Landlord and Tenant - L1 Flashcards
What information do you require from the client at commencement of the instruction?
Agreed ToE
Understanding of client’s objectives and strategy
A copy of existing lease and any other supporting information
Copies of any licences
Copy of RRM
Contact details of landlord/tenant to arrange inspection
Confirmation of which party will be responsible for the services of notices
A copy of property management file
Details of any comparable rental evidence relating to a similar property held by the client
Fees for rent reviews or lease renewals can be based upon what?
1) A fixed fee
2) Incentivised fee
3) An hourly rate
What does ‘Without Prejudice’ mean?
During the period of negotiations the opposing party can’t rely upon any document/discussions held which are labelled ‘Without Prejudice’ in litigation
What is the case law surrounding the difference between a lease vs a licence?
Street Vs Mountford (1985)
What is a licence?
A right to enter a property
A personal arrangement between the licensors and licensee
Requires no interest in the property
What are the requirements of a lease?
1) Exclusive occupation
2) Payment of rent
3) Specified term
4) If more than 3 years, the term must be in writing signed as a deed
NB - If exclusive possession is granted of a defined area for over 6 months it is likely to be a lease
What are the differences between a lease and a licence?
1) Lease provides an occupier with an estate in the relevant land whereas a licence is a permission to make it lawful for them to use the land
2) A lease can be assigned - a licence is normally a personal right
3) A lease can’t be terminated until it expires, unless there is a break clause. A licence can usually be revoked at any time
What is a tenancy at will?
A form of licence created by a written agreement for an unspecified time in which the landlord may evict the tenant at any time. It is not a legal interest in the land and has no renewal right
What are the grounds where a landlord can oppose a new lease?
a) breaching a repairing covenant
b) persistent delay in rent payments
c) other substantial breach
(a-c) fault-based grounds
d) provide suitable alternative accommodation
e) uneconomic subdivision (compensation payable)
f) demolition or reconstruction (compensation payable)
g) owner occupation (compensation payable)
When is compensation payable on the grounds of opposition?
a-e discretionary and the courts will decide if reasonable
f-g mandatory
(f) Redevelopment - landlord must prove intention
(g) Owner occupation - landlord must have owned property for 5 years and prove intention to occupy
What is S.24 of the Act?
A tenant whose lease has expired but they remain in occupation is said to be ‘holding over’. S.24 covers continuation tenancies.
What is S.25 of the Act?
Landlord’s notice served with a date not more than 12 months and not less than 6 months before the date for the termination of the tenancy to be specified.
What is a non-hostile and hostile notice?
Under S.25 a non-hostile notice is where the landlord is prepared to grant a new lease and the proposed terms of the new lease must be stated to include the new rent.
A hostile notice is where the landlord opposes a new lease and the grounds of opposition must be stated.
When would a tenant lose security of tenure?
If you undertake lease renewal negotiation and you pass the date for a new lease/termination as stated in the S.25/26.
It is lost unless:
1) there is a new lease in place
2) either party has applied to court
3) the parties have agreed in writing to an extension of the deadline to apply to court for a new tenancy
What is included in a S.25 notice?
Name and address of landlord and tenant
Address of the property
Notice of the date to end a tenancy
Confirmation of whether a new lease is being granted or opposed
Confirmation of the date by which the tenant must ask the court for a new tenancy
Proposed rent
The grounds for opposition
