W9

Question 1

What is the purpose of a section 27 notice in the lease renewal process?

Answer 1

A section 27 notice is used by a tenant to notify the landlord of their intention to leave the premises at the end of the contractual term.

Question 2

What are the benefits of security of tenure for tenants?

Answer 2

The benefits of security of tenure for tenants include being able to treat the premises as a long-term prospect, investing in fitting out the premises, reaping the benefits of goodwill from their location, and avoiding the upheaval of having to move at the end of the contractual term.

Question 3

What are some of the grounds for eviction?

Answer 3

Some grounds for eviction include breach of tenant repairing obligation, persistent delay in paying rent, other substantial breaches of tenant obligations, availability of suitable alternative accommodation, intention to demolish or reconstruct premises, and landlord’s intention to occupy premises.

Question 4

What is the requirement for a landlord to have a firm and settled intention to redevelop?

Answer 4

The landlord must have owned the reversion for at least 5 years before the date of termination.

Question 5

What are the statutory grounds on which a landlord can seek to recover possession?

Answer 5

The landlord can only recover possession on certain statutory grounds, such as persistent and serious breach by the tenant of a repairing obligation, persistent delay in paying rent, serious and persistent breaches of covenants, availability of suitable alternative accommodation, intention to demolish or reconstruct premises, intention to occupy the premises, among others.

Question 6

What evidence is required to support an eviction?

Answer 6

Evidence of serious breach is required to support an eviction.

Question 7

When should a tenant serve a formal section 27 notice if they intend to leave at the end of the contractual term?

Answer 7

To ensure clarity and avoid any doubt, it is good practice for the tenant to serve the section 27 notice no less than three months before the end of the contractual term.

Question 8

Why would a landlord want to serve a friendly section 25 notice?

Answer 8

A landlord may want to serve a friendly section 25 notice to ensure that the tenant is tied to a further term, guaranteeing rental income. It also allows the landlord to fix a market rent for the renewal tenancy.

Question 9

What is the difference between mandatory and discretionary grounds for possession?

Answer 9

Mandatory grounds require the court to grant possession if the landlord establishes the appropriate ground, while discretionary grounds give the court the discretion to decide whether to grant possession even if the ground is shown.

Question 10

What is required for a tenancy to have security of tenure?

Answer 10

To have security of tenure, there must be a tenancy occupied by the tenant for the purposes of a business. This includes fixed term leases or periodic leases, but excludes tenancies at will or licenses. Certain types of tenancies, such as agricultural and service tenancies, are also excluded.

Question 11

Discretionary grounds for eviction (hostile s 25 notice)?

Answer 11

 Ground (a) – breach of tenant repairing obligation
* Evidence will be required of a serious breach. Discretionary, not compensatory
 Ground (b) – persistent delay in paying rent
* Evidence of length of delay and number of failures to pay rent on time. Discretionary, not compensatory
 Ground (c) – other substantial breaches of tenant obligations
* Evidence of serious and persistent breaches. Discretionary, not compensatory

Question 12

Mandatory grounds for possession?

Answer 12

 Ground (d) – availability of suitable alternative accommodation
* Landlord must have made an offer of alternative accommodation suitable to the tenant (with regard to the tenant’s business and goodwill). Mandatory, not compensatory
 Ground (f) – intention to demolish or reconstruct premises or carry out substantial construction
* Firm and settled intention to redevelop, possibly planning permission or construction contract. Mandatory, is compensatory
 Ground (g) – landlord intends to occupy premises
* Firm and settled intention by landlord who must have owned the reversion for at least 5 years before the date of termination. Mandatory, compensatory.

Question 13

What happens following the service of a section 25 or section 26 notice in the lease renewal process?

Answer 13

Following a section 25 notice or a section 26 notice, either party may apply to the court for a new lease or termination of the existing lease. The deadline for applying to the court is the earlier of two months after the notice or the service of a landlord’s counter-notice.

Question 14

What is a compensatory ground in relation to possession proceedings?

Answer 14

A compensatory ground is a ground that entitles the tenant to compensation if the ground relies on no fault of the tenant. The amount of compensation is calculated based on the rateable value of the premises.

Question 15

What factors does the court consider when determining the terms of a new lease in the lease renewal process?

Answer 15

The court determines the terms of a new lease by having regard to the terms of the current tenancy and relevant circumstances. The court can grant a term up to 15 years, with the rent being open market rent.

Question 16

What is the definition of ‘reversion’ in the context of redevelopment?

