Landlord & Tenant (L2)

Question 1

What is the Landlord and Tenant Act 1954

Answer 1

Created to provide security of tenure to Business Tenants. Only applies to leases granted to tenants over business premises - not residential properties.

Question 2

Describe security under the L&T Act 1954

Answer 2

Tenant has an automatic right to remain in possession of leasehold business premsises after the lease term reaches its natural end.
To end a lease, landlord must issue a notice to quit under section 25 if INSIDE THE ACT

Question 3

Can you increase rent despite security of tenure?

Answer 3

Yes, issue a section 25 to end and reissue the lease under similar terms.
Rent can be negotiated to be in line with market rents.

Question 4

what does OUTSIDE THE ACT mean?

Answer 4

The business has no automatic right to renew, and the tenant must leave the premises on the expiry of the lease, or they are trespassing

Question 5

How can you tell if a lease is inside or outside the act?

Answer 5

If outside, the lease will contain a clause that it is to be excluded from the Act. The LL must serve a valid notice and the T must provide a declaration.

Question 6

What is the housing act 1988?

Answer 6

applies to assured and AST tenancies, sets out legal rights and responsibilites of tenants and landlords in the UK

Question 7

What did the housing act 1988 acheive?

Answer 7

a fairer private rental sector for landlords and tenants

Question 8

what were the outcomes of the housing act 1988?

Answer 8

• Security of tenure (two types of tenancies, AT and AST)
• Succession (AT = only spouse can inherit rental rights, AST = tenancy ends at death)
• Rent Regulation (LL can now set own rents, previously regulated by government)

Question 9

AT vs AST?

Answer 9

AT = long-term tenancy agreements, T can stay indefinitely so long as they abide by tenancy
AST = fixed-term tenancies, LL can regain posession under Section 8 and Section 21 (UNDER REVIEW, RENT REFORM BILL)

Question 10

What is a periodic tenancy?

Answer 10

When an AST ends, the tenancy continues from month-to-month so long as both LL and T are happy.
At any point in periodic tenancy, LL can give two-months notice under S.21

Question 11

What is a regulated tenancy? (aka Rent Act tenancies)

Answer 11

• pre 15th January 1989, provided long-term tenancies with private LL and regulated under the Rent Act 1977 (tenants are entitled to a fair rent set out by a VOA rent officer)
• strong protection against eviction, can only happen if LL goes to court and proves a reason eg rent arrears, anti-social behaviour etc.
• can be passed on, or inherited by a family member (spouse as rent act, other family becomes assured tenant)

Question 12

Grounds for eviction under s.8 sch.2

Answer 12

• persistent failure to pay rent
• breaches of tenancy
• anti-social
• LL intends to occupy
• LL intends to develop

Question 13

lease v licence

Answer 13

lease = exclusivity, plus paying rent over a defined term. If three years or more, must be registered as a deed.
licence = no exclusivty (permission to do something on someone elses land)

Question 14

what tenancies can’t go onto AST?

Answer 14

high value, with rents £100,00 pa
low value, under £250 pa
business settings
lettings of more than 2 acres of ag land
student letting or holiday lets

Question 15

what act limits the fees that a tenant can be charged?

Answer 15

tenant fees act 2019, includes fees for cleaning, references, tenancy renewals, admin, credit checks, check-out inspections

Question 16

What payments are able to be charged to a tenant?

Answer 16

rent
refundable tenancy deposit, capped at five weeks rent
refundable holding deposit capped at one weeks rent
payments associated with early terminatoin
late payment fees and lost keys

Question 17

what form would you serve introduce rent reviews into a periodic tenancy

Answer 17

form 4b under s.13

Question 18

how much notice must a LL give T under the Housing Act 1988

Answer 18

Under s.8, depending on the grounds, 2 weeks - 2 months.
Under s.21, 2 months

Question 19

What is served at the start of the tenancy for it to be an FBT

Answer 19

S. 1(4) Notice of Creation

Question 20

rent review formula for a) FBT and b) AHA

Answer 20

FBT= The rent at which the holding might reasonably be expected to be let on the open market by a willing landlord to a willing tenant taking into account all relevant factors only Terms of the tenancy

AHA = The rent at which the holding might reasonably be expected to be let by a prudent, willing landlord to a prudent, willing tenant, taking into account all relevant factors eg Terms of the tenancy,
Character and situation of the holding, Comparable evidence and The productive capacity of the holding and the related earning capacity (ie making sure farmer is making a profit and not spending all earnings on rent)

main difference = prudence

Question 21

What section is the rent review clause in an FBT?

Answer 21

s10

Question 22

What is an AHA Tenancy?

Answer 22

Old style ag. tenancy with security for three sucessions

Question 23

What is an ATA Tenancy?

Answer 23

all ag. tenancies since 1st September 1995 are FBT, unless exempt under s.4 (eg succession under AHA)

Question 24

How do you terminate an FBT?

Answer 24

• s.5 Notice to Quit for a term of 2 years of more, at least 12mths before termination date
• s.6 NTQ for a yearly periodic. must be in writing and served at least 12mths before it is due to take effect
• FBT of two years or less do not require NTQ.
• FBT of less than 1 year, terminated in agreement with Common Law - notice must be equal to term eg 2mth term = 2mth notice

Question 25

What is an FBT?

Answer 25

tenancy of agricultural land, governed by ATA 1995. T has no renewal rights and no security

Question 26

Describe break clauses in FBT?

Answer 26

for a term of two years of more, under s.7 break clauses with at least 12mths in writing, but unlike AHA there is no compensation for disturbance.

Question 27

Surrendering an FBT

Answer 27

ATA does not prevent LL and T agreeing to surrender, and T is entitled to improvements comepnsation under s.15

Question 28

What is a tenancy at will?

Answer 28

a form of licence created by written agreement and an unspecified time where the LL can evict at any time. No legal interest, and therefore no right to renew. Commonly used for allowing a tenant early entry, or whilst tenant is agreeing a new lease