Time To Update Those Dubious Tenancy Agreements

If you have nicked a free tenancy agreement off the internet or repurposed one provided by a letting agent, then now’s the time to throw it in the bin.

Many landlords believe they can rewrite someone else’s tenancy agreement or occupation contract by adding and removing the bits they do not want to apply.

Unfortunately, the law does not work like that.

Landlords cannot cherry-pick the bits they like and ignore the rest.

Just because a clause is included in a tenancy agreement does not make the wording binding on the tenant or the landlord.

Even if the term has sat unchallenged in the agreement for years, a tenant can argue the case in court and have the agreement overturned.

And going to court is costlier than shelling out a tenner or so for a legal agreement.

The courts will apply two tests to a tenancy agreement, a contract between two parties governing their relationship like any other contract.

First, statutory law takes precedent over a contract. So the Housing Act and the various other laws governing buy-to-let and houses in multiple occupation (HMO) trump any clauses in a tenancy agreement.

Next is the test of reasonableness. This is more on the tenant’s side and considers how consumer law applies to the document.

Much of this is governed by the Consumer Rights Act 2015, which revised the guidelines set out in the Unfair Terms in Consumer Contracts Regulations 1999.

Other rules affecting landlords also need to be considered, such as the Renters' Rights Act or Renting Homes (Wales) Act.

The best way to ensure a tenancy agreement or occupation contract is up to date and legal is to use a current document from a reputable supplier at the start of a tenancy.

Free templates are available online, but landlords should check they are using a current document for the correct jurisdiction and letting type. Generic templates often need tailoring and are rarely ideal for a professional landlord.

The Guild of Residential Landlords uses a Tenancy Builder in which various options are selected, and a bespoke agreement for the specific situation is produced. 

The builder includes the appropriate tenancy deposit prescribed information and handouts required to be given to the tenant by law. 

Our agreements are continuously updated - usually about every quarter - and are free for unlimited agreements for Guild subscribers.