ISLAMIC UNIVERSITY IN UGANDA
KAMPALA CAMPUS
FACULTY OF LAW
COURSE: LLB
COURSE UNIT: LAND LAW II
YEAR: TWO
SEMESTER: TWO
LECTURER: DR. NKUUBI JAMES
TOPIC: A GUIDE TO LESSEE RIGHTS AND OBLIGATIONS.
NAME REG NO SIGNATURE
AWEKONIMUNGU KIRSTIN 223-053012-27328
NASSAKA SANDRA STEPHANIE 223-053012-25886
ASIIMIRE EDNA 223-053012-27202
1
TABLE OF CONTENT
TABLE OF CONTENT.................................................................................................................. i
Overview........................................................................................................................................ 1
Introduction.................................................................................................................................... 1
Obligations of a lessee....................................................................................................................1
Rights of a lessee............................................................................................................................7
Conclusion......................................................................................................................................9
BIBLIOGRAPHY........................................................................................................................ 10
i
Overview.
Leasing property is a fundamental aspect of modern living and business, but many lessees enter
agreements without fully understanding their rights and responsibilities. This research explores
the legal framework governing lessee rights and obligations, defining who a lessee is and
shedding light on key aspects such as rent payments, maintenance duties, eviction protections, and
dispute resolution. It examines how laws vary across jurisdictions and the balance between
landlord authority and tenant protections. By analyzing real-world cases and legal precedents, this
study aims to empower lessees with knowledge, ensuring fair and informed lease agreements in
both residential and commercial settings.
Introduction.
The lessee is the party that acquires the right to use and occupy a property owned or managed by
the lessor. The lessee may be an individual, a business, or another legal entity. Throughout the
lease term, the lessee is obligated to adhere to the terms and conditions specified in the lease
agreement.
When a lease is created certain rights vests in the lessee, correlative duties or obligations also
come into existence, these are usually in form of covenants. Whether a term is to be constructed as
a condition or covenant will depend largely on the parties’ intention, and therefore we will start by
discussing in general the obligations of a lessee/tenant and how they impact upon the socio-
economic development.
Obligations of a lessee.
Pay rent.
One of the primary responsibilities of a lessee is to pay rent in accordance with the terms specified
in the lease agreement. This is also provided for under Registration of Titles Act,1 that a lessee
should pay rent at the time mentioned in the lease agreement.
The rent should be paid to the landlord or his agent or an authorized person or another who steps
into the shoes of the landlord. Death of the landlord does not extinguish this duty/debt. Failure to
pay rent on time may lead to penalties or eviction.
Although it generally consists of the payment of money, it may equally well take the form of the
delivery of personal chattels, as corn, or the performance of personal services.2
1
Section 101(a)
22
Duke of Marlborough V. Osborn (1864) 5 B & S 67
1
The rent must be certain at the time when payment is to be made, the date of payment should be
precisely stated, but if not then its presumed that payment is due at the end of each period by
reference to which the rent has been assessed.
Dibble v. Bowater.3
This is a landmark English case that addresses the issue of a tenant's fraudulent removal of goods
to avoid distress for rent.
Facts.
The plaintiff, George Dibble, was a tenant under Thomas Bowater, with rent payable quarterly.
On the morning of December 25, 1852, the day rent was due, Dibble clandestinely removed his
goods from the premises to evade a potential distress for the rent due that day. Within thirty days
of this removal, Bowater pursued and seized the goods as a form of distress.
Issue.
The central question was whether a landlord is justified in seizing a tenant's goods under the
statute 11 Geo. 2, c. 19, s. 1, when the tenant fraudulently removes them on the day rent becomes
due but before it is in arrears.
Decision:
The court ruled in favor of the landlord. The majority held that rent is considered "due and
payable" on the due date, and if a tenant removes goods to avoid distress, the landlord can seize
them within 30 days. A dissenting judge argued the rent should be overdue first, but the majority
disagreed.
Significance.
This case confirmed that a landlord has the right to seize a tenant’s goods if they are removed to
avoid rent collection, even if the rent was not technically overdue at the time.
It’s the duty of the tenant to pay rent in time. A tenant must continue to pay rent even if the
property is destroyed, rent is payable either in advance (1 st day of every month or in arrears (last
day of every month). The rent collected can also be used to do repairs on the premises.
33
Dibble V. Bowater (1853) 2 E&B 564.
2
Allow the landlord to enter and examine the land.
