The Queen’s Speech brings back into focus The Renter’s Reform Bill
As a result of the Pandemic, proposed legislation has been put on the back burner. The Queen’s Speech brings back into focus the Renter’s Reform Bill, the Briefing Document highlights the main elements of the Bill which are as follows:-
● Abolishment of the so-called ‘no fault’ evictions by removing Section 21 of the Housing Act 1988. This has been a very key topic, but the general feeling is that with the private rented sector having almost doubled in size in the past 10 years, this is will be welcome news for tenants.
● Reforming Section 8 and the possession grounds for landlords, introducing new and stronger grounds for repeated incidences of rent arrears and reducing notice periods for anti-social behaviour. Amending the Section 8 notice will need to consider what happens when a landlord needs to move back in or sell their property.
● Application of the legally binding Decent Homes Standard in the Private Rented Sector giving tenants safer, better quality and better value homes.
● The introduction of a new Ombudsman for private landlords so that disputes can easily be resolved without the need to go to court.
● The introduction of a new property portal to help landlords understand their obligations and to give tenants performance information to hold their landlord accountable.
Court of Appeal Clarifies Formalities for Signing of s.8 Notices and Prescribed Information
Written by David Smith - Partner JMW Solicitors
Court of Appeal clarifies formalities for signing of s.8 notices and prescribed information certificates for corporate landlords
The Court of Appeal (the “CoA”) heard the second appeal of Northwood Solihull v Fearn & Ors last week. The outcome of this case has serious implications for landlords, tenants and agents in England and Wales and possibly in recognition of this, judgment was handed down today only 8 days after the hearing. JMW acted for the landlord.
The main questions before the CoA in summary were:
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What is the correct way for a deposit prescribed information certificate to be signed by a landlord who is a company?
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What is the correct way for a section 8 notice to be signed by a landlord who is a company?
The CoA also considered what the consequences are where these documents are not signed in compliance with the relevant statutory provisions.
In summary, the following cheat sheet contains the practical essence of the CoA’s decision:
i. Possession notices and prescribed information certificates may be validly signed by an authorised individual on behalf of a corporate landlord or agent.
ii. These documents may also be signed in accordance with s.44 of the Companies Act 2006.
iii. Non-compliance with i. & ii. or other relevant statutory requirements does not necessarily invalidate the document and the effect of non-compliance will depend on the specific defect and factual context.
Key Notices revert back to Pre-Pandemic Rules
A fifth change to key notices is introduced today.Both the Form 6a (Section 21) and the Form 3 (Section 8)0(0%) are prescribed forms therefore landlords must ensure they use the correct version before service. Remember to ensure that all the relevant documents which relate to the Deregulation Act 2019 and Tenancy Deposit Protection are in place to ensure that the Section 21 (Form 6A) when served, is valid, and that there are no breaches of the Tenant Fees Act 2019. With regards to the Section 8 (Form 3), the “Breathing Space” moratorium still applies. Any tenant who has been granted breathing space will have the relevant documents in place
1st October 2021 - Section 21 & Section 8 Notice periods to revert back to Pre-Pandemic Rules
The government has confirmed that notice periods for both Section 8 and Section 21 Notices in England will return to the pre-pandemic rules on October 1st, 2021.
Over the last 18 months since the government introduced emergency measures as part of the Coronavirus Act 2020 to protect renters, notice periods for both notices have changed 5 times causing a great deal of confusion for landlords and letting agents.
The Ministry of Housing, Communities and Local Government announced: “While these measures were appropriate at the height of the pandemic, these restrictions could only ever be temporary. Returning notice periods to their pre-COVID lengths from 1 October will allow landlords to repossess their property where necessary. However, we intend to retain the power to implement these measures again in the case that the public health situation worsens and these measures are required again.”