Legal news
Tenant granted Assured Tenancy despite steps to recover possession - 6th January 2012
Letter sent in error by a landlords’ employee converted AST into an assured tenancy – Saxon Weald Homes Limited –v Chadwick [2011]
The facts were that the tenant had been granted an AST for a probationary period of a year. The AST stated if the tenant successfully completed the probationary period, the AST would be converted to an assured tenancy. The tenant breached the AST and the landlord took steps to recover possession of the property prior to the end of the probationary period. The landlord’s housing manager was, however, unaware of the landlord’s intentions to recover possession and upon the expiry of the probationary period, erroneously, sent out a standard letter to the tenant stating that the AST had been converted into an assured tenancy.
Initially, the district judge found in favour of the landlord and granted an order for possession, however, both the County Court and the Court of Appeal, sided with the tenant. The Court held that the letter was not ambiguous and it could operate as a notice under the Housing Act. The landlord’s argument that the letter was unclear given the background of its steps to gain possession failed. The tenant was not expected to enquire into, or think about, for the landlord’s reasons for serving an unambiguous notice. In any event the tenant might well think that the landlord had simply changed its mind. This case is a useful reminder to landlords to ensure that all relevant staff is well aware of the landlord’s decision on whether or not to extend or convert an AST, or issue notice seeking possession upon the expiry of the probationary period so nothing is done in error to jeopardise the landlord’s intentions.
If you have any kind of tenancy dispute, contact Anna Gora at agora@pwhmllp.com