The lessee must permit the landlord or his agent to enter on the premises and examine its
condition. This is the covenant to allow the landlord entry; usually a lessee allows, the lessor to
enter for the purpose of viewing the state of repair of the premises.4
It’s worth noting that exclusive possession grants the tenant the right to exclude the landlord from
the premises if the landlord enters without permission, he or she commits a trespass. However, if
the landlord has covenanted to be responsible for repair of the premises, in the absence of any
express provision to the contrary. It will be implied that the tenant has granted the landlord the
right to enter to inspect and carryout repairs.
This right must of course be exercised reasonably the landlord can enter to carry out work he or
she has covenanted to do but is not entitled to go beyond this. If for example the landlord attempts
to carry out major renewals when the covenant entitles him or her only to repair, the landlord will
be exceeding the right.5
Pay taxes and rates.
The lessee, is also under an implied obligation to pay all rates and taxes, or any other form of tax
levied on the property which the landlord is not expressly liable either by terms of the lease or
under a rule of law, such rates as water, electricity and telephone bills.
In the case of New Vision Printing and Publishing Corporation v. Uganda Revenue
Authority.6
The Tax Appeals Tribunal addressed the issue of tax obligations imposed on a lessee.
Facts.
New Vision Printing and Publishing Corporation (the applicant) entered into a leasing
arrangement for certain property. The Uganda Revenue Authority (URA) assessed tax liabilities
on the applicant, interpreting the tax statutes to impose such obligations on the lessee. The
applicant contested this assessment, arguing that the tax imposition was unfair and should not
apply to them as the lessee.
44
See Sec. 102 R.T.A implies that a lessor has the power to enter the premises at all reasonable times for
Specific purposes, such as inspection of the premises and repair. Also see the case of Saner v Bilton
1876.
55
Plough investments Ltd V. Manchester City Council (1989) 1 EGLR, 244.
66
TAT Application No. 12 of 1999.
3
Issues.
The primary issue was whether the tax statutes, as interpreted, imposed an obligation on the lessee
(New Vision Printing and Publishing Corporation) to pay the assessed taxes, and whether
considerations of fairness could influence the enforcement of such statutory tax obligations.
Decision.
The Tax Appeals Tribunal held that the clear language of the tax statute imposed an obligation on
the lessee to pay the assessed taxes. The Tribunal emphasized that, despite any perceived
unfairness, it is bound to enforce the law as enacted and cannot substitute its own conception of
fairness for that of the legislature. The Tribunal stated:
"The law was obviously unfair to the lessee; however, the Tribunal is under a duty to enforce the
law as enacted and cannot substitute its conception of fairness for that of the legislature."
Significance.
This decision underscores the principle that tax obligations, as clearly defined by statute, must be
fulfilled as written, regardless of perceived fairness.
Obligation to deliver up possession.
Upon expiration of the agreed term. This can be done by the tenant vacating the premises (and
delivering possession and keys to the landlord.) breach of which entitles the landlord to damages
(looking at the rent or profits the landlord could have gotten if he had not been kept out of
possession).
There is an implied covenant in every lease that the tenant/lessee will not do anything which might
prejudice the title of the land,7 for the tenant to deny that the landlord has an interest in the land is
in essence to deny existence of tenancy and could amount to repudiation of contract and if no
tenancy the landlord will be entitled to reposes the premises.
However partial disclaimer of the landlord’s title will not amount to an unequivocal or a clear
repudiation of the relation of the relationship of landlord and tenant. 8 The essence of this
obligation is that the tenant must not do anything, which evinces an intention to no longer be
bound by the relationship of landlord and tenant. This obligation reduces on the chances of fraud
by the tenant, and any other related expenses like lawyering, and court fees in solving out these
issues.
77
W.G Clarke [properties] Ltd V. Dupre Properties Ltd [1992] CH. 297 at 303
88
Ibid
4
A tenant/lessee cannot assign or sublet or part with possession without the consent of the
landlord.
A tenant/lessee cannot assign9 or sublet1010 or part with possesion1111 without the consent of the
landlord.1212 If the lease is silent on the matter the tenant is entitled to assign, underlet, or part with
possession of the premises without the landlord’s consent for during the term the property is the
tenants. Most landlords take great care when selecting tenants to ensure that they are of good
character and can pay the rent and quite reasonably will wish to ensure that the premises do not
come into the hands of some less desirable person through assignment or subletting, accordingly
its common to include, a covenant which restricts the tenants right to assign, sublet or otherwise
part with possession of the demised premises. This obligation reduces the chances of premises
getting to bad tenants leading to destruction of property and causing financial loss and health
hazards due to bad behavior therefore scrutinized consent from the landlord will promote peace,
unity and proper management leading to economic development.
