BPP University College Of Professional Studies Limited (BPP)
Property Law & Practice
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Summary Property Law and Practice leasehold consolidation
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Property Law & Practice
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BPP University College Of Professional Studies Limited (BPP)
A consolidation document for the leasehold part of PLP. It includes notes from the lectures, SGS, chapters and statutes. I found these really helpful in my exam so hopefully you all will too
BPP University College Of Professional Studies Limited (BPP)
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Property Law & Practice
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poppyfjones
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PLP consolidation – Leasehold
SGS 1 – Security of Tenure
Structure
1. Does the 1954 act apply?
a. Is s.23(1) satisfied?
i. The tenant must:
1. Have a tenancy – Street v Mountford requires exclusive
possession and for a term absolute
2. Occupy the premises
3. For the purposes of business – s.23(2) defines business as
‘trade. Profession or employment’
b. Is the tenancy excluded?
i. S.43 excludes certain leases
1. Tenancies of agricultural holdings (s.43(1))
2. Mining leases (s.43(1))
3. Service tenancies (s.43(2))
4. Fixed term tenancies not exceeding six months (s.43(3))
c. Is the tenancy contracted out?
i. S.38(A)
ii. The landlord and the tenant can agree, prior to the lease, that the
lease will fall outside of the 1954 act
iii. To contract out the landlord must serve a ‘warning notice’ on the
tenant at least 14 days before the tenant becomes bound into the
lease
iv. The tenant must sign a simple declaration saying that they are happy
to be contracted out
v. The lease must contain wording which excludes it from the security of
tenure provisions
2. Explain the tenants’ rights under s.24
a. s.24(1) establishes the two ways security of tenure protects a tenant:
i. The tenancy will continue after the contractual end date of the lease
on the same terms until terminated in one of the ways specified in the
1954 act
ii. The tenant will also have the right to apply for a new tenancy on
termination of the current tenancy
3. Have any notices already been served?
, a. Landlord’s notice – s.25
i. This is a notice, served by the landlord on the tenant, terminating the
current tenancy on a date specified in the notice. It will be either:
1. A friendly notice – the landlord will not oppose the tenant’s
application for a new tenancy
2. A hostile notice – the landlord does oppose the tenant’s
application for a new tenancy
b. Tenant’s request for a new tenancy – s.26
i. Served by the tenant on the landlord, terminating the current tenancy
and requesting a new tenancy
ii. Should specify the key terms of the new tenancy
iii. Why would a tenant serve this instead of holding over?
1. Rental negotiation – ‘over rented property’
2. Pre-emptive strike – to serve this before the landlord can serve
a s.25
3. Improvements to premises – if the tenant is intending to
improve the premises they may extend their lease
4. Possible assignment
c. Notice by the tenant terminating tenancy – s.27
i. Served on the landlord simply to terminate the current tenancy
without renewing it
ii. It is only necessary to serve this (instead of simply, moving out) if the
tenant does not plan to vacate the premises by the Contractual End
Date (s.27(1A)
iii. Does not need to be in prescribed form
iv. It is served on the Immediate Landlord as opposed to the Competent
Landlord (if these are different people)
4. Explain the requirements for service of relevant notice
a. Landlord’s Notice (hostile)– s.25
i. Hostile notice can be served before or after the CED provided that:
1. The specified termination date is not less than 6 months and
not more than 12 months from the date that the notice is
served, and
2. The specified termination date does not precede the CED
ii. Following service of the s.25 notice, either the landlord or the tenant
can apply to the court
iii. Landlord will apply for termination of the lease
iv. Tenant will apply if they are hoping for a new lease and want the
court to not uphold the grounds for termination cited by the landlord
v. Either party can apply to the court at any time after service of the s.25
notice and must be made by the termination date (s.29A)
vi. Once an application to court has been made by one party and served
on the other, the other party cannot submit a further application
vii. Must be in the prescribed form. S.26(3) states this must include:
, 1. A description of the premises
2. The proposed rent
3. Other terms of the new lease
4. Specify the proposed length of term (optional but good
practice)
b. Landlord’s Notice (friendly) – s.25
i. Even if the landlord does wish to bring the tenancy to an end, they
may wish to still keep the tenant in the property. Reasons for granting
a new lease are:
1. Peace of mind – it will know the tenant is tied in to a further
term
2. To change the rent of the premises more in line with other
properties in the area
ii. Served by the landlord on the tenant and the notice times for serving
are the same as above
iii. The new lease must be based on the terms of the old lease
iv. The landlord or tenant will apply to the court (in the same time frame
as above) for a new lease
v. It is principally the tenant’s concern to ensure a court application is
made as failure to apply before the specified termination date means
the tenant’s right to apply for a new lease is lost
vi. Must be in the prescribed form. S.26(3) states this must include:
1. A description of the premises
2. The proposed rent
3. Other terms of the new lease
4. Specify the proposed length of term (optional but good
practice)
c. Tenant’s s.26 request
i. The s.26 request can be served before or after the CED provided:
1. The proposed commencement date specified in the request is
not less than 6 months and not more than 12 months from the
date the request is served, and
2. The proposed commencement date in the request does not
precede the CED
ii. Within 2 months of the tenant serving the s.26 request the landlord
should serve a counter-notice if it intends to oppose the application
for a new lease
iii. In this counter notice, the landlord must state the statutory grounds
of opposition it intends to rely on
iv. If a counter notice is not served in this 2 month period, the landlord
cannot object to a new lease being granted
v. The tenant or the landlord must apply to court
vi. The tenant will apply for a new lease but the landlord may apply:
1. For a new lease, or
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