Option to Break- Shorthold Tenancy Agreement

[beetee]

Hello!

This is my first post, and hope someone can help!

 

My fiance and I have been renting a furnished 2 bedroom flat in London, and unfortunately there is a chance that due to my fiance's work, we may need to move to Australia before our lease ends. We have never broken a lease before, so this is new to us.

 

We moved into our flat in March 2010 on a six month agreement, and when it expired, we resigned a new six month lease commencing 1st November which will end on 30th April 2011. Before we resigned, we thought there may have been a chance that my fiance's work situation would send us back to Australia around Feb/March, and so we asked if we could continue living here on a rollover type arrangement instead. We were told that that would not be possible, and so we made a choice to resign. We did so because we felt safe knowing that we had a backup with a Break clause in our agreement, which would ask us to give 2 months notice.

 

Just this week, we have found out that that chance of moving early is looking more likely, so we called the Landlord to discuss our possible early move. They are very friendly and have always found them helpful, but they are telling us that in addition to providing 2 months notice to end early, we have to pay a months rent to do so. This is £1200! I could understand that we could be required to cover admin costs to re-let the flat, but this amount seem excessive, especially given that this is not mentioned in the Break Clause.

 

The Break Clause states: "Option to Break (1)- This assured shorthold tenancy may in accordance with the provisions of the Housing Act 1988 (as amended) to be brought to an end before the expiry of the term by not less than 2 months notice in writing being given by the Tenant to the Landlord, such notice not to expire before 30 April 2011. Then on the expiration of such notice the term will cease but without prejdice to the rights and remedies of either party against all other in respect of any antecedent claim or breach of the obligations contained in this agreement."

 

Can they ask for £1200 even though this isn't mentioned in the break clause? We read it to mean that providing the 2 months notice was all that was required from us.

 

Any advice?

 

Thank you!

[Planner]

 

The Break Clause states: "Option to Break (1)- This assured shorthold tenancy may in accordance with the provisions of the Housing Act 1988 (as amended) to be brought to an end before the expiry of the term by not less than 2 months notice in writing being given by the Tenant to the Landlord, such notice not to expire before 30 April 2011. Then on the expiration of such notice the term will cease but without prejdice to the rights and remedies of either party against all other in respect of any antecedent claim or breach of the obligations contained in this agreement."

 

 

Dont want to be the bearer of bad news but what you have posted above isnt a breakclause. It clearly states that the two months notice you can serve must not expire before 30 April 2011. This break clause is meant for a 12 month agreement not a 6 month one.

 

What I am saying is that according to your contract, you have no option to break at all. With that in mind, £1200 sounds quite attractive.

[beetee]

Hi Planner,

 

Thanks for the quick reply. I feel a bit silly now, as how you put it now makes this clause seem quite obvious!

 

I guess we both saw 'break clause' on our lease and figured we had one, even on our six month lease. Given the LL calmed our nervousness over re-signing a new lease by saying 'that is what the break clause is for', we now see that we didn't understand it clearly. Somehow we took it to mean that the 2 months notice needed to be given at least 2 months before 30th April.

 

As you say, if we have to leave, we will just have to pay the £1200. Considering we are saving for our wedding, this is very bad news indeed. But lesson learnt!

 

Thanks again!