Section 21 in renewed tenancy: break clause timing concerns?

Section 21 in renewed tenancy: break clause timing concerns?

0:01 AM, 2nd July 2024, About 6 months ago 13

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Hi, we have an AST commencing 22-March-24 finishing on 21-March-25 (and monthly periodic thereafter) with a 6-month break clause (which should start from 22-September-24).

This is not the original AST with our tenants as they started renting our property from February 2020 and we still have copies of those previous ASTs.

The Break Clause on the current AST states: “This tenancy agreement may be terminated by either party giving at least 2 months’ notice in writing on of before the rent due date, to expire at any time after 6 months from the start of this agreement.”

We have come across a seemingly helpful article from Shelter >> https://england.shelter.org.uk/professional_resources/news_and_updates/section_21_getting_the_dates_right

Under title “When a section 21 notice is given too early” it states the following: “Landlords cannot rely on Section 21 notices where they give the notice too early.

A notice cannot be given within the first four months from the date the tenancy began. This applies only to the original tenancy. It does not apply to a tenancy renewed at the end of the original term or to a statutory periodic tenancy.

This limitation makes little sense, since a landlord who renews a tenancy for a further fixed term is permitted to give the section 21 notice as soon as that tenancy starts. Yet, unless there is a break clause, the earliest the notice can take effect is at the end of the fixed term.”

As we are worried about the impending demise of Section 21, we have a couple of questions:
1) What is the relevant legislation that applies to Shelter’s quote regarding minimum 4-months’ notice applying only to the original tenancy? Does it explain what happens with Renewed Tenancies?

2) Our managing agents are saying that the break clause cannot be invoked (i.e. notice cannot be given) until 6 months of the AST has gone, whereas our position is that we can give at least 2-months’ notice before the 6 months is up i.e. notice given on or before 22-July-24 for a date of 22-September-24. We have checked with 2 other agents in our area. One agrees with us, the other agrees with our agent!

We know, in past posts on this forum, that people have said that notice can be given after 4-months with a break clause, but can it be given after 3-months on a renewed tenancy? We know that a Section 21 only lasts for 6 months. Since there seems to be confusion within managing agents, we need some clarity/details of the legislation, if possible, so that we can present this to the agents to force the issue.

Sorry for the short notice, but any help/advice that you can give us would be greatly appreciated.

Regards,

Neil


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Alison Clark

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7:37 AM, 8th July 2024, About 6 months ago

Reply to the comment left by Neil Liberty at 07/07/2024 - 22:05
Thank you Neil.

Yes I agree.

Good luck!

Neil Liberty

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8:44 AM, 8th July 2024, About 6 months ago

This may help you in your search

https://solicitors.lawsociety.org.uk/

Good luck!

Alison Clark

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9:17 AM, 8th July 2024, About 6 months ago

Reply to the comment left by Neil Liberty at 08/07/2024 - 08:44
Thank you.

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