AST clause giving L right to re-enter for T's breach

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    AST clause giving L right to re-enter for T's breach

    Comments and thoughts appreciated...

    The Landlord may re-enter the Property and immediately thereupon the tenancy shall absolutely determine without prejudice to the other rights and remdies of the LL if the T has not complied with any obligations in this Agreement or should be Rent be in arrear by more than fourteen days (whether legally demanded or not).

    Kind regards,

    John

    #2
    similar to this clause in our agreements

    1 In case the said rent or any instalment or part thereof shall be in arrear for fourteen days after the same shall have become due (whether formally demanded or not) or if there shall be a breach of any of the agreements by the Tenant hereinbefore contained or if the Tenant shall become bankrupt or assign his estate or execute any deed or arrangement for the benefit of his creditors or if the Premises shall be left vacant or unoccupied it shall be lawful for the Landlord to re-enter upon and take possession of the Premises or any part thereof in the name of the whole and immediately thereupon the tenancy hereby created shall absolutely determine but without prejudice to any right of action of the Landlord to recover all such rent in arrear and damages in respect of the Tenant’s covenants herein contained

    is this something you are thinking of putting in your agreements?

    Comment


      #3
      No, its actually in them already, but I was just thinking...

      Although its a clause in the contract, how could this ever be enforced.

      So, the tenant doesn't pay for two weeks which gives the LL the right to immediately re-enter the property? We both know that the law doesn't work like that!

      Unless I don't quite understand one of my own clauses of course, such as the actual meaning of re-enter?

      Kind regards,

      John

      Comment


        #4
        I've never really understood these clauses myself. I think that it might be some form of forfeiture clause regarding rent arrears and the use of ground 8 10 and 11. I don't really know though and having drunk quite a lot of wine I'm probably wrong

        (6) The court shall not make an order for possession of a dwelling-house to take effect at a time when it is let on an assured fixed term tenancy unless—
        (a) the ground for possession is Ground 2 or Ground 8 in Part I of Schedule 2 to this Act or any of the grounds in Part II of that Schedule, other than Ground 9 or Ground 16; and
        (b) the terms of the tenancy make provision for it to be brought to an end on the ground in question (whether that provision takes the form of a provision for re-entry, for forfeiture, for determination by notice or otherwise).
        ****************************************

        If you are unsure about what to do seek professional Legal advice.

        Comment


          #5
          i quite agree - even though I have not drunk any wine this evening.......Im sure jeffrey or paul f will be able to elaborate more on this!

          rioja or shiraz??

          Comment


            #6
            Sadly a rather indifferent rose. Not really a rose man but then it was sitting in the fridge half full and therefore had to be drunk

            I think such clauses just get cut and pasted into tenancy agreements and no one really seems to know what they mean!
            ****************************************

            If you are unsure about what to do seek professional Legal advice.

            Comment


              #7
              Well I'm glad I'm not the only one who doesn't quite understand the implications of the clauses. I have a tenant who would like them struck, and therefore I do need to understand them a little better.

              If re-enter can mean in a legal sense, to apply for posession then that would make sense. Or do I just have a clause which might as well say anything, as it is totally un-enforcable?

              I'm not too clued up on all the different grounds, but even so I thought that posession could be granted if the rent was persistently late, or a month and a day (or equivalent) in arrear or late when applying for possession.

              None of those are the same as after 14 days of arrears the LL re-entering and the tenancy ending. Anyway surely the tenancy ending would result in the T not being liable for future rent?

              As for wine, I think I should go home and find some!

              Kind regards,

              John

              Comment


                #8
                I'm going to be deliberately vague and look forward to jeffrey's coments as I'm near to finishing said rose!

                I believe (for I haven't had much experience of) forfeiture clauses are needed when you want to use grounds 2, 8, 10, 11, 12, 13, 14 and 15 to get possession of a tenant who is in the fixed term of their tenancy agreement.

                If there are no said forfeiture clauses in the agreement then how is the tenant supposed to know that if he is in some arrears during his fixed term that he may have forfeited his right to remain in occupation. I hope that last sentence made sense and is vaguely correct
                ****************************************

                If you are unsure about what to do seek professional Legal advice.

                Comment


                  #9
                  Without this clause in your AST it might be difficult to use S.8 Grounds 8,10 & 11 to repossess for arrears of rent. The wording in the original post is not in plain English and needs revision but the concept is correct. This is how it might be revised and the clause has not been objected to by the OFT:-

                  The Landlord’s Power to Terminate the Agreement It is agreed by the Landlord and the Tenant that:

                  If the Tenant:
                  (i) is at least 14 days late in paying the Rent or any part of it, whether or not the Rent has been formally demanded by the Landlord, or
                  (ii) has broken any of the terms of this Agreement

                  then subject to any statutory provisions (for example, the Protection from Eviction Act 1977 and the Housing Act 1988 (as amended)), the Landlord may recover possession of the Property and the tenancy will come to an end.

                  Any other rights or remedies the Landlord may have will remain in force.
                  The advice I give should not be construed as a definitive answer, and is without prejudice or liability. You are advised to consult a specialist solicitor or other person of equal legal standing.

