Landlord & Tenant Flashcards

1
Q

Landlord and Tenant Act 1954

A

Part 1 - Security of Tenure for Residential Tenants
Part 2 - Security of Tenure for Business, Professional and other Tenants
Part 3 - Compensation for Improvements

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2
Q

Termination of a residential tenancy under the Landlord and Tenant Act 1954

A

The Landlord and Tenant Act 1954 allow for both Tenants and Landlords to terminate the tenancy:

Section 4 - Termination by the Landlord. The LL may give the Tenant notice using the prescribed form specifying the date on which the tenancy is to end. Being either the term date of the tenancy or any date thereafter. Providing a maximum notice of 12 month and a minimum of 6 months before the specified termination date.

Section 5 - termination by the Tenant. The Tenant may give the LL notice at the end of the term or anytime thereafter if the tenancy is holding-over, by providing non less than 1 months notice in writing.

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3
Q

Termination of a business tenancy under the Landlord and Tenant Act 1954

A

The Landlord and Tenant Act 1954 allow for both Tenants and Landlords to terminate the tenancy:

Section 25 - Termination by the Landlord. The lease will continue until the end of the contractual term, unless there is a break clause and the LL may give the Tenant notice using the prescribed form (section 25 notice) specifying the termination date. Providing a maximum notice of 12 month and a minimum of 6 months before the specified termination date.

Section 27 - Termination by the Tenant. The Tenant may give the LL notice no later than three months before the fixed term was due to come to an end.

The Tenant may also exercise break-clause rights and (if the Landlord agrees) the Tenant may surrender the lease, during the contractual term.

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4
Q

Why was Stable cottage let under two agreements?

A

It was let under the Landlord and Tenant Act 1954 and an Assured Short-hold Tenancy (Housing Act 1988) because the property exceeded the size limit for an AST. While the property could have been let as a whole under the L&T Act 1954, the Housing act 1988 provided greater flexibility. The commercial landlord and Tenant Act tenancy was also contracted out of Sections 24-28 which prevented the Tenant from benefiting from security and the right to renew.

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5
Q

What is the size limit for a property let under an AST (Housing Act 1988)?

A

A property can not be let under an AST where it consists more than 2 acres of agricultural land.

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6
Q

When can a property not be let under an AST?

A

A residential property can not be let under an AST where:

  • The annual rent is more than £100,000
  • The annual rent is less than £250 a year (£1,000 in London)
  • The fixed term is more than 3 years
  • The tenant is a company/business
  • Holiday Lettings
  • Where the property consists more than 2 acres of agricultural land
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7
Q

What terms lengths can you agree in relation to ASTs?

A

The minimum term for an AST is 6 months, and maximum of three years, agreements are typically for 12 or 24 months and become periodic thereafter.

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8
Q

Housing Act 1988

A

Part 1: Rented Accommodation

Chapter 1 - Assured Tenancies

Chapter 2 - Assured Short-hold Tenancies

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9
Q

When can a Section 21 notice be served?

A

A Section 21 Notice under the Housing act 1988 can be served by the Landlord to the Tenant to recover possession (no fault eviction) at any time after on on the date of the fixed term.

The Tenant must be given at-least 2 months notice in writing and the LL must have complied with Section 21 A and B for the Act. If the LL is in break/has not complied a Section 21 Notice can not be served.

Section 21 A - Compliance with prescribed legal requirements
- the condition of dwelling-houses or their common parts
- the health and safety of occupiers of dwellings
- the energy performance of the dwelling

Section 21 B - Requirements for Landlords to provide prescribed information
- A valid EPC (level E or higher - as of 1 April 2018/2020)
- EICR
- Gas Safety Certificate (if gas)
- How to Rent Guide
- A TDS Certificate (max 5 weeks rent, unless over £50,000 p.a. then its 6 wweks)

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10
Q

How else could a Housing Act Tenant be removed?

A

A Housing Act tenant could be removed using a Form 6A Notice (Notice seeking possession of a property let on an assured shorthold tenancy). The Landlord must specify on the notice which term/s of the tenancy the Tenant has broken. A minimum of 2 weeks and 2 months notice can be provided depending on which terms have been broken.

If the tenant does not leave by the specified date, the landlord can apply to the courts.

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11
Q

Agricultural Tenancies and dates

A

Post 1 September 1995 - Agricultural Tenancies Act 1995 tenancy
Prior to 1 September 1995 - Agricultural Holdings Act 1986 tenancy (with succession rights)
Post 12 July 1984 - Agricultural Holdings Act tenancy (with no succession rights)

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12
Q

When could an Agricultural Holdings Act 1986 tenancy be used?

A
  • The tenancy must have commenced before 1 September 1995
  • There must be ‘land’ (no minimum requirement and can include buildings
  • The land must be used for ‘Agriculture’
  • The land must be used for the purpose of trade or business
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13
Q

What constitutes ‘agriculture’ under the AHA 1986?

