Housing Law Issues - Case Study Example

 Housing Law In general, tenancy can be defined as the contract between a tenant and a landlord which allows the tenant to live in the landlord’s property as long as the tenant follows the rules and pays rent (Cowan, 2011, p. 7). The contract is usually in the form of a written document known as a tenancy agreement which stipulates the legal conditions and terms of the contract regarding tenancy. The agreement must be prepared prior to the renting of any property. Randall (2011, p. 11) says that the tenancy agreement can also be verbal but it is advisable that one should use written agreement as it is more binding in law especially in an event of disputes. Broadly, tenancy in the United Kingdom (UK) is covered under the housing law; residential tenancy law is regulated by several Housing Acts. According to Cowan (2011, p. 15), these Acts have provisions on legal framework upon which residential tenancies are based. The provisions give extensive information concerning tenants and landlords’ regulation, procedures and rules about tenancy law, in addition to providing legal protection to both the tenants and landlords on matters relating to rent areas, possession rights, termination of tenancy, rent increases, and eviction (London Borough of Hounslow, 2012). This discussion will focus on housing law issues relating to seven students of the University of Westminster namely; Ben, Mohammed, Melissa, Rashid, Mary, Jim, and Joanne. Q A With regard to Ben, he lives in halls at the Marylebone Campus and has been given a university tenancy agreement to stay until May 2011. Ben is under the Assured Shorthold Tenancy (AST); this type of tenancy has fixed term which is often a year or six months. Also, it can be of period less than six months if the landlord and the tenants agree (Davis and Robson, 2008, p. 36). London Borough of Hounslow (2012) states that under this type of tenancy, tenant has a right to stay for a minimum of six month in the property unless there are grounds to end the tenancy, that is, to evict the tenant. Since Ben has been given a university tenancy agreement to stay until May 2011 it means that he is under AST since it requires that a fixed term of tenancy be provided for the tenant as it is the case with the Ben (Davis and Robson, 2008, p. 49). Also, just as the characteristics of AST requires, Ben’s stay in the property is a fixed term of six months until May 2011. Under this type of tenancy, Ben has a considerable level of security as the tenancy gives the tenant the right to stay in the property for a minimum period of six months unless there is a reasonable reason to end his tenancy; as such, he cannot be evicted from the property before end of May 2011 (Cowan, 2011, p. 61). The rent under this type of tenancy has to be paid for the period of stay which is usually fixed. Ben as a tenant under AST has the right to refer issues on rent to rent assessment committee; the main issue is usually in regard to the amount of rent especially if the tenant believes it is higher than the market value (Randall, 2011, p. 25). For Mary, she lives with her brother. They have rented a flat from a private landlord since last September. They have not signed anything and have not been given a tenancy agreement. They pay £800 a month. Mary and his brother are under statutory period tenancy that is covered under the Housing Act 1988. This type of tenancy is nearly similar to Assured Shorthold Tenancy but they differ in the sense that under this tenancy, tenancy does not automatically end when the agreed fixed term expires. Cowan (2011, p. 33) says that this type of tenancy provides that in an event that the tenant and the landlord fail to enter into a new tenancy agreement, the tenant can still remain in the property under a statutory periodic tenancy. Since Mary and her brother have not signed any tenancy agreement and neither have they been given tenancy agreement, I would explain to them that it is important that they seek a written tenancy agreement (Arden, 2002, p. 19). This is important because it is more legally binding than the formal agreement and will help them in legally settling disputes that may arise from their tenancy in the property (London Borough of Hounslow, 2012). Considering the Jim and Joanne’s circumstances, they rent a private flat together. They started renting in September 2010 from a private landlord. The landlord gave them an ‘assured’ tenancy agreement for one year. They pay £700 per month. The central heating will not work and the walls are damp. I will explain to them that under this type of tenancy the landlord cannot seek possession of the property they have rented unless he proves that there are grounds for possession or there are rent arrears. Apart from this provision, tenants under this tenancy enjoy similar rights like the tenants under the Assured Shorthold Tenancy (London Borough of Hounslow, 2012). However, compared to AST, assured tenancy gives the tenant more security such as allowing the tenant periodic tenancies which run to indefinite period of time. Their rent is determined by the landlord and is paid for the period in which the tenant stays in the property. However, just like in AST, tenants under assured tenancy have the right to applying to the rent assessment committee in case they want to challenge the amount of rent charged or rent increase (Randall, 2011, p. 56). The provisions and protections relating to assured tenancy is contained in the Housing Act 1988. Since this type of tenancy has more legal implications and consequences to both the landlords and the tenants compared to other types of tenancy such as AST, I would advice Jim and Joanne to take time to familiarize with the issues raised in the provisions covering assured tenancy (Astin, 2011, p. 13). The central heating of Jim and Joanne’s rented flat will not work and the walls are damp; in regard to this aspect, I will explain to them that implied tenancy agreements terms stipulates certain obligations for the tenants