Statutory Periodic - info needed please

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    Statutory Periodic - info needed please

    I am almost one month away from the end of a 6 month AST agreement. I have been informed by the agents that my landlords have decided to put the flat up for sale but are happy for me to remain in situ whilst it is marketed but if I do they say I must have a Statutory Periodic Holdover agreement, for which they want £42 for admin fees for drawing up documents. Am I obliged to agree to this fee? Are the agents just trying to make more money from me? From other threads I have read I believe that this document is not needed and at the end of the AST I could automatically go on to a rolling tenancy for free, with the same conditions.

    #2
    Yes, correct. A statutory periodic tenancy will arise automatically if you remain in residence after fixed term expiry. Exactly the same terms as the expired fixed term contract, except for provisions relating to notice; in a SPT statutory notice provisions apply.

    Unless the tenancy contract makes you liable for any manner of agent fees, then no, you do not have to pay the fee demanded.

    I should also point out that, while the LL may be 'happy' for you to remain in occupation, you are fully entitled to do so whether he's happy or not. The LL can only evict you with a court order.

    Comment


      #3
      A Statutory Periodic Tenancy begins automatically when you come to the end of a fixed term AST (in your case 6 months) and if you stay on just a day longer that the original stated period of the AST. There is no paperwork necessary as you and the LL are both bound by the terms of the original agreement. You can absolutely refuse to sign anything and certainly should not be paying the agent anything for it!

      Under the SPT you can give one full rent month notice to leave, and the landlord has to give you 2 rental months notice.

      I've not heard the term Statutory Periodic Holdover tenancy before though. If it exists and is different to a normal SPT you do not need to agree to it. Assuming the LL has not already given you notice, you are always going to be at least 2 months away from needing to move out.
      IANAL (I am not a lawyer). Anything I say here is just an opinion, so should not be relied upon! Always check your facts with a professional who really knows their onions.

      Comment


        #4
        Originally posted by Grrr View Post
        I've not heard the term Statutory Periodic Holdover tenancy before though.
        I think it's just something the agent has invented.

        Comment


          #5
          Thank you

          Thank you lovely people, you have confirmed everything I had suspected and it's good to know what my rights are (in plain English).

          Comment


            #6
            You're welcome

            Perhaps worth pointing out that the reason it's called a statutory periodic tenancy is because it arises by statute (i.e. written law).

            Comment


              #7
              Originally posted by westminster View Post
              Perhaps worth pointing out that the reason it's called a statutory periodic tenancy is because it arises by statute (i.e. written law).
              Yes. It's s.5 of the Housing Act 1988. Here's s.5(2)/(3):

              (2) If an assured tenancy which is a fixed term tenancy comes to an end otherwise than by virtue of:
              (a) an order of the court of the kind mentioned in subsection (1)(a) or (b) or any other order of the court, or
              (b) a surrender or other action on the part of the tenant,
              then, subject to section 7 and Chapter II below, the tenant shall be entitled to remain in possession of the dwelling-house let under that tenancy and, subject to subsection (4) below, his right to possession shall depend upon a periodic tenancy arising by virtue of this section.

              (3) The periodic tenancy referred to in subsection (2) above is one:
              (a) taking effect in possession immediately on the coming to an end of the fixed term tenancy;
              (b) deemed to have been granted by the person who was the landlord under the fixed term tenancy immediately before it came to an end to the person who was then the tenant under that tenancy;
              (c) under which the premises which are let are the same dwelling-house as was let under the fixed term tenancy;
              (d) under which the periods of the tenancy are the same as those for which rent was last payable under the fixed term tenancy; and
              (e) under which, subject to the following provisions of this Part of this Act, the other terms are the same as those of the fixed term tenancy immediately before it came to an end, except that any term which makes provision for determination by the landlord or the tenant shall not have effect while the tenancy remains an assured tenancy.
              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


                #8
                As above, don't pay the fee as it's in the landlord's interest to keep you in occupation, the agent's too as they'll continue to receive management fees. If they won't back down just write to your landlord and explain your situation, their address should be on your tenancy agreement. If it isn't you're well within your rights to request it from the agents.

                To take it a step further you could even ask for a rent deduction as you'll be inconvenienced by viewings and have an uncertain future in the property.
                <a href="http://www.manchesterpropertygroup.co.uk/" target="_blank">Manchester letting agents</a>

                Comment


                  #9
                  Originally posted by jrsteeve View Post
                  As above, don't pay the fee as it's in the landlord's interest (snipped)
                  No. Do not pay the fee as you are literally paying the agent for doing nothing. A statutory periodic agreement arises by default, and there is no paperwork to be done for it. They are telling you that by them doing nothing they will charge you for the privilege, which is good work if you can get it!
                  Liability statement. My liability to you is not to exceed the amount you are paying for my recommendations or advice.

                  I see a bright new future, where chickens can cross the road with no fear of having their motives questioned

                  Comment


                    #10
                    forgot to mention - the term "Holding over" is quite common - I have often seen it on auction sales (eg - the property is let on an AST, holding over on a rent of £7500 per annum).
                    Liability statement. My liability to you is not to exceed the amount you are paying for my recommendations or advice.

                    I see a bright new future, where chickens can cross the road with no fear of having their motives questioned

                    Comment


                      #11
                      Thank you all again, you guys are really great to give this advice for free, will definately be telling my friends about this site.

                      Comment


                        #12
                        Originally posted by Wickerman View Post
                        forgot to mention - the term "Holding over" is quite common - I have often seen it on auction sales (eg - the property is let on an AST, holding over on a rent of £7500 per annum).
                        Yes, T can be 'holding-over'; but what T holds-over is an SPT.
                        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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