Section 55Part 5 — Dispositions
Lessor's right of forfeiture and effect of forfeiture of subleases
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55. (1) Subject to section 57 and to any provision to the contrary in the lease, the lessor shall have the right to forfeit the lease if the lessee —
commits any breach of, or omits to perform any agreement or condition on his part expressed or implied in the lease;
is adjudicated bankrupt; or
being a company, goes into liquidation.
The right of forfeiture may be —
exercised, where neither the lessee or any person claiming through or under him is in occupation of the land, by entering upon and remaining in possession of the land; or
enforced by action in the court.
The right of forfeiture shall be taken to have been waived if —
the lessor accepts rent which has become due since the breach of agreement or condition which entitled the lessor to forfeit the lease or has by any other positive act shown an intention to treat the lease as subsisting; and
the lessor is or should by reasonable diligence have become aware of the commission of the breach:
the acceptance of rent after the lessor has commenced an action in the court under subsection (2) shall not operate as a waiver.
The forfeiture of a lease shall terminate every sublease and every other interest appearing in the register relating to that lease, but —
where the forfeiture is set aside by the court on the grounds that it was procured by the lessor in fraud of the sublessee; or
where the court grants relief against the forfeiture under section 57, every such sublease and other interest shall be deemed not to have terminated.