PROTECTIONS BY LTA 1954 Flashcards
What are some key characteristics of a tenancy at will?
- not a proprietary interest
- will not bind new owners
- tenant has no control
- simple
What is a tenancy at will?
A tenancy-at-will is a property tenure that can be terminated at any time by either the tenant or the owner/landlord.
Which out of a lease, licence & tenancy at will have security of tenure?
Only a lease, licences & tenancy at will does not grant security of tenure
What is security of tenure?
- It providesbusinesstenants with security by providing that, at the end of their contractual term, the tenancy would continue unless given up by the tenant or brought to an end using the statutory procedures.
- It also allows tenants to request a new tenancy on terms derived from the original lease, and at a rent fixed by the court if the parties could not agree.
What are the 3 requirements for a tenant to acquire security of tenure?
- There has to be a tenancy (fulfil streetford v Mountford requirements, no licences or tenancy at will and some tenancies are excluded under s43 LTA 1954)
- the tenant has to be in occupation of the property (needs to occupy a part of the premises so can underlet just can’t underlet it all)
- the tenant must be occupying for the purposes of a business. (wide interpretation)
How do you bring a lease to an end if the tenant has security of tenure?
Serve statutory notice giving at least 6 months minimum notice to bring the lease to an end
Can only defeat the tenant’s claim for a new lease in limited circumstances.
Is it possible to grant a lease without the tenant getting security of tenure?
Yes, you can insert a contracted out lease (s38A)
- lease has to make a reference to the fact that the parties have agreed to exclude the protection of the 1954 Act.
What are the excluded tenancies under s43 LTA 1954?
- Tenancies of agricultural holdings
- Mining leases
- Service tenancies
- Fixed term tenancies not exceeding six months(although protection can arise if the same business or tenant has been in occupation of the premises for 12 or more months through successive tenancies or if the tenancy is renewable beyond six months).
How is business defined by the 1954 Act?
trade, profession or employment
- including a members’ tennis club
- charity
- NOT a Sunday school
- incidental residential use is acceptable
What is the protection given out by the LTA 1954?
S 24(1) sets out two layers of protection given to the protected tenant:
- The tenancy will continue after its contractual expiry date (the date, set out in the lease, on which the term of the lease is due to end) until terminated in one of the ways specified by the act; and
- The tenant will have the right to apply for a new tenancy on termination of the current tenancy.
What is the contracting out procedure?
The agreement to contract out must be carried out in accordance with the Reform Order 2003:
- The landlord must serve a warning notice on the tenant at least 14 days before the tenant becomes bound to enter the lease
- tenant can sign either a simple declaration or a statutory declaration - If the landlord does not have 14 days, this can be waived and the tenant has to sign a statutory declaration
What is the difference between a simple and statutory declaration?
- The simple declaration states that the tenant has received and accepted the consequences of the landlord’s warning notice.
- The statutory declaration made in front of an independent solicitor, is to the effect that the warning notice has been received and the tenant accepts the consequences.
Who serves the warning notice if there is a sublease?
If an underlease is to be contracted out, it is the immediate landlord (tenant under the headlease) who serves the warning notice on their prospective tenant (the undertenant) and not the superior landlord (owner of the freehold).