Cancelling Assured Shorthold Tenancy

[soi_luong]

Hello all,

There's something I don't quite understand about my contract and can someone please help me on my issue.

I've got an assured shorthold tenancy contract starting from 01 OCT 2007 and ending on 30/09/2008. However, I would like to terminate my contract now and leave at end of June.

My tenants break clause states:

2.5.1 If the Tenant intends to vacate at the end of the fixed term he must give the Landlord at least two months notice in writing.

2.5.2 The Tenant may bring the tenancy to an end at any time (but not within twelve months of the original commencement date) by giving the Landlord at least two months notice in writing from the rent due date stated in clause 1.7.4

...

1.7.4 Thereafter the rent will be due on the monthly anniversary of this agreement.

This is somewhat confusing to me so I called up my landlord enquiring about this and they said "if I want to terminate the contract that is completely fine, just give us two months notice and I will not need to pay the £180 + VAT" (this fee is stated on the contract), but today I called up again asking if I gave the letter of termination today will I qualify for the two months notice and avoid paying the £180 as I want to leave at end of June and the lady told me I'll need to pay £180 and pay the rent for until they find new tenants.

So, really if I paid the £180 to terminate my contract early and if they don't find new tenants then I'll just be paying an extra £180 + rents until end of September?

Thank you for your response

[Steve__M]

My understanding of it is:

You can either leave on the 30/9/08 - you don't have to give notice if you want to leave on that date.

Or you can leave on the 30th of any month after September as long as you give one month's notice (one month is a statutary requirement that cannot be overridden by the contract).

But, if you leave before 30/9 you are liable to the rent till they relet the place (or until 30/9)

I don't know about the £180 as you've not said what it is for. I'm guessing it must pay for some service such as a checkout survey?

[soi_luong]

oh thank you!

the £180 is the cancellation fee. my agent loves to charge me for everything and they have the worse customer service ever which is very stressful...

[Ed999]

Please read this thread: Shorthold Tenancy - posession, eviction and notice

It explains the law regarding ending a shorthold tenancy during the fixed term. In case you're not aware of it, you in fact have a tenancy for a fixed term of one year, the fixed term ending on 30 September next.

It also explains the law regarding your legal position when the fixed term ends.

You have been conned: your tenancy purports to give you a right to end the tenancy before the end of the 12 month fixed term, but also provides that you *cannot* exercise that right in the first 12 months! What this boils down to is that you actually have NO right to get out early.

The best you can do is give 2 months written notice prior to 30th July, to expire on 30th September. Give it a couple of weeks before 30th July, because the landlord must *receive* it more than 2 clear months before the date on which it takes effect.

But such a notice is probably irrelevent in your situation, since you have a statutory right in law (regardless of what the contract says) to leave on the last day of the fixed term, i.e. on 30th September.

Read this thread carefully: Shorthold Tenancy - posession, eviction and notice


Advice & opinions on this forum are offered informally, without any assumption of liability. Use your own judgment. Seek advice of a qualified and insured professional if you have any doubts.

[soi_luong]

Thank you Ed, i understand now.

Yeah, i agree it's pretty pointless in giving me that break clause and i know that if i do agree on paying the £180 to terminate my agreement and find new tenants for the property (because i know my agents won't do it) then would that work out for me?

[Ed999]

If you intend to leave early, before the end of the fixed term, read this thread: Tenant leaves early: whether landlord has a duty to mitigate his losses - new caselaw

That "sticky" sets out in detail your legal rights in that situation.


Advice & opinions on this forum are offered informally, without any assumption of liability. Use your own judgment. Seek advice of a qualified and insured professional if you have any doubts.