Question
P owns a commercial property which he leases to Q to operate a liquor business for a two-year period. Q does not have a liquor
P owns a commercial property which he leases to Q to operate a liquor business for a two-year period. Q does not have a liquor license and both P and Q know that it is illegal to operate a liquor business without a liquor license. P is also aware that Q does not have a liquor license to sell liquor. In accordance with the relevant statutory legislation, an agreement of lease concluded to operate a liquor business without the lessee having the requisite liquor license is illegal, and this statute renders such an agreement as being void. Q operates his liquor business from this premises for a period of six months and then he suddenly vacates the premises without giving any explanation to P. After vacating the premises, Q sends a letter of demand to P, claiming the six months rental he paid P for the time he occupied the premises. In this letter he states that the basis for his claim is that the lease agreement which he concluded with P was an illegal agreement, and therefore P was not entitled to receive any rental for the period Q occupied the premises. Will Q succeed with his claim against P for the return of all the rental he paid during the six-month period that he occupied the premises? Discuss fully and refer to case law in your answer. Do not apply the Consumer Protection Act 68 of 2008. (20)
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