Renting Homes: The Final Report - Law Commission
Renting Homes: The Final Report - Law Commission
Renting Homes: The Final Report - Law Commission
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PART 2<br />
THE SCHEME IN OUTLINE<br />
2.1 In outline the scheme provides as follows. 1<br />
COVERAGE<br />
2.2 Unless otherwise excluded, 2 all contracts to occupy premises for residential<br />
purposes come within the scheme.<br />
CONTRACT TYPES<br />
2.3 <strong>The</strong>re are two types of occupation contract:<br />
(1) the secure contract, modelled on the present secure tenancy, giving<br />
substantial security of tenure protected by statute; and<br />
(2) the standard contract, modelled on the present assured shorthold<br />
tenancy, where the duration of the occupation is determined by the<br />
contract.<br />
Community landlords will be required to enter into secure contracts, except where<br />
the Bill allows them to enter into standard contracts (for example as probationary<br />
contracts, or following a court order after the anti-social behaviour term has been<br />
breached).<br />
2.4<br />
Conversion of existing tenancies and licences to occupation contracts<br />
Existing tenancy agreements and licences are converted into either secure or<br />
standard contracts. This is necessary to prevent the ever-increasing<br />
accumulation of different types of tenancy which happened in the past. Further<br />
detail on conversion is set out in Part 3.<br />
Exceptions<br />
2.5 <strong>The</strong>re are two exceptions. First, following public consultation, we do not<br />
recommend automatic conversion of agreements still protected by the Rent Act<br />
1977 (protected and statutory tenancies). <strong>The</strong>ir conversion to secure contracts<br />
would be logical. But there is considerable resistance to the idea from the tenants<br />
who would be most affected. Nevertheless, we include a power enabling the<br />
appropriate authority to bring this group into the new scheme. 3<br />
1<br />
In <strong>Renting</strong> <strong>Homes</strong> (2003) <strong>Law</strong> Com No 284, the scheme in outline, and the scope of the<br />
scheme, were discussed in Parts 3 and 6 respectively.<br />
2 See below, at paras 2.56 to 2.62.<br />
3 Cl 221. <strong>The</strong> appropriate authority is defined in cl 228 as the National Assembly for Wales,<br />
in relation to Wales, and in any other case the Secretary of State.<br />
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