Section 242 — Property Law Act 2007: Covenant implied in transfer or assignment of lease

242 Covenant implied in transfer or assignment of lease (1) Every transfer or assignment of a lease must be taken to contain a covenant by the transferee or assignee with the transferor or assignor that, on and after the date of the transfer or assignment, the transferee or assignee will— (a) pay the rent payable under the lease as and when it falls due; and (b) observe or perform every other covenant of the lessee; and (c) indemnify the following persons against all claims and expenses for the non-payment of the rent or the breach of any other covenant of the lessee: (i) the transferor or assignor and anyone claiming through the transferor or assignor: (ii) any previous transferor or assignor. (2) Subsection (1)(c)(ii) applies whether— (a) the transfer or assignment of the lease by the previous transferor or assignor came into operation before, on, or after 1 January 2008; and (b) the non-payment of rent or the breach of any other covenant of the lessee results from an act or omission of— (i) the transferee or assignee; or (ii) a successor in title of the transferee or assignee.