Rental Issues: Tenant Notice in periodic agreement.

By Steve Roulstone

This is one of those subjects that always causes problems when Tenants wish to end a Tenancy but do not understand the manner in which the agreements have to be handled once an agreement has become periodic, so I would like to clarify, without giving to many ifs and buts, which is what you find whenever you research this issue, in simple terms.

Periodic agreement.

Firstly, let’s confirm what a periodic agreement is. This is when an Assured Shorthold Tenancy agreement has gone past its original fixed period and whilst the agreement still applies to both parties, it has not been superseded by another agreement and nobody has given Notice. This is a very common form of allowing Tenants to stay in the property, but without having to tie them down to another fixed period. As I have stated before, flexibility is usually the choice of the Tenant in reality and Landlords who wish to have fixed terms only, can cause Tenants to move on anyway, because they feel they no longer have the freedom to move when they wish.

Notice when they choose.

And this is why it is popular with so many Tenants, because the opportunity to move when they wish ensures they can make that move when it suits the Tenant. In reality, it is my experience, that just to have the flexibility does not mean that they will then leave. Rather being given a choice to make about committing to another period of time actually forces a decision as against moving when a Tenants agreements become periodic after the initial term, but it is when that notice is given, that problems can occur if the manner of notice is not followed correctly.

Correct Notice.

The correct way to give notice on a periodic agreement is firstly to do so in writing (some agents will accept e-mail, but always check rather than assume) and then if a problem occurs it is because of the timing of this notice. Any notice on a periodic agreement must be in line with the payment dates of the agreement. Therefore, if rent is paid from the first to the last day of the month, as the easiest example, whatever day notice is given, the Tenant will be responsible for the rent and property until the last day of the following month the notice was produced and handed over. To clarify further, no matter what date the notice is handed in, from the 1^st to the last day, when the payment period is the 1^st of the month to the last, the Tenant,’s notice will end on the last day of the following month, ensuring that the notice served covers a complete payment period from the 1^st to the last day.

Varients.

The situation can alter if rent due date continues to be from the date the Tenancy started. In my case we always make the payment date the first, ensuring Tenants always leave on the last day of any calendar month. But if you moved in on the 10^th, then your payment period is from that day until the 9^th and your Tenancy will end on the 9^th, and your notice will therefore always cover a full monthly payment period between the 10^th and the 9th.

Knowledge.

Of course, knowledge is everything and hopefully your Agent/Landlord would have explained this at the start of the Tenancy, but because it is complicated and so many people believe that notice is just a four week period starting from the day notice is given, this so often becomes a confusing situation at the end of what has hopefully been an enjoyable stay. Again from personal experience, even when this is explained at the beginning of a Tenancy, if the Tenant has lived at the property for two to three years, then of course remembering becomes very difficult. So please bear with your Agent or Landlord when they explain this situation, they are after all, only explaining how the law works!