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Part IIDisclaimer and Retention of Leases

Special provisions as to certain leases

13Provision as to ground leases

(1)In relation to a ground lease, this Part of this Act shall have effect subject to the modifications specified in this section.

(2)The tenant shall not be entitled to serve a notice of retention nor, unless the court otherwise orders, a notice of disclaimer, and the landlord shall not be entitled to serve a notice to elect.

(3)If, where the land comprised in a ground lease has suffered war damage, the court is satisfied on the application of the tenant, having regard to the extent of the war damage suffered by the land comprised in the lease as a whole and all the circumstances of the case, including—

(a)the length of the unexpired part of the term of the lease, and the relation of the amount of the rent payable thereunder to the annual value, immediately before the occurrence of the war damage, of the land comprised in the lease; and

(b)any offers made by the landlord for an extension of the term of the lease or for an alteration of the rent reserved thereby, or for any other modification of the terms of the lease; that it is equitable to allow the tenant to disclaim the lease, the court may order that he be at liberty to serve a notice of disclaimer under this Part of this Act, on such conditions as to the payment of compensation and otherwise as the court thinks fit to impose, and that subsection (1) of section six of this Act shall not apply with respect to the notice.

(4)Where a notice of disclaimer is served in pursuance of an order of the court made under the last foregoing subsection, the provisions of this Act authorising the landlord to serve a notice to avoid disclaimer within the period allowed by this Act shall not have effect, but any other provision of this Act relating to that period shall have effect as if the landlord were entitled to serve such a notice.