                  Comment


                    #10
                    Originally posted by Paul_f View Post
                    Without this clause in your AST it might be difficult to use S.8 Grounds 8,10 & 11 to repossess for arrears of rent. The wording in the original post is not in plain English and needs revision but the concept is correct. This is how it might be revised and the clause has not been objected to by the OFT:-

                    The Landlord’s Power to Terminate the Agreement It is agreed by the Landlord and the Tenant that:

                    If the Tenant:
                    (i) is at least 14 days late in paying the Rent or any part of it, whether or not the Rent has been formally demanded by the Landlord, or
                    (ii) has broken any of the terms of this Agreement

                    then subject to any statutory provisions (for example, the Protection from Eviction Act 1977 and the Housing Act 1988 (as amended)), the Landlord may recover possession of the Property and the tenancy will come to an end.

                    Any other rights or remedies the Landlord may have will remain in force.
                    Yes. The proviso for re-entry is essential in any lease, letting, etc. (and it meets the pre-requisite of the 1988 Act mentined in earlier posts, too). If T vacates early but fails to clear rent arrears, for instance, L is often free from any restraint in exercising peaceable re-entry.
                    JEFFREY SHAW, solicitor [and Topic Expert], Nether Edge Law*
                    1. Public advice is believed accurate, but I accept no legal responsibility except to direct-paying private clients.
                    2. Telephone advice: see http://www.landlordzone.co.uk/forums/showthread.php?t=34638.
                    3. For paid advice about conveyancing/leaseholds/L&T, contact me* and become a private client.
                    4. *- Contact info: click on my name (blue-highlight link).

                    Comment


                      #11
                      Originally posted by MaverickPropertyManagemen View Post
                      If re-enter can mean in a legal sense, to apply for posession then that would make sense.
                      Paul's clause makes sense but yours doesn't for the reasons you already stated. Doesn't re-enter the Property mean that the landlord can go in and take the property back?

                      Your clause also reads to me that the tenancy ends at that point:

                      The Landlord may re-enter the Property and immediately thereupon the tenancy shall absolutely determine

                      Can anyone say why MPM's clause don't say the landlord can go into the property and end the tenancy on the spot. Absolutely determine says to me it's over sunshine the tenancy is terminated.
                      ~~~~~

                      Comment


                        #12
                        Originally posted by Paul_f View Post
                        Without this clause in your AST it might be difficult to use S.8 Grounds 8,10 & 11 to repossess for arrears of rent. The wording in the original post is not in plain English and needs revision but the concept is correct. This is how it might be revised and the clause has not been objected to by the OFT:-

                        The Landlord’s Power to Terminate the Agreement It is agreed by the Landlord and the Tenant that:

                        If the Tenant:
                        (i) is at least 14 days late in paying the Rent or any part of it, whether or not the Rent has been formally demanded by the Landlord, or
                        (ii) has broken any of the terms of this Agreement

                        then subject to any statutory provisions (for example, the Protection from Eviction Act 1977 and the Housing Act 1988 (as amended)), the Landlord may recover possession of the Property and the tenancy will come to an end.

                        Any other rights or remedies the Landlord may have will remain in force.
                        Thank you for this, at least I do understand why it is placed in the contract now, but as Ruth has said, mine does state that the 'landlord may re-enter', where as your wording states that the landlord may terminate the contract, which is my non-legal eyes does seem a little different.

                        What I going to add in as an extra clause, as I have a tenant who wanted this clarified, is the part about the eviction act and the 1988 Housing Act and I will continue to look into the precise wording.

                        My contracts are drawn up by a specific company and are fairly widespread so I would be surprised if the contracts weren't watertight, but that doesn't mean they are perfect...!

                        As for the OFT part, I don't know anything about the OFT so I am just going on gut instinct here (maybe a bad idea...) but it is pretty much in plain english, with the most complicated phrase being 'absolutely determine', prejudice and remedies!

                        Out of interest do the OFT accept documents being sent to them to examine if they would pass their rules and regs, or do they only get involved when it all goes Pete Tong?

                        Kind regards,

                        John

                        Comment


                          #13
                          Originally posted by MaverickPropertyManagemen View Post
                          As for the OFT part, I don't know anything about the OFT so I am just going on gut instinct here (maybe a bad idea...) but it is pretty much in plain english, with the most complicated phrase being 'absolutely determine' prejudice and remedies!
                          John, can you put me out of my misery and tell me what 'absolutely determine' means in this context. Please
                          ~~~~~

                          Comment


                            #14
                            End, finished, over, terminate...!

                            Something along those lines...I don't know if their is an official definition though, which might make a little more sense than my random words added to the sentence!

                            Kind regards,

                            John

                            Comment


                              #15
                              Originally posted by Ruth Less View Post
                              John, can you put me out of my misery and tell me what 'absolutely determine' means in this context. Please
                              "Absolutely" means "unconditionally and irrevocably", at least in this context.
                              JEFFREY SHAW, solicitor [and Topic Expert], Nether Edge Law*
                              1. Public advice is believed accurate, but I accept no legal responsibility except to direct-paying private clients.
                              2. Telephone advice: see http://www.landlordzone.co.uk/forums/showthread.php?t=34638.
                              3. For paid advice about conveyancing/leaseholds/L&T, contact me* and become a private client.
                              4. *- Contact info: click on my name (blue-highlight link).

                              Comment

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