the landlord. The landlords knew of the tenant’s bankruptcy when accepting this rent.
The landlords then brought new proceedings seeking possession on the grounds of the tenant’s bankruptcy. The question was whether the landlords had waived the right to forfeit when they accepted rent with knowledge of the bankruptcy.
It was held that they had not. The landlords’ action in bringing the first possession proceedings was an irrevocable election to determine the lease. The subsequent acceptance of the rent could not qualify this.
Michael Lower
