Renting Homes: The Final Report - Law Commission

Estate management grounds
5.14 Where possession is sought on the estate management grounds, the court must
not only consider that it is reasonable to make the order 26 but also be satisfied
that suitable alternative accommodation is available, or will be available when the
order takes effect. 27 Detailed guidance on what constitutes suitable alternative
accommodation is set out in the Bill. 28
5.15 The provisions relating to suitable alternative accommodation are similar to the
current law. There is one important change. The Bill provides that there are
circumstances in which, when a possession order is made on an estate
management ground, the landlord should pay the contract-holder a sum of
money to meet the expenses of removal. 29 The Bill provides that, if the sum to be
paid cannot be agreed between the landlord and the contract-holder, it is to be
determined by the court. 30 The Bill also provides that the sum is recoverable from
the landlord as a civil debt. 31
Contract-holder’s notice
5.16 If a contract-holder gives notice that they wish to terminate the contract, but fails
to give up possession of the premises, the landlord may take proceedings for
possession in reliance on the contract-holder’s notice. The landlord must still give
the normal possession notice to the contract-holder. 32 But if the court is satisfied
that the ground is made out, the court is obliged to make an order for
possession. 33 In other words, this is a mandatory ground for possession.
Landlord’s notice
5.17 Any landlord under a periodic standard contract, which incorporates the relevant
fundamental provisions relating to the landlord’s notice, 34 may seek possession
on this ground. In other words, the procedure currently available to private
landlords letting under assured shorthold tenancies is extended to all
circumstances in which a standard contract has been made incorporating these
fundamental provisions. In this case, no separate possession notice need be
served. If the court is satisfied that the ground is made out, the court must make
the order for possession. 35
26 The same principles relating to the structuring of the court’s discretionary power apply in
this context as well; cl 200(3) referring to sch 7. See below, at paras 5.31 to 5.42.
27 Cl 200(2).
28 Cl 72(3) and sch 5.
29 Discussed in the estate management grounds: see above, at para 4.75.
30 Cls 185(3) and 200(6)(a).
31 Cl 200(6)(b).
32 Discussed above, at paras 4.27 and 4.28.
33 Cls 168(2) and 195(1) and (2)(a).
34 Cls 173 to 179.
35 Cls 175(2), 195(1) and (2)(b).
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