City Council of Kampala v Mukiibi.1313
Facts.
The plaintiffs leased certain premises to the defendant subject to a covenant that the tenant should
not part with possession or sublet without their consent. The defendant allowed hair dressers to
use the premises paying him a daily fee. The plaintiffs sought to terminate the lease on the ground
that the defendant parted with possession in breach of the tenancy agreement.
Court Held
That a tenant is not in breach of a covenant not to part with possession or sublet unless he or she
gives exclusive possession to another person.
In this case, court found that although the defendant allowed hairdressers to use the premises
subject to payment of a daily fee, he did not give them exclusive possession.
Maintain and care for the property.
The lessee in under an obligation to take care of the property, perform minor maintenance and
avoid intentional damage. In some cases, the landlord will covenant to repair the premises though
the tenant may have to agree to pay some or all of the premium, whilst in others the tenant will,
99
The right of tenant in the property capable of being transferred to others.
1010
Carrying a tenancy out of his own lease hold estate.
1111
These come in 2 forms, Absolute covenant if not to assign etc and Qualified covenant i.e not to
assign etc without landlord’s consent.
1212
See the Housing Acts 1985, 1988.
1313
[1967] E.A. 368
5
undertake this obligation, such covenants will be broken if the property is uninsured for any
period, however short, and even if no damage occurs during that time.1414
Although there is no general implied covenant to repair, every tenant is under a limited obligation
to use the premises in a tenant like manner. Denning L.J, attempted to give some shape to the duty
to use the premises in a tenant like manner in Warren V. Keen1515 “The tenant must take proper
care of the place, he must if he is going away for the winter, turn off the water and empty the
boiler, he must clean the chimneys when necessary and also, the windows, he must mend the
electric light, when it fuses. He must unstop the sink when its blocked by his waste in short he
must do the little jobs about the place which a reasonable tenant would do.”
The covenants mentioned above are only examples of more common covenants in use e.g.
covenants about noise levels, keeping animals not erecting signs or other external additions. One
common covenant is covenant restricting the use of the premises regarding user.
The general rule at common law is that a tenant may use the demised premises for any lawful
purpose. The doctrine of waste prevents the tenant actively damaging the premises. And planning
legislation and statutory provisions which regard to over crowding imply certain restrictions unto
the tenant e.g. to use as private dwelling only for a particular type of business. In leases of
premises such as public houses or petrol stations, there could be a tie or solus agreement, by which
the tenant agrees to take all his supplies (beer or petrol as the case may be) from the brewery or
petrol company which is letting the premises to him.1616
This obligation emphasizes use of premises for lawful purpose and therefore helps to curb ulterior
intentions which were not permitted, some habits can be destructive to the image and life span of
the property e.g. by using houses meant for dwelling, for weight lifting exercises or using a shop
intended premise as a brothel of prostitutes. Also, some health hazards due to over crowding or
using animal intended houses for people to stay in are reduced. This promotes good health
concerns and consequently reduces on unnecessary expenses of reconverting the premises to the
original intended use, theses savings made can be used in other investments and therefore leading
to development.
1414
Pennial V. Harborne (1848) 11 QB 368
1515
[1953] 2 ALLER 1118, at 1121[1954] 1 QB 15, at 20
1616
Although note that in certain circumstances such as provision might now be void under Art 81 of the
E C treaty, See Passmore V. Morland [1999] 1 EGLR.
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Rights of a lessee.
On the other hand, the relationship between landlord/tenant or lessor, and lessee is a reciprocal
arrangement and therefore what appears to be rights of a lessee are the obligations of the lessor and
are here in discussed as follows;
Right to possession and use.
The lessee has a right to occupy and use the leased property for the agreed purpose without
interference from the lessor, provided they comply with the lease terms. 1717 The Constitution of
the Republic of Uganda together with the Land Act guarantee ownership of land under leasehold
tenure system and also affirm that non-citizens can only own land in Uganda under leasehold
tenure system.
Generally, the tenant can use the premises for any lawful purpose whether it is different from the
originally contemplated except there is a covenant expressly and prohibitively restricting use in a
particular manner.
Right to Quiet Enjoyment.
Lessees have the right to peacefully and undisturbedly enjoy the use of the leased property
without interference from the lessor or others. This implies that the landlord, and those claiming
through him/her, will not interfere with the tenant’s possession.1818
A case in place is one of OPINYA V. MUKASA,1919 the landlord, sought to forcibly evict his
tenant by removing the roof from the premises. The court found the landlord liable for breach of
covenant of quiet enjoyment and awarded punitive damages because of the high handed, manner
of the landlord’s interference with the tenant’s possession right.
