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Legal Aspects of Property Development Stage 1 The 1995 Landlord and Tenant (Covenants) Act 1995 (LTCA 1995) abolished the doctrine of privity of contract in respect of new tenancies. This means that all leases created on or after the 1st January 1996 have abolished the doctrine of privity of contract. Therefore leases created on or after the 1st January 1996 are often referred to as 'new leases' and leases created before the 1st January 1996 are often referred to as 'old leases'. Before the LTCA 1995 came in to force, the doctrine of privity of contract stated that the original tenant remained liable for the covenants contained in the lease for the entire term of the lease and the tenant was also liable when he assigned the lease. This means that the tenant was still liable for a breach of covenant after he has assigned the lease. For example if a tenant entered...

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