Section: Private Sector

New Regulations

Source: Office of Public Sector Information

Housing (Management Orders and Empty Dwelling Management Orders) (Supplemental Provisions) (Wales) Regulations 2006 SI 2822 (W.245)

These Regulations make supplementary provisions where the local housing authority is to be treated as the lessee under a lease of premises that are subject to an interim or final Management Order made under Chapter 1 of Part 4 of the Housing Act 2004 or an interim or final Empty Dwelling Management Order ("EDMO") made under Chapter 2 of Part 4 of the Act.

An interim Management Order is an order made by a local housing authority in respect of a house in multiple occupation as defined in section 254 of the Act or a house to which Part 3 of the Act applies. It is made to protect the health and safety of occupiers of a house or neighbouring premises and promote the house's property management. A final Management Order is an Order (expiring not more than five years after it is made) which is made by a local housing authority for the purpose of securing the proper management of the house on a long term basis in accordance with a management scheme contained in the order. (Section 101 of the Act).

An interim EDMO is an order made by a local housing authority to enable it to take steps for the purpose of securing that a dwelling becomes and continues to be occupied. A local housing authority must make reasonable efforts to notify the relevant proprietor that they are considering making such an order and to ascertain what steps the relevant proprietor is taking, or is intending to take, to secure that the property is occupied. A final EDMO is made in succession to an interim EDMO for the purpose of securing that a dwelling is occupied (Sections 132 and 133 of the Act).

Once an interim or final Management Order or EDMO is in force the local housing authority obtain rights in relation to the premises, which are described in Chapters 1 and 2 of Part 4 of the Act. The authority does not, however, acquire any estate or interest in the premises and so have no power of disposition. Where the immediate landlord of the premises (or, except in the case of EDMOs, of part of premises) is lessee under a lease of the premises (or part), the local housing authority is to be treated as if they were the lessee instead (but still without acquiring an estate or interest). (Sections 107 and 116 of, and paragraphs 2 and 10 of Schedule 7 to, the Act).

Regulation 3 applies where a local housing authority are to be treated as lessee of premises instead of another person (the relevant person). It requires the local housing authority to give notice to the immediate lessor of that relevant person that a Management Order or EDMO has been made and explain the consequences of the order. It provides for the local housing authority to be liable for the payment of ground rent, service charges and other charges due as if it were the lessee, from date the order comes into force, but requires the relevant person to be sent copies of any notices served on the local housing authority.
The Housing (Empty Dwelling Management Orders) (Prescribed Exceptions and Requirements) (Wales) Order 2006 SI 2823 (W.246)

Chapter 2 of Part 4 of the Housing Act 2004 deals with the making of interim and final Empty Dwelling Management Orders (EDMOs) which may be made by a local housing authority in respect of dwellings which are wholly unoccupied.

An interim EDMO is an order made by a local housing authority to enable it to take steps for the purpose of securing that a dwelling becomes and continues to be occupied. A final EDMO is made in succession to an interim EDMO for the purpose of securing that a dwelling is occupied. (Section 132 of the Act).

A local housing authority must make reasonable efforts to notify the relevant proprietor that they are considering making an interim EDMO and to ascertain what steps the relevant proprietor is taking, or is intending to take, to secure that the property is occupied. The making of such an Order requires the authorisation of a residential property tribunal. A residential property tribunal will not authorise the making of an interim EDMO where it is satisfied that the case falls within a prescribed exception. (Section 133 of the Act).

Article 2 of this Order prescribes the exceptions for the purposes of a residential property tribunal's authorisation.

Article 3 of this Order prescribes the additional requirements that a local housing authority must comply with when making an application to a residential property tribunal for authorisation of an interim EDMO.
The Selective Licensing of Houses (Specified Exemptions) (Wales) Order 2006 SI 2824 (W.247)

This Order specifies the descriptions of tenancies and licences of houses, or of dwellings contained in houses, that are exempt tenancies or licences for the purposes of Part 3 of the Housing Act 2004 ("the Act"). The effect of the exemption is that Part 3 of the Act does not apply to houses in Wales that are subject to a tenancy or licence described in article 2 and they are not, therefore, subject to the licensing requirements described in section 85 of the Act.
The Selective Licensing of Houses (Additional Conditions) (Wales) Order 2006 SI 2825 (W.248)

Section 80 of the Housing Act 2004 (Designation of selective licensing areas) allows a local housing authority to designate either the area of their district, or an area in their district as subject to selective licensing if the requirements of subsections (2) and (9) are met.

Section 80, subsection (7) of the Act allows the National Assembly for Wales to provide for any conditions specified in an order to apply as an additional set of conditions for the purposes of subsection (2). Subsection (2) provides that the authority must consider that the first or second set of general conditions mentioned in subsection (3) or (6), or any conditions specified in an order under subsection (7) as an additional set of conditions, are satisfied in relation to the area.

Article 3 of this Order sets out the additional conditions which must be met before a local housing authority designate an area of their district or an area in their district as subject to selective licensing.

Case Law Update

Under the terms of the lease, a tenant had the option to purchase the freehold on not less than three months notice to expire before 6 February 2004. The tenant's solicitors sought to exercise that option by a letter dated 27 August 2003, expressed to expire on 7 November 2003. A further correspondence in October 2003 gave the same date.

Later, the solicitors accepted that there had been a typographic error and the date they had meant to use in the letter was 7 December 2003.

The Judge decided that the letter did not give the required three months notice. After reviewing the authorities on the validity of notices given between landlord and tenant, he held that the letter did not place beyond reasonable doubt how and when it was to take effect and was, therefore, ineffective to exercise the option.

Peaceform Ltd v Cussens [2006] EWHC 2657 (Ch), 16 October 2006
Whilst not in occupation, Mr Rehman allowed a house he owned to become dilapidated and it was squatted.

In March 1991, a Mrs Benfield changed the locks to the premises, and, in October 1991, she began living in the house. She intended to acquire the property by adverse possession.

In October 2004, the owner sought possession of his house. Mrs Benfield claimed the right to title in her name, by virtue of having occupied the premises continuously for more than 12 years. To defeat her claim, the owner needed to establish that Mrs Benfield had acknowledged his title within the relevant 12 years period.

The Court of Appeal held that Mrs Benfield's signature to an invalid counterpart lease within that relevant period amounted to such an acknowledgement, and, therefore, her claim failed.

Rehman v Benfield [2006] EWCA Civ 1392 (CA), 26 October 2006

Section: Private Sector

New Regulations

Case Law Update

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Reporting on Sept.-October 2006

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