The reform of proprietary aspects of leases is included in our Tenth Programme of Law Reform (paras 2.10-2.16). The project has proceeded in stages, focusing on those areas of the law which are most in need of reform. We have concentrated primarily on commercial leases, since residential, agricultural, crofting and allotment leases are already subject to significant statutory regulation.
Aspects of Termination
Following an initial scoping exercise, assisted by contributions from members of our Advisory Group at a meeting in September 2017, we have considered issues relating to the termination of leases.
Our Report on Aspects of Leases: Termination, incorporating a draft Leases (Automatic Continuation etc.) (Scotland) Bill, was published on 5 October 2022.
The Report recommends the replacement of the existing common law of tacit relocation(together with certain much-criticised 19th and early 20th century statutory provisions)with a modern statutory code governing the automatic continuation of commercial leases at their termination date. It also recommends various additional reforms relating to the procedures by which such leases can be terminated before as well as at their termination dates.