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Issues: Whether the lessees retained any right to remove structures erected on the demised premises after the tenancy ended, and whether the attachment levied on those structures could therefore be raised.
Analysis: The correspondence between the parties was treated as an agreement to lease and, though unregistered, was relied upon only for the collateral purpose of determining the terms of the tenancy. On those terms, the tenants were bound to deliver possession at the determination of the tenancy, while clause 15 gave them a right to remove structures or sheds erected during the tenancy on its determination. That contractual arrangement was held to exclude the default rule in Section 108(B)(k) of the Transfer of Property Act. The right, if any, had to be exercised by the time the tenancy ended, and in any event within a reasonable time thereafter. As the tenants had gone out of possession and had not removed the structures within that time, they lost all right, title and interest in them.
Conclusion: The attachment could not stand and had to be raised; the application succeeded and costs were awarded to the applicants.
Final Conclusion: A tenant's contractual right to remove structures erected during the tenancy must be exercised within the time allowed by the contract or, at the latest, within a reasonable time after termination while the tenant remains entitled to act; failing that, the tenant loses all interest in the structures and they are not available to attachment.
Ratio Decidendi: Where a tenancy agreement provides for removal of tenant-erected structures on determination of the tenancy, the tenant must exercise that right in accordance with the contract and cannot retain any enforceable interest after the time for removal has passed.
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