Property Landlord and Tenant Act

Question 1

What does landlord and tenant act provide?

Answer 1

Business tenants can stay in premises at end of tenancy

Question 2

Which tenancies are excluded from LLATA?

Answer 2

• fixed term tenancy up to 6 months
• service tenancies (provided by employers)
• if contracted out

Question 3

How can business tenancy be brought to end under LLaTA?

Answer 3

1. forfeiture
2. Surender (agreement)
3. landlord serves valid Section 25 notice
4. tenant serves Section 26 notice on landlord
   - to requires new lease

Question 4

How can LLATA be contracted out (general process)?

Answer 4

1. landlord health warning
   - served 14 days before lease completed
   - time limit can be waived by signed tenants (and witnessed by independent solicitor
2. tenants declaration
   - signed confirming receipt of health waring and agreement
3. Reference in lease to
   - health warning
   - tenants declaration
   - agreement to contract out

Question 5

What are the requirements for giving a health warning?

Answer 5

1. must explain security of tenure and consequences of giving this up
2. served 14 days before lease completed
   - time limit can be waived by signed tenants (and witnessed by independent solicitor

Question 6

What are grounds for section 25 notice?

Answer 6

Discretionary (court can still order new lease)
1. tenant failed repair obligation
2. tenant persistent delay in rent payment
3. tenants substantial breach of other obligation
4. if sublet then landlord requires whole property for other letting

Mandatory (court must refuse new tenancy)
5. availability of suitable alternative accommodation
6. intention to demolish or reconstruct of premises
7. landlord intends to occupy premises

Question 7

Process for giving section 25 notice?

Answer 7

service between
- 6 - 12 months before they wish to exit tenancy
- must specify a ground

Question 8

What is a section 26 notice and what are the requirements for the process?

Answer 8

Request that landlord grant new lease?

Requirements
- served on competent landlord or agent
- request new lease and outline required terms
- Served 6-12 months before they wish new tenancy to start

• on receipt landlord has 2 months to inform intention to oppose
• if oppose must give s. 25 grounds

Question 9

When is a tenant able to claim compensation under LLATA?

Answer 9

If they are removed from premises due to no fault of their own

UNLESS
- landlord can provided suitable alternative accommodation

Question 10

How is compensation for tenant under LLATA calculated?

Answer 10

If landlord requires
- whole premises from subtenant
- intends to demolish
- intends to occupy

then
- if tenants business occupied for 14+ years entitled to 2x the rateable value of property (how much it would cost to rent for 1 year)
- if less than 14 years 1x rateable value of property

Question 11

If s. 26 new lease then how are terms discussed and what are limits on this?

Answer 11

If they cannot agree court orders terms

Court cannot order
- term exceeding 15 years