Renting Homes: The Final Report - Law Commission

3.70 Where a fixed term standard contract expires, it is deemed to become a periodic
standard contract by operation of law. 149 In this case, the relevant rent variation
terms apply to the new periodic contract. 150
Variation by Act of Parliament
3.71 The terms of any occupation contract may also, of course, be varied by or as a
result of any enactment. 151 Our contracts provide a way for Parliament to respond
to emerging public concerns in a flexible and straightforward way. For example,
though this is currently not the case, it might be envisaged that one day a
Government might wish to make the installation of a fire alarm a term of any
occupation contract. This provision allows this to be achieved by statutory
amendment.
Enforcement
3.72 Given the importance of the landlord providing the contract-holder with a written
statement of any variation, the Bill provides for the payment of compensation for
failure to do this, on bases similar to those provided for failure to provide a written
statement of the contract. 152
CONVERSION OF EXISTING TENANCIES AND LICENCES TO OCCUPATION
CONTRACTS
3.73 One of the historic causes of complexity in housing law is the tendency, when
new legislation is passed, to leave existing legislation in place and not clear the
decks. We have sought to avoid this result. The Bill provides that:
(1) On the day on which the new regime comes into effect – the appointed
day - existing tenancies or licences that are secure, assured, assured
shorthold or other defined forms of tenancies cease to be such. Any such
tenancy or licence due to come into effect after the appointed date does
not take effect as such but as an occupation contract. 153
149 Cl 165(2).
150 Cl 165(4) provides that the fundamental provisions applicable to periodic standard
contracts are incorporated as terms of the new contract without modification.
151 Cls 79(b), 84(b) and 89(1)(b).
152 Cl 92.
153 Cls 218 and 219. Special arrangements have been made in relation to agreements falling
within the Rent Act 1977 (cl 221) and the Rent (Agriculture) Act 1976 (cl 222). The reasons
for this are discussed above, at paras 2.5 and 2.6.
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