Lack of Capacity

I privately rent to 2 tenants. One of which has since been deemed as having ‘lack of capacity’ due to a work accident. Their tenacity agreement is in joint names. But now a solicitor is asking me for a copy of the tenancy agreement to give to a court of protection going forward as the rent will then be paid by the deputy looking after the tenants estate. Is this going to cause problems down the line if i need to sell up?
I wasn’t consulted about this at all.
Or can i just transfer the tenancy agreement over to the other tenants name?

You can’t remove the tenant without capacity unilaterally. They would have to surrender the tenancy or give notice depending on the wording of your contract. If the tenant lacks capacity, ask the solicitor who has power of attorney and talk to them. If no one has, I’m not sure what you can do.

It sounds as if you have no choice but to give the solicitor your TA if you want to receive rent.

It’s a joint tenancy, their partner is named on the agreement, so I’m hoping they will take on the full rent payments as the non capacity tenant won’t be returning to the property.

As its a joint tenancy each is liable for the full rent, so you should be covered there. You should allow the tenancy to go periodic if it isnt already. That way either of them could end the tenancy unilaterally if it becomes unmanageable.

David, thank you, this is what i thought, but the tenant that is in the property seems reluctant to have the tenancy agreement in their name only, it’s their partner who doesn’t have capacity who won’t be returning to the property, but they want the rent to be paid from their estate only which I’m not happy about.

Ah… I wasn’t aware of that. Because of the joint liability, there’s no need to place the TA in the remaining T’s name. However, they should be clear that they are entirely liable for rent if no one else is contributing to it.

@David122 is the lack of capacity of one T likely to cause any issues if the OP decides to issue a S21?

I wouldnt have thought the lack of capacity should affect a s21 notice, but it would be as well for the OP to be prepared for that argument from the tenants solicitor.

You dont need to change the tenancy agreement into one name. In fact you wouldnt be able to anyway. As I said, each tenant is already responsible for the whlle tenancy. You should explain what joint and several means.

Thank you for your valued comments, you’ve been really helpful. :ok_hand::sunglasses:

I would advise you to seek your own legal advice.

Lack of capacity is awfully complicated and this is an area where you don’t want to be seen to take advantage. In medicine two consultant signatures are required for decisions etc etc

The union offer free legal advice.
If you write to them you are more likely to get a researched response as this is not an every day occurrence.

All you need to be bothered about is that you are receiving the full rent. If you receive it from the estate of the the tenant with lack of capacity all well and good.

If not or if you receive a partial or late payment then you make clear to the remaining tenant that they are liable for any unpaid rent or they will given notice for none payment of rent and be evicted.

Make clear to the remaining occupier that any arrangement for the payment of rent are their private business (to be negotiated between them and the estate and that as long as they stay in the property the responsibility the consequences of not paying the rent remain the same whoever does or doesn’t pay it. Non payment or late payment is breach of contract for both parties and can result in eviction and end of contract for all parties and a court order to repay any arrears and costs from whichever party the landlord chooses to pursue. (probably the one with full capacity) !