Supersession in Dilapidations: What It Means for Landlords and Tenants

Supersession in dilapidations is a crucial concept in commercial lease negotiations and end-of-lease property disputes.

It can significantly impact how much a landlord can claim and what a tenant is liable for, particularly when refurbishment or redevelopment works are involved.

In this article, we break down what supersession means, how it is applied in practice, and what both landlords and tenants should consider when dealing with dilapidations claims.

What is Supersession in Dilapidations?

Supersession occurs when a landlord’s plans to alter, refurbish, or redevelop a property override a tenant’s repair obligations. If a landlord carries out works that make certain tenant repairs redundant or irrelevant, they may not be able to recover the cost of those repairs through a dilapidations claim.

For example, if a landlord demolishes internal walls that were in disrepair at lease end, the cost of repairing those walls is likely superseded by the demolition, meaning no compensation is due.

The Legal Basis for Supersession

The legal foundation for supersession in dilapidations stems from key case law and statutory guidance :

Joyner v Weeks (1891) – early case law establishing that tenants may be liable for repairs unless the landlord's actions negate that need.

Ruxley Electronics v Forsyth (1996) – established that damages should reflect actual loss, not simply the cost of repair.

Sunlife Europe v Tiger Aspect (2013) – confirmed that where redevelopment works render tenant repairs unnecessary, costs may be superseded.

These cases emphasise that landlords can only recover damages where they have genuinely suffered a loss due to the tenant’s breach — not where their own works would have addressed the same issues anyway.

Supersession and Section 18 of the Landlord and Tenant Act 1927

Section 18(1) of the Landlord and Tenant Act limits a landlord’s claim to the lower of :

The reasonable cost of the repairs, or

The diminution in value of the property caused by the disrepair.

When supersession applies, there is often no meaningful diminution in value.

For example, a landlord might demolish outdated fixtures as part of a new fit-out, in which case the tenant's failure to repair those fixtures becomes irrelevant.

Examples of Supersession in Practice

1. Repaired Ceiling Later Removed

A tenant leaves behind damaged ceiling tiles. The landlord replaces the entire ceiling with an exposed industrial design. The original disrepair is superseded—no claim is valid.

2. Redecoration Superseded by Refurbishment

If a tenant fails to repaint but the landlord reconfigures the space entirely, redecoration obligations may be superseded.

3. Reinstatement of Alterations

A lease requires the tenant to remove partitioning, but the landlord’s redevelopment plan includes demolishing the partitions. Reinstatement costs may be non-recoverable.

How Landlords Can Protect Against Supersession in Dilapidations

To reduce the risk of supersession weakening a dilapidations claim, landlords should :

Document intent to carry out specific works in response to disrepair.

Instruct a dilapidations survey before works commence.

Avoid starting major works before serving or negotiating the claim.

Commission a Section 18 valuation to demonstrate loss.

Strategic planning and clear documentation are essential to prevent tenants from arguing that breaches were rendered irrelevant by planned upgrades.

How Tenants Can Use Supersession in Dilapidations as a Defence

Tenants can protect themselves against inflated dilapidations claims by :

Investigating the landlord’s plans for the property post-lease.

Requesting disclosure of planning applications, fit-out plans, or contractor quotes.

Challenging claims based on works the landlord would carry out anyway.

Using Section 18 valuations to demonstrate minimal or no diminution in value.

A well-prepared tenant can significantly reduce their exposure to dilapidations costs by leveraging the principle of supersession effectively.

Timing and Evidence: The Key to Supersession in Dilapidations

Timing is critical.

Courts will look at whether the landlord had actual, documented plans to redevelop or refurbish the premises before the lease ended. Speculative or retrospective claims are far less likely to succeed.

Tenants seeking to rely on supersession must show that the landlord’s works were planned independently of their disrepair—while landlords must demonstrate that the works were driven by the tenant’s breaches if they hope to claim costs.

Relevant Case Law Summary

Sunlife v Tiger Aspect (2013) - Supersession upheld due to pre-existing refurbishment.

Hanson v JGP Security (2010) - Supersession not automatic; landlord’s true intent matters.

Capita v Transport for London (2004) - Cosmetic works superseded by tenant-specific upgrades.

Conclusion: Understand Supersession to Avoid Disputes

Supersession in dilapidations is not just a legal technicality—it can dramatically affect the financial outcome of a claim. Whether you’re a landlord seeking to recover repair costs, or a tenant defending against an overstated schedule, understanding supersession is essential.

Proper advice, early planning, and robust documentation are key to managing supersession issues effectively.

Need Help With Supersession or Dilapidations Claims?

At Anstey Horne, our expert dilapidations surveyors help landlords and tenants across the UK with clear, strategic advice.

From preparing Section 18 valuations to negotiating complex claims, we’re here to support your objectives.

Contact

Our expert team have extensive experience of dealing with all dilapidations matters. We act for both landlords and tenants, ensuring a global approach to the dilapidations process.

Also see our recent Dilapidations Glossary of Key terms for further information.

We assist commercial landlords and tenants on all aspects of lease obligations, repair and dilapidations.

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For any help or advice on repair obligations, Dilapidations issues; or to commission a schedule of condition for a new lease call us on 020 4534 3132 or contact one of the team :