AST for fixed 12-month term, but no Break clause

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  • AST for fixed 12-month term, but no Break clause

    I recently let one of my properties to joint tenants and authorised the letting agent to sign the AST agreement on my behalf. I now wish to sell the property and have contacted the tenants who have recently moved into the property to allow access for a viewing. I have also advised them that I would like them to leave the tenancy in about three month’s time.

    The AST agreement has no break clause and the tenants have taken legal advice and advised me that we could come to a mutual surrender of the tenancy. They have been advised that they could be eligible for compensation? Or be bought out of the tenancy agreement?

    I insist that I have not signed the agreement and do not agree with the agreement not having a break clause.

    They have suggested two options:

    We either mutual agree to surrender the tenancy (which could incur costs)

    Or that they move in and continue with 12 month fixed term?

    I desperately want to sell the property, could anyone please advise me on my best course of action?

    Thank you

  • #2
    Originally posted by RDH66 View Post
    I insist that I have not signed the agreement and do not agree with the agreement not having a break clause.
    Are you serious? You authorise LA to sign the AST without seeing what's in it?

    Surely a wind-up, no?

    I desperately want to sell the property, could anyone please advise me on my best course of action?
    You can either buy the tenants out of the agreement (if they agree to it) or sell the property with sitting tenants.

    There is no break clause, so T is entitled to possession until the 12 months is up.

    But I really cannot believe that you would authorise LA to sign AST on your behalf without checking what you're agreeing to. Perhaps you should check what else is in the AST before you go any further?

    Peter

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    • #3
      Originally posted by RDH66 View Post
      ...I insist that I have not signed the agreement and do not agree with the agreement not having a break clause.
      There are only TWO parties to the tenancy agreement, the landlord and the tenant. Remember what the agent is: he is YOUR agent, acting AS IF HE WERE YOU. So actually, you're totally wrong with your argument. Your agent signed it, so it's exactly the same as if you had signed it yourself.

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