Bankruptcy.

Underlease.

Underlease for the whole term.

(d) Stat. 27 & 28 Vict. c. 112; ante, p. 85.

(e) Stat. 32 & 33 Vict. c. 71, s. 23.

(f) Sect. 24.

(g) See Sugd. Concise Vendors, 482; Cottee v. Richardson, 7 Ex. Rep. 143.

(h) Palmer v. Edwards, 1

Doug. 187, n.; Parmenter v. Webber, 8 Taunt. 593; 2 Prest. Conv. 124; Thorn v. Woollcombe, 3 B. & Adol. 586; Langford v. Selmes, 3 K. & J. 220, 227; Beaumont v. Marquis of Salisbury, 19 Beav. 198, 210; Beardmore v. Wilson, L. R, 4 C. P. 57.

No distress can be made.

(i) Poultney v. Holmes, 1 Strange, 405; Preece v. Carrie, 5 Bing. 27; Pollock v. Stacy, 9 Q. B. 1033.

(j) Stat. 29 Car. II. c. 3, s. 3; ante, p. 385.

(k) Stat. 8 & 9 Vict. c. 106, s. 3; ante, p. 385.

(l) Bac. Abr. tit. Distress (A);

----v. Cooper, 2 Wilson, 375;

Preece v. Carrie, 5 Bing. -I; Pascoe v. Pascoe, 3 Bing. N. C.

(m) Ante, p. 314.

(n) Litt. sect. 213.

(o) Barrett v. Ralph, 14 M. & W. 348, 352.

(p) Ante, p. 314.

(q) linker v. Gostling, 1 Bing. N. C. lit.

(r) Williams v. Hayward, Q. B., 5 Jur., N. S. 1417; 1 Ellis & Ellis, 1040.

(s) Stat. 4 Geo. II. c. 28, s. 5; ante, p. 318.

Every underlessee becomes tenant to the lessee who grants the underlease, and not tenant to the original lessor. Between him and the underlessee, no privity is said to exist. Thus the original lessor cannot maintain any action against an underlessee for any breach of the covenants contained in the original lease (a). His remedy is only against the lessee, or any assignee from him of the whole term. The derivative term, which is vested in the underlessee, is not an estate in the interest originally granted to the lessee : it is a new and distinct term, for a different, because a less, period of time. It certainly arises and takes effect out of the original term, and its existence depends on the continuance of such term, but still, when created, it is a distinct chattel, in the same way as a portion of any moveable piece of goods becomes, when cut out of it, a separate chattel personal.

If a married woman should be possessed of a term of years, her husband may dispose of it at any time during the coverture, either absolutely or by way of mortgage (y); and in case he should survive her, he will be entitled to it by his marital right (z). But if he should die in her lifetime it will survive to her, and his will alone will not be sufficient to deprive her of it (a). And now by the Married Women's Property Act, 1870, where any woman married after the 9th of August, 1870, the date of the act, shall during her marriage become entitled to any personal property (which would seem to include leaseholds) as next of kin or one of the next of kin of an intestate, such property shall, subject and without prejudice to the trusts of any settlement affecting the same, belong to the woman for her separate use (b).

No privity between the lessor and the underlessee.

Derivative term is not an estate in original term.

Husband's rights in his wife's term.

(t) Pascoe v. Pascoe, 3 Bing. N. C. 905.

(u) See------v. Cooper, 2 Wils.

375; Langford v. Selmes, 3 K. & J. 220; Smith v. Watts, 4 Drew. 338; Wills v. Cattling, Q. B., 7 W. R. 448; Burton's Compendium, pl. I l l 1.

(x) Holford v. Hatch, 1 Dougl.

(y) Hill v. Edmonds, 5 De Gex & S. 603, 607.

(z) Co. Litt. 46 b, 351 a.

(a) 2 Black. Com. 434; 1 Rop. Husb, and Wife, 173,177; Hoe d. Shaw v. Steward, 1 Ad. & Ell. 300; as to trust term, Donne v. Hart, 2 Russ. & Mylne, 360; see also Hansom. Keatingt 4 Hare, 1; Duberly v. Day, Rolls, 16 Jurist, 581; S.C. 16 Beav. 33.

In many cases landlords, particularly corporations, are in the habit of granting to their tenants fresh leases, either before or on the expiration of existing ones. In other cases a covenant is inserted to renew the lease on payment of a certain fine for renewal; and this covenant may be so worded as to confer on the lessee a perpetual right of renewal from time to time as each successive lease expires (c). In all these cases the acceptance by the tenant of the new lease operates as a surrender in law of the unexpired residue of the old term : for the tenant by accepting the new lease affirms that his lessor has power to grant it; and as the lessor could not do this during the continuance of the old term, the acceptance of such new lease is a surrender in law of the former. But if the new lease be void, the surrender of the old one will be void also; and if the new lease be voidable, the surrender will be void if the new lease fail (d). It appears to be now settled, after much difference of opinion, that the granting of a new lease to another person with the consent of the tenant is an implied surrender of the old term (e). Whenever a lease, renewable either by favour or of right, is settled in trust for one person for life with remainders over, or in any other manner, the benefit of the expectation or right of renewal belongs to the persons from time to time beneficially interested in the lease; and if any other person should, on the strength of the old lease, obtain a new one, he will be regarded in equity as a trustee for the persons beneficially interested in the old one(f). So the costs of renewal are apportioned between the tenant for life and remainder-men according to their respective periods of actual enjoyment of the new lease (g). Special provisions have been made by parliament for facilitating the procuring and granting of renewals of leases when any of the parties are infants, idiots or lunatics (h). And the provision by which the remedies against under-tenants have been preserved, when leases are surrendered in order to be renewed, has been already mentioned (i). More recently provisions have been made by parliament enabling trustees of renewable leaseholds to renew their leases (k), and to raise money by mortgage for that purpose (l). Provisions have also been made for facilitating the purchase by such trustees of the reversion of the lands, when it belongs to an ecclesiastical corporation, and for raising money for that purpose by sale or mortgage (m); also for the exchange of part of the lands, comprised in any renewable lease, for the reversion in other part of the same lands, so as thus to acquire the entire fee simple in a part of the lands instead of a renewable lease of the whole (n).