Contractual or Statutory

Tenant Discussion
1

Hi All

Looking for some advice, if my ATS says ‘ Expiry Date: 27th day of September 2024 and thereafter from month to month’
Does this mean I have gone on to a Contractual Periodic Tenancy or a Statutory Periodic Tenancy?

My ATS has a Rent Review Clause and my LL has issued a section 13 to increase the rent above the clause. I believe I am on a Contractual because of the month to month, so therefore they cannot issue a section 13.

Many thanks

2

I would suggest this is a CPT.

If the rent rise is greater that the rent review clause. How has your Landlord replied when asked about this? They may not have realised.

3

They are arguing I am on a SPT.

4

Is the rent increase too different to the rent review clause? How much is it worth fighting?

My understanding is that, Rent review clauses are likely to become invalid next year anyway with the introduction of the Renters Rights Bill, so ironically this term which is presently protecting you, will not be valid as a result of the governments plans to protect you. The irony of unintended consequences.

5

Did they serve all the relevant documentation again as I’m sure a Statutory Periodic is deemed as starting new tenancy. ?

6

I believe that a court would agree with you that the wording of your agreement has the hallmarks of a CPT and that the s13 notice is therefore invalid. However, without anything definitive you are potentially at risk.

I’m sure you will start be letting the landlord know that youve taken advice and believe its not an SPT, but if this is not accepted, you could try challenging the s13 notice at the First Tier Tribunal. I dont believe they have jurisdiction to fully decide the case, but their commentary might be enough to convince the landlord that he’s wrong.

Alternatively, you could just not pay the increase and let him take you to County Court who can then decide if hes wrong. I would say this is likely to go your way, but its not entirely without risk.

There is, of course always the danger that the landlord will just serve a s21 notice if hes not satisfied. If you think this is a possibility you might want to try to negotiate a smaller increase than proposed and just accept that.