Article 2.2.5 Leases

(a) Leases Generally: A lease shall bind successors in title to the lessor, and confer legal rights on the lessee enforceable against subsequent proprietors.

(b) Legal Effect of Registered Leases:

(i) All leases may be registered in the ICT Land Registry, regardless of duration.

(ii) Where the duration of a real property lease is for a life or lives, or for a term of more than 5 years, it shall be registered on the ICT Land Registry to enjoy the full legal effect and protections under the ICT Code, including potentially competing lease claims, enforceability against successors in title to the lessor, constructive notice to third parties, and access to any additional rights or benefits conferred by the Operator or this ICT Code.

(iii) A registered lease shall take subject to any prior registered interest unless the lease is expressly granted priority or the superior interest-holder has consented in writing. Any inconsistency between a lease and a registered easement, covenant, or mortgage shall be resolved in accordance with this ICT Code or by order of the ICT Court.

(iv) Where a party has relied in good faith on an unregistered lease and incurred material cost or detriment in doing so, the ICT Court may provide equitable relief where necessary to prevent manifest injustice, consistent with principles of legal fairness and reliance.

(v) Where a lease is granted over real property subject to a registered mortgage or security interest, it shall not bind the mortgagee unless: the mortgage instrument permits such leases; the mortgagee consents; or the lease was granted prior to the mortgage and duly registered.

(c) Form and Execution of Lease Instruments:

(i) A lease of real property within the ICT may be entered into in any form agreed between the parties and shall be valid and enforceable as between those parties.

(ii) All registered lease instruments shall identify:

1. The real property or interest being leased with sufficient specificity;
2. The term and commencement date;
3. The identities of the lessor and lessee;
4. Any rights of renewal, assignment, sublease, termination, or variation; and

5. Any registered encumbrances, easements, or covenants affecting the lease.

   (iii) Only instruments lodged in an electronic or digital format approved by the Land Registrar may be registered in the ICT Land Registry. Lodgement may be made by the lessor, lessee, or authorised agent.

   (d) Variation, Assignment, and Subleases:

   (i) A registered lease may be varied, extended, renewed, or assigned by lodging an approved variation or assignment instrument.

   (ii) Subleases may be registered where permitted under the primary lease and shall comply with the same requirements as the primary lease.

   (iii) Any variation or assignment that materially alters the rights or obligations under a registered lease shall be recorded in the ICT Land Registry to have legal effect.

   (iv) No assignment or sublease shall be valid unless consent is obtained from the lessor unless specified otherwise under the lease terms.

   (e) Priority and Protection:

   (i) The priority of a registered lease shall be determined by the date of registration in the ICT Land Registry, unless expressly subordinated by agreement.

   (ii) Leasehold interests may be protected by caveat or priority notice pending registration.

   (iii) Registered leases may be subject to overriding interests as set out in this ICT Code or by regulation.

   (f) Improvements and Fixtures: Unless otherwise agreed and recorded in the lease, improvements or fixtures erected by the lessee shall be presumed to remain the property of the lessee during the lease term, but shall revert to the lessor upon termination subject to any agreement or regulation issued by the Operator.

   (g) Compliance and Termination: For registered leases, termination of such a lease shall be recorded in the ICT Land Registry to extinguish its legal effect, unless otherwise stipulated by law.