An independent RES exam study resource — not a Government website and not affiliated with the Council for Estate Agencies (CEA).Find My OrderHow to identify official CEA sources
Browse Papers
Home / Free RES questions / Assignment sublet and reversion
← All assignment sublet and reversion questions

An assignment or a sublet leaves the outgoing tenant liable

A worked RES examination question on assignment sublet and reversion, from our Paper 1 bank — with the rule it turns on, and why each of the four options is right or wrong.

Paper 1Lesson 7Assignment sublet and reversionFree — no sign-up

The question

Ms Kwek wants to hand the unit to Mr Devar and be fully released for the rest of the term. What best achieves this?

  1. A. Nothing, a retail tenant never being able to leave before the end of the term.
  2. B. A subletting from Ms Kwek to Mr Devar, leaving Ms Kwek still liable to Greenfield.
  3. C. An assignment of the lease by Ms Kwek, which keeps her liable to Greenfield as before.
  4. D. A novation, signed by Greenfield, Ms Kwek and Mr Devar, discharging Ms Kwek.

The answer, and why

Answer: D

The rule. To substitute a new tenant and fully release the outgoing one, a novation is used, signed by landlord, outgoing tenant and incoming tenant. An assignment or a sublet leaves the outgoing tenant liable.

Why D is correct. A novation signed by Greenfield, Ms Kwek and Mr Devar would discharge Ms Kwek and put Mr Devar in her place — the full release she wants.

The other options.

  • B uses a sublet, leaving Ms Kwek liable.
  • C uses an assignment, which also keeps her liable.
  • A says she can never leave early. Novation lets her.

Exam note. Full release of a tenant needs a novation signed by all three. Assignment and subletting keep her liable.

More on Assignment sublet and reversion

Read all Assignment sublet and reversion questions on one page →

Want a full paper instead of one question?

The free half-paper is 20 questions with a Section B case study, explained to this same depth. The paid sets are ten full 80-question papers across Paper 1 and Paper 2, every figure checked against the current IRAS, CEA, HDB, URA and SLA position.

Free 20-question paperThe papers in PDF

Looking for past-year papers? CEA doesn't publish them — here's what it does publish.

Independent study material. Not affiliated with or endorsed by the Council for Estate Agencies. No pass guarantee — for study use only.