Transfer of Property Act Section 111 — Determination of lease
CHAPTER V OF LEASES OF IMMOVEABLE PROPERTY — (B) Rights and Liabilities of the Lessee
General
Summary
A lease ends automatically when its fixed time period runs out, or when a condition that the lease was tied to actually happens. It also ends if the landlord’s own right to the property ends, or if the tenant and landlord become the same person holding the entire property in the same capacity. The lease can end by the tenant giving it up with the landlord’s agreement, or by an implied surrender—for example, if the tenant accepts a new lease from the landlord that starts while the old one is still running. It can also end by forfeiture if the tenant breaks a condition that allows the landlord to re-enter, or if the tenant denies the landlord’s title, or if the tenant is declared insolvent and the lease allows re-entry—but in those cases the landlord must give written notice of intent to end the lease. Finally, the lease ends when either party gives proper written notice to end it or to quit.
Official Text
A lease of immoveable property determines—
(a) by efflux of the time limited thereby:
(b) where such time is limited conditionally on the happening of some event—by the happening of such event:
(c) where the interest of the lessor in the property terminates on, or his power to dispose of the same extends only to, the happening of any event—by the happening of such event:
(d) in case the interests of the lessee and the lessor in the whole of the property become vested at the same time in one person in the same right:
(e) by express surrender; that is to say, in case the lessee yields up his interest under the lease to the lessor, by mutual agreement between them:
(f) by implied surrender:
(g) by forfeiture; that is to say,
(1) in case the lessee breaks an express condition which provides that, on breach thereof, the lessor may re-enter 1***; or
(2) in case the lessee renounces his character as such by setting up a title in a third person or by claiming title in himself; 2[or
(3) the lessee is adjudicated an insolvent and the lease provides that the lessor may re-enter on the happening of such 1. The words “or the lease shall become void” omitted by Act 20 of 1929, s. 57. 2. Ins. by s. 57, ibid. event]; and in 1[any of these cases] the lessor or his transferee 2[gives notice in writing to the lessee of] his intention to determine the lease:
(h) on the expiration of a notice to determine the lease, or to quit, or of intention to quit, the property leased, duly given by one party to the other. A lessee accepts from his lessor a new lease of the property leased, to take effect during the continuance of the existing lease. This is an implied surrender of the former lease, and such lease determines thereupon.