Section 40 — Property Law Act 2007: Purchaser of lease must treat lease conditions as having been observed if vendor produces copy of rent receipt

40 Purchaser of lease must treat lease conditions as having been observed if vendor produces copy of rent receipt (1) This section applies to an agreement for the sale and purchase of a leasehold estate or interest in land if the vendor produces for the purchaser a copy of a receipt for the payment of the instalment of rent under the lease or sublease last due before the time of settlement. (2) The purchaser must, in the absence of evidence to the contrary and unless the agreement provides otherwise, treat the copy of the receipt as establishing that the following have been done so far as they are required to be done up to the time of settlement: (a) the vendor has paid all rent due under the lease and has performed and observed all covenants and conditions of the lease; and (b) if the sale is of an interest under a sublease, all rent due under every superior lease has been paid and all covenants and conditions of every superior lease have been performed and observed. Compare: 1952 No 51 s 52(b)(v)