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Practical
s.28
s.38A

Park Cakes Ltd v Caterpillar Property Ltd

Unreported, County Court, March 2026 (M80LS041) · County Court · 2026

The question

Is an unexercised contractual option to renew an 'agreement for a future tenancy' under s.28, so that Part II protection falls away?

What was held

No. An option that has not been exercised is not a s.28 agreement. Protection continues unless the contracting-out formalities were properly completed.

Very recent first-instance decision, not yet tested on appeal.

For a landlord

Do not treat a renewal option in the lease as a substitute for contracting out — you need the s.38A procedure.

For a tenant

If your lease contains an unexercised option, you may still have full renewal rights. Check the s.38A paperwork.

The provisions this turns on

Apply it to your matter

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Case summary for general guidance only, not legal advice. Judgments turn on their own facts and later decisions may qualify them — check the primary transcript before relying on any point in correspondence or proceedings.