Answer 16

In the context of redevelopment, ‘reversion’ refers to the ownership or control of the property after a lease or tenancy agreement ends.

Question 17

What is the process for contracting out a tenancy from security of tenure provisions?

Answer 17

Contracting out a tenancy from security of tenure provisions involves serving a warning notice on the tenant, obtaining a declaration or statutory declaration (depending on the notice period), and ensuring that the lease refers to the procedure for contracting out. This must be strictly observed to validly contract out the tenancy.

Question 18

What are the implications of security of tenure for tenants and non-protected tenancies?

Answer 18

The tenant of a protected tenancy is entitled to remain in occupation (hold over) at the end of the contractual term. The landlord cannot evict the tenant, and the tenant’s occupation can only be ended by certain methods allowed by the Landlord and Tenant Act 1954. In contrast, the tenant of a non-protected tenancy is not entitled to remain in occupation after the end of the contractual term.

Question 19

What happens if the tenant is not happy with the terms determined by the court in the lease renewal process?

Answer 19

If the tenant is not happy with the terms determined by the court, they have 14 days to ask the court to revoke the court order. If asked, the court must agree, and the tenant will then have no right to renew.

Question 20

What options does a landlord have to bring a protected tenancy to an end

Answer 20

A landlord can bring a protected tenancy to an end by forfeiting the lease for breach of tenant’s covenants, serving a section 25 notice indicating an intention to recover the premises or offer a renewal lease, or using other legal means allowed by the Landlord and Tenant Act 1954.

Question 21

What is the purpose of a section 27 notice?

Answer 21

A section 27 notice is served by a tenant who wishes to end the lease at any time after the contractual expiry date. It must be served no less than three months before the intended termination date.

Question 22

Can a landlord apply to terminate the existing lease in the lease renewal process?

Answer 22

Yes, a landlord who is opposing renewal on statutory grounds can apply to the court for an order to terminate the existing lease.

Question 23

What evidence is required to substantiate the grounds for opposing the renewal of a tenant’s lease?

Answer 23

The landlord must be able to provide evidence to substantiate the ground on which they are relying. For example, if the ground is persistent and serious breach of a repairing obligation, the landlord may need to show evidence of the breach.

Question 24

What is required for a landlord’s notice to terminate a tenancy?

Answer 24

A landlord may serve a section 25 notice specifying a termination date no earlier than the end of the contractual term and no less than six months and no more than 12 months from the date of the notice. The notice must be in the prescribed form and can be either friendly or hostile.

Question 25

What is the purpose of an interim rent in the lease renewal process?

Answer 25

An interim rent is based on the open market rent and is payable during the period of holding over and negotiation. Either party may apply to the court to fix an interim rent, which becomes payable from the earliest date for termination or proposed commencement specified in the relevant notice.

Question 26

What is the deadline for applying to the court in the lease renewal process?

Answer 26

The deadline for applying to the court depends on the type of notice. For a section 25 notice, the deadline is the termination date specified in the notice. For a section 26 notice, the deadline is the day before the proposed commencement date of the new lease.

Question 27

What are some of the grounds on which a landlord can oppose the renewal of a tenant’s lease?

Answer 27

Some of the grounds on which a landlord can oppose the renewal of a tenant’s lease include persistent and serious breach by the tenant of a repairing obligation, persistent delay in paying rent, serious and persistent breaches of covenants, offering suitable alternative accommodation, intention to demolish or reconstruct the premises, intention to occupy the premises, among others.

Question 28

What is the minimum and maximum notice period for serving a section 26 noti

Answer 28

The minimum notice period for serving a section 26 notice is six months, and the maximum notice period is twelve months before the proposed commencement date of the renewal lease.

Question 29

When can either party apply to the court after serving a section 26 notice in the lease renewal process?

Answer 29

Either party may only apply to the court after the landlord has served a counter-notice, or if not, two months have elapsed from the section 26 notice.

Question 30

What happens if a tenant serves a section 27 notice to terminate the lease?

Answer 30

If a tenant serves a section 27 notice to terminate the lease, it must give three months’ notice of the intended termination date, which must be no earlier than the date on which the contractual term ends.

Question 31

What is the purpose of serving a section 26 notice to renew the lease?

Answer 31

A section 26 notice is served by a tenant who wishes to renew the lease. It provides formal notice to the landlord of the tenant’s intention to renew the lease and allows the tenant to request specific terms for the renewal.

Question 32

How long does a landlord have to serve counter-ntoice to a s26 notice.

Answer 32

The landlord has two months to serve a counter-notice if the landlord opposes renewal.