Inducement Q1


Inducement is a common occurrence in tenancy. Below is a case for consideration.

Nuru is considering renting a property from Mdm Teo for a three (3) year period. One of Mdm Teo's covenants in the tenancy states that, "All the air-conditioning units shall be serviced every year by the tenant". AhMeng as an estate agent tells Nuru that if she signs the tenancy, Mdm Teo will be satisfied if the air-conditioning units are serviced at the end of the tenancy period. Nuru is thus induced to sign the tenancy.

Discuss whether Nuru is bound by the covenant to have the air-conditioning units serviced every year instead of end of tenancy (third year).

(20 marks)

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