A

The Agricultural Holdings Act 1986 defines agriculture under Section 90;

‘horticulture, fruit growing, seed growing, dairy farming, livestock breading and keeping, the use of land as grazing land, meadow land, osier land, market gardens and nursery grounds, and the use of land for woodlands where that use is ancillary to the farming of land for other agricultural purposes’

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14
Q

Agricultural Holdings Act 1986

A

Part 1 - Introduction
Part 2 - Provisions Affecting Tenancy During its Continuance
Part 3 - Notices to Quit
Part 4 - Succession on Death or Retirement of Tenant
Part 5 - Compensation on termination of Tenancy
Part 6 - Market Gardens and Smallholdings
Part 7 - Misc and Supplemental

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15
Q

AHA Rent Reviews

A

Under the Agricultural Holdings Act 1986, either party may serve on the other a notice under Section 12 of the Act in writing a rent review notice.

Any new rent will be applied from the next termination date

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16
Q

How is the rent for an AHA tenancy determined?

A

The rent payable under Section 12 of the Act is calculated in accordance with Schedule 2 of the Act:

‘The rent properly payable in respect of a holding shall be the rent at which the holding might reasonably be expected to be let by a prudent and willing Landlord to a prudent and willing Tenant, taking into account all relevant factors, including the terms of the tenancy, the character and situation of the holding, the productive capacity of the holding and its related earning capacity, and the current level of rents for comparable lettings’

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17
Q

What is the relevant legislation you refer to?

A

Residential
* Housing Act 1988 & Housing Act 2006
* Rent Act 1977
* Rent (Agriculture) Act 1976

Agricultural
* Agricultural Holdings Act 1986
* Agricultural Tenancies Act 1995

Commercial
* Landlord and Tenant Act 1954

18
Q

Types of Residential Tenancies

A

Pre- 15 January 1989 - Regulated Tenancy (Rent Act 1977)

15 January 1989 to 27 February 1997 – Assured Tenancy

Post 27 February 1997 – Assured Shorthold Tenancy

19
Q

What is the difference between?
1) Assured Shorthold Tenancy
2) Assured Tenancy
3) Regulated Tenancy

A

The principal difference is the security of tenure

AST - LL can resume possession under s.21 without reason.

Assured Tenancies - T has lifetime security of tenure unless the LL can prove statutory grounds for possession under Schedule 2 of the Housing Act 1988.

Regulated Tenancies - LLs can only charge fair rents set by the rent officer and the T has lifetime security of tenure, with a right to up to one succession. LL can only gain possession if they can prove to court statutory ground for possession.

20
Q

Types of agricultural tenancies

A

Agricultural Holdings Act Tenancy under AHA 1986

Farm Business Tenancy under ATA 1995

21
Q

What are the differences?

A

Both must be primarily or wholly agricultural in nature.

Main differences:
* Start date
* Security of tenure
* Rent level

FBT –
* Commenced on or after 1 Sept 1995
* Freedom of contract – parties decide terms
* Fixed term / can include break dates to terminate

AHA –
* Commenced on or before 31 August 1995
* Lifetime security of tenure afforded to the tenant
* If commenced pre 12 July 1984 up to 2 successions subject to passing the eligibility and suitability test
* Rent formula - Schedule 2 of the AHA 1986

22
Q

What is the basis of an AHA rent review?

A

The AHA 86 prescribes that a rent is based on a number of factors:
* the terms of the tenancy
* character and situation
* productive capacity and
* related earning capacity, as well as
* current level of rents for comparable lettings.

Disregards tenant’s fixtures and improvements etc.

23
Q

Commercial Leases?

A

Landlord and Tenant Act 1954

For tenancies that are commercial in nature

24
Q

What is meant by contracting out?

A

The act offers the tenant automatic right to renew unless the parties agree to specifically contract out of sections 24-28 pre-commencement via service of a health warning.

25
Q

Landlord and Tenant Act 1954

A

Part 1 - Security of Tenure for Residential Tenants
Part 2 - Security of Tenure for Business, professional and other Tenants
Part 3 - Compensation for Improvements
Part 4 - Miscellaneous and Supplementary

26
Q

What is meant by contracting out?

A

The act offers the tenant automatic right to renew unless the parties agree to specifically contract out of sections 24-28 pre-commencement via serving a warning notice.

27
Q

What is the process for contracting out?

A

1) LL serves written warning notice on the proposed tenant 14 days prior to contractual start date confirming the statutory rights that the tenant is about to sign away.

2) After the 14 days the tenant makes a formal declaration confirming that it has read and understood the warning notice.