and the landlord. These terms may not have been agreed upon between the tenant and landlord but they form part of the contract (Cowan, 2011, p. 58). In the light of this, I will explain to them that most common implied terms require that the landlord must undertake basic repairs necessary on the property. The implied terms also require that the landlord must ensure that the installations such as gas, heating, water, and electricity among others are in good working order. In response, most common implied terms provide an obligation to tenants to take proper care of the property (London Borough of Hounslow, 2012). Q B Explanation to Mohammed will be based on the on the consideration that he has been living with his parents in a house rented from a local authority since 1975. I will explain to Mohammed that their tenancy falls under the Tenancies that are Protected by the Rent Acts. London Borough of Hounslow (2012) explains that this type of tenancy relates to tenancies whose creation was before January 15, 1989; it requires that the tenants should have lived in the property since prior the stated date. Mohammed and his parents have lived in a housed rented from the local authority since 1975 and therefore qualify to be protected by the Rent Acts. Under this type of tenancy, Mohammed and his parents enjoy high degree security of tenure. Also, the rent officer might be the one to set the rent. Tenants under this type of tenancy cannot be evicted from the property without a court order (Standley, 2002, p. 18). Tenants under Tenancies that are Protected by the Rent Acts have right not to be evicted even when they have rent areas; there is no absolute right on the part of the landlord to repossess the property (Cowan, 2011, p. 42). Mohammed and his parents have the legal right to make an application for fair rent in regard to the property. Fair rent is defined as the amount that is set by a rent officer and it is the highest that the landlord can charge. I will explain to Mohammed and his parents that in an event that the tenancy of a tenant ends, the tenancy rights automatically pass to the spouse or any other qualifying member of the family (Randall, 2011, p. 99). Therefore, Mohammed has the right of taking the tenancy as a qualifying member of the family in case the tenancy of his parents ends. It should be noted that despite the benefit of great deal of security under this type of tenancy, it is no longer possible to create such tenancies in present times. Also, it is important to note that in most cases this tenancy does not provide for provision of any other services such as cleaning (Standley, 2002, p. 24). In regard to Melissa, she lives with her parents in a house rented from a private landlord. Her parents have lived there since 1994. I will explain to Melissa that their type of tenancy is Assured Shorthold Tenancy (AST). This is because their tenancy bears all the characteristics of AST namely; their rented property is private, their rented property is their main accommodation, and their tenancy began after January 15, 1989, theirs began in 1994. Therefore, under this type of tenancy, it is expected that their tenancy is for a fixed term which can be either six months or a year depending on their tenancy agreement (London Borough of Hounslow, 2012). Also, their tenancy can be periodic thereby running indefinitely from one rent period to the next; since they have lived in the property since 1994 it means that their tenancy is periodic. Both Melissa and her parents have the right not to be evicted from the property unless there is a court order. Also, in this case eviction is inevitable because of certain reasons; landlord has to serve a two- month notice to the tenant informing the tenant that he or she ought to vacate the property within a given period of time (Cowan, 2011, p. 36). In addition, if the tenants think that the rent being charged by the landlord is considerable higher than the rent amount in the market level, Assured Shorthold Tenants like Melissa and her parents have been granted the right under the Housing Act to refer the rent to the rent assessment committee (Hodgkinson, 2008, p. 19). I will explain to Melissa and her parents that this right can only be exercised validly within the first six months of the tenancy. Therefore, since their tenancy is periodic, they may refer the rent to the committee within the first six months of the beginning of a rent period (Randall, 2011, p. 104). Apart from that, I will explain to them that they have to ensure that they are enjoying all the rights that are usually provided under a tenancy agreement; particular those which binds the landlord to perform certain obligations to the tenants of the property ((Standley, 2002, p. 49-50). Towards this end, I will explain to Melissa and her parents that they are entitled to the following rights under the tenancy agreement: the right to access information concerning their tenancy at any time; the right to dwell in a property that is in good state of repair as the landlord is obligated to make repairs and maintain good state of the property; freedom to live in the property with no unwarranted disturbance at all (London Borough of Hounslow, 2012). However, unlike under Tenancies that are Protected by the Rent Acts, I would explain to Melissa that tenancy rights will not automatically pass to her if her parents die before the tenancy ends. For Rashid, he lives with his parents in a flat rented from a housing association. His parents have lived there since 2005. Since Rashid and his parents have rented a flat from housing association, I would explain to him that the flat they have rented belongs to housing association that has been registered and approved by the Housing Corporation to manage, own, and provide social housing (Cowan, 2011, p. 103). I will further explain to Rashid that they are housing association tenants and that housing association provides accommodation to individuals and families who are not able to rent privately. Also, I will explain to him that there