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Assured shorthold - s21 notice |
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One of the ways Ls can seek possession of an assured shorthold tenancy is by serving a notice under s21 HA 1988. If the tenancy was granted for a fixed term and that term has not expired, then an s21(1) notice is served. On the other hand, if it is a periodic tenancy because the fixed term has expired then an s21(4) notice must be served.
Section 21(1) notices are straightforward. All that is required is for L to give T ‘not less than two months notice in writing’ that he requires possession of the property. In practice, Ls often serve s21(1) notices on Ts at the beginning of the tenancy and then specify a date by which they require possession.
Complications arise with s21(4) notices. There are two stringent requirements that must be satisfied if the notice is to be valid: (i) the notice must specify a date when L requires possession; and (ii) that date must be the last day of the period of the tenancy. So, if the first day of a period is the tenth of the month then the notice should say that possession is required on the ninth. The answer to these complications, of course, is to use the saving formula approved in Lower Street Properties [1996] which says the tenancy will expire ‘at the end of the period of your tenancy which will end after the expiry of two months from service upon you of this notice’. Most landlords include that formula at the end of all s21(4) notices. In Notting Hill [2006] the formula was used with a slight exception - possession was required ‘at the end of the period’, rather than ‘after the end of the period’, but the CA still held it was valid.
There is some argument about whether an s21(1) or s21(4) should be served if T had a fixed-term assured tenancy which has now expired, with T remaining in occupation under a statutory period tenancy. Whilst it is clear that s21(4) applies to a contractual periodic tenancy that has arisen by virtue of a clause in the fixed term, the Act does not specifically cover statutory tenancies. In practice, courts expect s21(4) to be used and such arguments are regarded as academic.
Finally, remember that L cannot serve an s21 notice if a tenancy deposit has been paid, unless the tenancy deposit rules have been complied with. For more on this topic see useful article in [2008] NLJ 1482. © Practical Lawyer
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December 2008 |