3) The parties then enter into the relevant lease, which must be endorsed with details of the warning notice and the tenant’s declaration

Alternatively a statutory declaration can be signed and witnessed by an independent solicitor. This is best practice and done when the lease is in its agreed final form and no further changes can be made.

28
Q

What is a licence?

A

A Licence is a personal permission to enter or use the property of another for a specific purpose. No exclusive possession.

29
Q

What is a lease?

A

A lease is a contractual arrangement whereby a tenant agrees to pay rent to a landlord for exclusive occupation of a property for a fixed term.

There must be an identifiable start date and certainty of duration.

30
Q

Street vs Mountford [1985]

A

Case from the House of Lords

Set out principles to determine whether someone who occupied a property had a lease, or only a licence.

Lord Templeman gave the leading judgment that to create a lease, there must be:

 A grant of exclusive possession
 Certain period of time
(identifiable start date and certainty of duration)
 Payment of rent (not always strictly enforced)

Mr Street (solicitor) gave Mrs Mountford (tenant) occupation of a flat but got her to sign to say they both parties entered into “contracting out” of the Rent Act 1977 and called it a licence.
Lord Templeman upheld that Mrs Mountford had a lease as she had exclusive possession.

31
Q

What is a Regulated Tenancy?

A

Residential tenancy that commenced before 15 January 1989
It is governed by the Rent Act 1977.

  • LLs can only charge fair rents set by the rent officer and
  • T has lifetime security of tenure
  • Right to up to two successions
  • LL can only gain possession if they can prove to court statutory ground for possession under Schedule 15 Part 1 (statutory grounds) and Part 2 (mandatory grounds) of the Rent Act 1977.
32
Q

The Agriculture (Model Clauses for Fixed Equipment) (England) Regulations 2015

A

Came into effect 1 October 2015

It contains model provisions for the maintenance, repair and insurance of fixed equipment for incorporation in every contract for tenancy of an agricultural holding to which the act applies - AHA 1986 and ATA 1995.

Schedule 1:
Part 1 - Rights and Liabilities of the Landlord
Part 2 - Rights and Liabilities of the Tenant

33
Q

Do regulated tenancies have succession rights?

A

Succession can take place if the tenancy commenced before 15 January 1989, to:

  1. Spouse or civil partner who resided w/ T immediately before death
    OR
  2. another family member if lived with w/ T for 2 years prior to death (becomes assured)

Second succession possible if:
3. first succession occurred before 15 January 1989
OR,
4. if the first successor after 15 January 1989 was a spouse/civil partner, then family member

34
Q

What is meant by ‘Fair Rent’?

A

It is the maximum rent a Landlord can charge as regulated by the Rent act 1977.

Section. 70 (Determination of Rent) of the Rent Act 1977:

In determining a fair rent, regard must be had to all the circumstances, but not to personal circumstances

Factors considered:

  1. age, character, locality, state of repair of the dwelling
  2. the quantity, quality and condition of any furniture provided for use under the tenancy
35
Q

What do you disregard when calculating the ‘Fair Rent’ of a Rent Act tenancy?

A
  1. personal circumstances
  2. tenants’ security of tenure
  3. disrepair to the failings of the tenant to comply with the terms of the contract
  4. tenant improvements
  5. scarcity
36
Q

Rent Act 1977 rent formula to calculate the maximum fair rent.

A

Rent Act Formula:

  1. Take RPI at last registration
  2. Take RPI at next registration
  3. Numerical change in RPI as a percentage of original RPI

plus
7.5% for first re-registration after 1st Feb 1999
5 % for subsequent re-registrations.

= new max fair rent

37
Q

What is the process of registration of a new fair rent?

A

1) Application (RR1 Form)
2) Send RR1 Form to the Rent Officer at the VOA
3) Rent officer may inspect
4) Writes to both parties declaring the maximum fair rent
5) New rent is decided (up to max level)

38
Q

What is the frequency of rent reviews for regulated tenancies?

A

Not more frequent than every two years

A new RR1 application for new registration can be made 3 months prior to the review date, i.e. 1 year and 9 months from the previous review date.

39
Q

How do you ensure a Section 21 notice is valid and served correctly?

A

Prescribed Form 6A requiring possession under section 21of the Housing Act 1988.

The notice can’t be served within the first 4 months of a fixed term and must provide 2 months notice from the fixed term end date or any date if its a periodic tenancy.

Serving a Section 21 notice using the prescribed form and ensuing that the tenant had received:
- EPC certificate
- EICR
- How to Rent Guide
- TDS certificate
- gas Safety certificate (if required)

can only be used to end an AST

40
Q

Other than a Section 21 notice what else could be served on a tenant? AST or AT

A

Section 8 Notice

LL must rely on one of the grounds for possession within Schedule 2 to the Housing Act 1988.

These grounds include
- failure to pay rent
- breaches of the tenancy agreement
- antisocial behaviour

Applicable to ASTs and ATs