Tagged: CANCELLATION OF LEASE AGREEMENT

The facts in this case are not in dispute. The appellant (lessor) leased a piece of property known as the OAC compound to the appellee (lessee) on December 24, 2005, for a period of Twenty years (20) years, commencing from January 1, 2006 to December 31, 2026, for an annual rent of Three Thousand United States Dollars (US$3,000) payable at the beginning of each year. Clause Ten (10) of the lease agreement between the parties provides that in the event the leased property is assigned or subleased by the appellee to a third party, the appellant would be entitled to Twenty-Five Percent (25%) of the difference in the rent payable to the appellee under the sub-lease agreement and the rent payable by the appellee under the original lease agreement. Clause Six (6) of the lease agreement also provides that if the appellee fails to make rental payment within thirty (30) days of the beginning of a year, such failure shall be considered a material breach of the agreement and the appellant shall have the right to oust and or evict the appellee from the leased property.