may be a possibility of his parents to buy the property they are currently renting. This is because the provisions that cover housing association tenancy grants the tenants the right to purchase the property they are currently renting at a discount (Randall, 2011, p. 44). Housing association tenants have nearly similar rights as tenants in other types of tenancies especially in regard to basic repairs and maintenance of property. I will let Rashid know that as the housing association tenants they are entitled to housing association services such as mutual or home exchange and support to cope with independent living (Standley, 2002, p. 67). Besides, they have the right to complain; there are procedures and policies which determine how housing associations manage their property, and therefore tenants should follow complaints procedure when they are having complaints against the landlord (London Borough of Hounslow, 2012). Q C As has been noted in the preceding discussion, there are basically five main types of tenancies namely; Assured Shorthold Tenancy (AST), Assured Tenancy, Tenancies that are Protected by the Rent Acts, Statutory Period Tenancies, and Housing Association Tenancy. Before comparing the rights in different tenancies, it is important to make key observations in regard to types of tenancies and how they relate to the landlords and tenants. Cowan (2011, p. 14) argues that regardless of the type of tenancy, there are certain rights and obligations that are attached to both the landlords and the tenants (London Borough of Hounslow, 2012). Also, regardless of the type of tenancy there must be some kind of tenancy agreement; verbal or written, implied or expressed. So what are the rights of the different tenancies? The rights in Assured Shorthold Tenacies protect both the landlords and the tenants. Randall (2011, p. 38) argues that even though under this type of tenancy there is usually fixed term for a given period of time, the tenant has a right to stay in the property for a minimum of six months unless there is a reasonable reason to evict the tenant. Along with that, if the tenant refuses to leave for whichever reason, he or she cannot be evicted in the absence of court order. Also, the assured shorthold tenants have the right to apply to the rent assessment committee if they think it is excessively high and not in line with the market level (Cowan, 2011, p. 22). The main benefit granted to the landlord under the AST is his right to do away with troublesome tenant; the fixed term principle provides for this, as well as seeking of court order if there are reasonable grounds to evict the tenant. In regard to assured tenancy, rights are tilted greatly in favor of the tenant rather than the landlord. Under this type of tenancy, the tenant has the right to stay in the property for unspecified or indefinite period of time (Arden, 2002, p. 50). Besides, the landlord does not have automatic right to repossess the property when the tenancy of a tenant ends; repossession requires that the landlord must prove to the court that there is a reasonable reason for repossession, using one of the repossession grounds provided in the legislation. Tenants under assured tenancies have the right to apply to the rent assessment committee if they think that the rent is excessively high (London Borough of Hounslow, 2012). Moreover, London Borough of Hounslow, (2012) notes, those tenancies that are protected by the rent acts are types of tenancies that have certain rights attached to them but are mostly related to the tenants. Under this type of tenancy the rights therein covers tenants who have lived in such property prior to January 15, 1989. Hodgkinson (2008, p. 34) observes that these tenants have more rights regarding their eviction and also have legal right to apply to the rent assessment committee if they feel that the rent charged is not fair. This type of tenancy provides more rights to the tenants, their spouses, and other qualifying family members; in an event that a tenant dies before the tenancy ends, the tenancy rights automatically pass to the aforementioned persons (Randall, 2011, p. 77). As had been noted earlier, statutory period tenancy is a type of tenancy which relates to AST in many aspects. However, unlike AST, this type of tenancy may allow extended stay by the tenant under statutory periodic tenancy (Astin, D, 2011, p. 60). The last discussed type of tenancy is housing association tenancy which relates to tenants living in social housing that are managed by the housing associations who also act as the landlords to the property. Under this type of tenancy, the expressed tenant rights are the right to acquire the rented property at a discount and right to tenants’ services provided by the housing association (Cowan, 2011, p. 25). Out of the discussed tenancies, Assured Shorthold Tenancy seems to be the best type of tenancy for both the tenants and the landlords. This proposition is based on the evaluation of the rights relating to tenants and landlords in all the types. AST rights provides protection to both the tenant and landlord in the sense that the tenant cannot be evicted without the court order and can stay in the property longer under the periodic tenancy. On the part of the landlord, he has guaranteed right to possess the property as long has he has given the tenant the correct notice two months in advance. Reference List Arden, A 2002, Manual of Housing Law, Sweet & Maxwell. Astin, D 2011, Housing Law: An Adviser’s Handbook, Legal Action Group. Cowan, D, 2011, Housing Law and Policy, Cambridge University Press. Davis, M and Robson, G 2008, Student Housing and the Law, Shelter. Hodgkinson, L, 2008, The Complete Guide to Letting Property, Kogan Page Publisher. London Borough of Hounslow, 2012, Types of Tenancy, Available: http://www.hounslow.gov.uk/index/housing/housing_advice/tenant_information/types_of_tenancy.htm (Accessed: February 10, 2012). Randall, G, 2011, Housing Rights Guide, Shelter Standley, K, 2002, Family Law, Palgrave. Read More