Section 241 — Property Law Act 2007: Transferor or assignor remains liable

241 Transferor or assignor remains liable (1) If there has been a transfer or assignment of a lease, the transferor or assignor remains liable to the lessor for— (a) the payment of the rent payable under the lease; and (b) the observance and performance of all covenants of the lessee. (2) However, if, without the consent of the transferor or assignor, the transferee or assignee agrees with the lessor to vary the lease, the variation does not increase the liability of the transferor or assignor beyond that provided for by the lease at the time of the transfer or assignment. (3) Subsection (1) does not apply to a covenant that, immediately before the transfer or assignment, was not binding on the lessee, or on the lessor, as the case requires. (4) Subsection (2) does not apply if the lease provides for the variation.