TNAG-0752-FCO40-956-Future-of-Hong-Kong-1979 — Page 110

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APPENDIX I

OPINION

Leases for an indeterminate term

1.

"A lease, as generally understood today, is a

document creating an interest in land for a fixed period

of certain duration, usually in consideration of the

payment of rent". This definition is taken from the

standard textbook, by Megarry and Wade, The Law of Real

Property (4th edition), p.613.

2.

This is elaborated in Hill and Redman's Law of

Landlord and Tenant (15th edition) at page 58 which states

....."But there must be a definite limit; there cannot be

a lease in perpetuity, except by virtue of Statute. An

instrument purporting to create a perpetual lease at a

rent would operate, if at all, as a conveyance in fee

simple, subject to a perpetual rent charge, or as an

agreement to convey such an estate".

3.

Authority for the above statement is found in

Sevenoaks, Maidstone and Tunbridge Railway Co v London

Chatham and Dover Railway Co (1879) 11 Ch.D.625 at 635.

Jessel M. R. said:

4.

"The maximum duration of the term must be either

fixed by specifying the number of years in the first

instance, or expressed by reference to a collateral matter

which can, at the time when the lease takes effect, be

looked to in order to ascertain precisely the latest date

on which the term must end". See Hill and Redman pp. 57-58.

15.

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