COVENANTS IN A LEASE
Covenant Against Assignment:
The lessee covenants not to assign, sublet, or in any way part with the possession of the demised property, unless with the prior written consent of the lessor, such consent not to be withheld by the lessor in the case of a reasonable and respectable person.
Covenant as to use:
The lessee covenants to use the demised property for residential purposes only and not for any other purpose.
The lessee covenants to use the demised property only for the purpose of running his book-publishing business and not for any other purpose whatsoever.
The lessee covenants to use the demised piece of land for the cultivation of his agricultural crops and for no other purpose whatsoever.
Covenant to pay Rent
The lessee covenants to pay all accruing rent payable on the demised property as agreed upon by the parties in money or money’s worth and should the lessee default in paying, then the lessor has the right to seek any of the existing remedies available under the law.
Covenant to Repair
The lessee covenants to keep the property in a state of tenantable repair throughout the duration of the lease, provided that he shall not be liable for any reasonable wears and tears accruing from the long use of the property.
The lessee covenants to keep the property in a state of tenantable repair and to repair all fixtures, fittings, and not to remove them from the demised property throughout the duration of the lease term (reasonable wear and tear expected from the use of the property).
Covenant to Renew or Option to Renew or Covenant for Renewal
The lessor covenants with the lessee that should the lessee be desirous of renewing the lease agreement prior to its expiration, that the lessee shall make an application to the lessor to that effect provided that:
Such application must be in writing
Such application must be made within a period of three months prior to the expiration of the lease term
The lessee must have been paying all his rents as and when due
The lessee must have been performing all the covenants contained in the lease agreement.
The parties can choose to be bound by the terms of the current lease agreement or agree upon such new terms as they may choose to make.
Covenant to Insure
The lessor covenants to insure the demised property against Volcanic eruptions and other such natural disasters related to it to the sum of 90, 000.00 (ninety thousand naira only) with ABC Assurance PLC, Victoria Island Lagos, and such money, if and when recovered, shall be used to restore the demised property to the condition it previously was before the occurrence of the disaster.
The Lessee covenants with the lessor as follows:
The lessor shall be the person to insure the demised property against any fire outbreak;
The amount to be covered by the insurance shall be to the sum of 90, 000.00 (ninety thousand naira) per annum;
The insurance shall be taken out with ABC Assurance PLC, Victoria Island, Lagos State;
The insurance cover, if and when recovered in the event of the occurrence the property was insured against, shall be used for the restoration of the demised property to the state it previously was in before the occurrence of the event.
Covenants to pay Rates and Taxes or Covenants to pay Outgoings
The lessee covenants to pay all rates and outgoings accruing on the demised property as at the time of his entering into the property and ANY OTHER rates to be introduced subsequently, whether they are payable by Landlord’s rates or Occupier.
Rent Review Clause
The rent shall be reviewed by the lessor after the first three years of the lease after making a written notification to the lessee and then once in every two years afterwards.
The review shall be undertaken by any estate valuer mutually agreed upon by the parties to the lease or by one appointed by the landlord for that purpose provided that the lessee agrees to the choice made by the landlord.