|
|
Question Title: Long lease
| Question: 99 |
| I have inherited the management of a property where the tenancy has been created with a tenancy agreement for a term of more than three years. I am aware that any tenancy of more than three years has to be created by deed (which was not done is this case). Where do I stand ?
|
| Answer: |
| The law requires that all tenancy agreements for more than three years must be made by deed (Law of Property Act 1925, s.52). If the tenancy agreement has not been created by deed, then the agreement itself is likely to be void. (A deed can be recognised as such if it is clearly stated on the face of the document that it is intended to be a deed). The parties will nevertheless be regarded as landlord and tenant and are generally considered to have created what is known as an equitable lease; although the precise legal status of the tenancy will depend on the various circumstances of the letting. For most practical purposes, the agreement between landlord and tenant will operate in the same way as if the agreement had been validly created (by deed), especially if rent has been paid and accepted during the tenancy, and the terms of the tenancy would normally be the same as those if the tenancy had been properly created. In this situation, the parties would be well-advised to agree to a replacement tenancy, correctly drafted, and surrender the original tenancy. In this way both parties will then hold a legally valid and enforceable tenancy agreement.
|
|
References:
|
Pages:
|
Hyperlinks:
|
|
Letting Handbook |
Chapter 7 |
letting-handbook-and-factsheets.html
|
For more information, discuss on the Forum
|
|
