Leasehold interests used to create a significant problem for personal representatives because, if the deceased was the original tenant or the original landlord under a lease, the personal representatives would have continued to be liable on the covenants in a lease even after assignment of the lease to a beneficiary or to a purchaser. The position has been altered in relation to ‘new tenancies’, i.e. tenancies entered into after 1 January 1996.3

For leases entered into before 1 January 1996 protection is provided by TA 1925, s. 26. Section 26 protects any personal representative who is liable:

(a)for any rent, covenant or agreement contained or reserved in a lease;

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