Landlord and Tenant Act, 1931

Covenants against alienation.

56.—(1) Every lease (whether made before or after the passing of this Act) of a tenement which contains a covenant, condition, or agreement absolutely prohibiting or restricting the alienation, either generally or in any particular manner, of such tenement shall have effect as if such covenant, condition, or agreement were a covenant, condition, or agreement either (as the case may be) prohibiting or restricting the alienation, either generally or in any particular manner, of such tenement without the licence or consent of the lessor.

(2) In every lease (whether made before or after the passing of this Act) of a tenement in which there is contained or in which there is implied by virtue of the Act of the late United Kingdom Parliament passed on the 5th day of May 1826 and entitled “an Act to amend the Law of Ireland respecting the Assignment and Sub-letting of Lands and Tenements”, or by virtue of the foregoing sub-section of this section a covenant, condition, or agreement prohibiting or restricting the alienation, either generally or in any particular manner, of such tenement without the licence or consent of the lessor, such covenant, condition, or agreement shall, notwithstanding any express provision to the contrary, be deemed to be subject—

(a) to a proviso that such licence or consent shall not be unreasonably withheld, but this proviso shall not preclude the lessor from requiring payment of a reasonable sum in respect of legal or other expenses incurred by him in connection with such licence or consent; and

(b) where such lease is made for a term of more than forty years and is made in consideration wholly or partially of the erection or the substantial addition to or improvement or alteration of buildings, to a proviso to the effect that, in the case of any alienation of such tenement in contravention of such covenant, condition or agreement effected more than seven years before the end of such term, no such licence or consent shall be required if notice in writing of the transaction is given to the lessor within one month after the transaction is effected; and

(c) where such alienation would cause a transfer or increase of any rates, taxes, or other burden to or of the lessor, to a proviso that all expenditure incurred by the lessor by reason of such transfer or increase shall be reimbursed by the lessee to the lessor as and when so incurred and shall be recoverable from the lessee by the lessor as rent under such lease.