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#Post#: 37--------------------------------------------------
Hannan v. Dusch
By: SunsetSailor Date: January 27, 2011, 10:26 pm
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Legal Possession v. Actual Possession
* LL MUST delivery legal possession on the day the lease
begins: Legal PossessionLL is vesting his title to the T
to have a present possessory interest in the property
* Actual Possession is necessary:
1. (1) where there is an express covenant in the lease
2. (2) if the lease contains a covenant of quiet
enjoyment (one of the rights in the bundle of quiet enjoyment =
actual possession)
ISSUE: In the absence of an express covenant, is the LL
required to give actual possession to the T
RULES:
o ENGLISH RULE:
1. In the absence of stipulations to the
contrary, there is in every lease an implied covenant on the
part of the landlord that the premises shall be open to entry by
the tenant at the time fixed by the lease for the beginning of
his term…
+ It must be borne in mind, however, that
the courts which hold that there is such an implied covenant do
not extend the period beyond the day when the lesee’s term
begins. If after that day a stranger trespasses upon the
property and wrongfully obtains or withholds possession of it
from the lessee, his remedy is against the stranger and not
against the lessor
* AMERICAN RULE:
1. The landlord is not bound to put the tenant into
actual possession, but is bound only to put him in legal
possession, so that no obstacle in the form of superior right of
possession will be interposed to prevent the tenant from
obtaining actual possession of the demised premises…
2. Under the American rule, where the new tenant fails
to obtain possession of the premises only because a former
tenant wrongfully holds over, his remedy is against such
wrongdoer and not against the landlord—this because the landlord
has not covenanted against the wrongful acts of another and
should not be held responsible for such a tort unless he has
expressly so contracted.
Remedies
o Under American Rule: Remedies are against the old
tenant…new T can sue to recover possession and damages (injuries
that flow from the loss of possession)
o English Rule: Remedies are against the LL…new T can
terminate the lease, he can sue the LL for damages (difference
b/w cover & contract priceT recovers the cost of cover
as long as it is reasonable), reformation option (new T can come
in and occupy the rest of the property that the old T is not
occupying with rent reduced) In addition, new tenant can go
against the Old T to recover possession & damages
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