Also in the case of Lavender v Betts.
Disturbance was held where the landlord with a view to ejecting the tenant removed the doora and
windows of the demised premises.
1717
See Article 237(3) of the Constitution of the Republic of Uganda and Section 2 of the Land Act Cap 236.
1818
A.M Dharas and Sons Ltd V. Elys Ltd [1963] E. A 573.
1919
C.C No. 167 of 1964, High Court Digest, P.514
7
Right to Habitability.
Residential lessees have the right to occupy a property that meets basic health and safety standards
and basically from the commencement of the tenancy. 2020 The lessor is usually responsible for
maintaining habitable conditions.
At common law apart from express agreements, the landlord, has no obligation to provide
premises that are fit for human habitation,2121 but where premises are rented fully furnished,2222
the common law implies against the landlord that the premises are fit for human habitation, 2323
even then the covenant is only implied at the beginning of the lease and not throughout the term.24
24 Premises are unfit for human habitation if they are in such a state that they pose a risk of
personal injury or to hygene.2525
Non-derogation from grant.
The purpose for which the land was let must not be made impossible to perform/use by the
landlord. Therefore, the lessor(landlord) should not impose or interfere with the land so that the
original purpose of the lease is impeded.
In the case of Browne v Fowler.2626
It was stated that, “if the grant or demise be made for a particular purpose, the grantor or lessor
comes under an obligation not to use the land retained by him in such a way as to render the
land granted or demised unfit or materially less fit for the particular purpose for which the
grant or demise was made.”
In thus same case, it was held that an infringement of the covenant only exists if the property is “r
endered unfit or materially less fit to be used for the purpose for it was demised.”
In the case of Aldin v Latimer Clark, muirhead & Co.2727
The land which was leased to a tenant for the purpose of carrying on business of a timber
merchant, and landlord proceeded to erect buildings on adjoining land in such a way as to interrupt
the free flow of air to the tenant’s drying sheds.
Court held that damages were recoverable against the landlord’s assigns for the breach of the
implied covenant.
2020
Collins V Hopkins.
2121
Cruse V. Mount (1932) ALLER 781
2222
See Sands V. Mutual Benefits Ltd (1971) ALLER 781
2323
Cruse V. Mount (Supra)
2424
Sarson V. Roberts [1895] 2 Q.B 395
2525
Summers V. Salford Corporation [1943] A.C 283
2626
[1913] 1 Ch 219.
2727
[1894] 2 Ch437.
8
Right to know the material defect in the property.
The landlord must disclose to the tenant any material defect in property which is within his
knowledge, this promotes health of tenant by making him/her aware of such defects which could
be injurious to one’s health.
Right to fair rent and protection from unfair eviction.
A landlord cannot arbitrarily increase rent or evict a lessee without following the proper legal
procedures. The Landlord and Tenant Act provides that rent increments must be reasonable and
justified. Section 26(2) of the act, requires a landlord to a give tenant at least sixty days’ notice
before an increment of rent.
In Alibhai v Bukenya2828
the court of Appeal held that eviction must follow due pross, including proper notice and
adherence to contractual obligations.
Right to Renew or Extend Lease.
If the lease agreement allows, lessees may have the right to renew or extend the lease for an
additional term.
Right to Redress Grievances.
Lessees have the right to address and seek redress for grievances, such as maintenance issues or
disputes, through legal means or mechanisms defined in the lease agreement.
Right to Sublease or Assign. (If allowed in the lease agreement)
Unless the lease prohibits it, a lessee can assign(transfer) their lease to another party or sublet part
of the premises provided it does not contradict the lease terms.
Conclusion
In conclusion the rights and obligations of the lessee/tenant cannot be under estimated as rightly
discussed above every part it has a consequential effect of improving the life and well being of the
tenant, however for them to function properly they need to be joined with the rights and
obligations that undergo with the landlord/lessor. And by so doing, society at large would be
positively influenced thus leading to full social economic development.
BIBLIOGRAPHY
2828
Civil appeal No. 16 of 2000.
9
1. The Constitution of the Republic of Uganda.
2. Registration of Titles Act Cap.240
3. The Land Act Cap 236
4. The Landlord and Tenant Act Cap 238
5. E.H. Burn, Cheshire and Burns Modern Law of Real Property
15th Edition, Butterworths (1994)
6. John Stevens and Robert Pearce; Land Law
Sweet and Maxwell’s Text book Series
7. John T. Mugambwa; Principles of Land Law in Uganda
Fountain publishers Ltd, Kampala Uganda.
10