Ceredigion Model Contract. Alan Davies (EHO Ceredigion County Council)

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1 Ceredigion Model Contract Alan Davies (EHO Ceredigion County Council)

2 Legislative framework Unfair Terms in Consumer Contracts Regulations 1999 (Consumer Rights Act 2015) That cause a significant imbalance in the parties' rights and obligations arising under the contract, to the detriment of the consumer The Consumer Protection from Unfair Trading Regulations 2008 Misleading actions and misleading omissions Provide sufficient information for the average consumer to make an informed decision. Housing Act 2004: Part 2/3 Licensing of HMOs/houses Mandatory and additional licensing schemes: Licence Conditions The Management of Houses in Multiple Occupation Regulations 2006 Provision and maintenance of fire alarms; water supply and drainage; gas and electricity. Maintaining common parts in good repair, safe working condition. Duties of the occupiers/ tenants The Protection from Eviction Act 1977 unlawful eviction and harassment 6 May 2015

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4 Misleading information A commercial practice that contains false information and is therefore untruthful or if it or its overall presentation in any way deceives or is likely to deceive Misleading omissions A commercial practice that omits material information, or provides it in a manner which is unclear, unintelligible, ambiguous or untimely. Aggressive practices A commercial practice that significantly impairs freedom of choice or conduct in relation to the product concerned through the use of harassment, coercion or undue influence.

5 78 per cent of all landlords only owned a single dwelling for rent Clear pre-contract information Transparent fees Clear charges in the contract Increased competition Standardised contracts and processes Advice and enforcement landlords and tenants are not sufficiently aware of their rights (and obligations)

6 HMO Licence Conditions Housing Act 2004 (Schedule 4) Conditions Gas Installations and Appliances Electrical Appliances and Furniture Fire Detection and Alarm Systems Tenancy Agreements: Must supply to the occupiers of the house a written statement of the terms on which they occupy it. Services and Appliances Fire Precautions, Equipment and Management Tenancy Related Matters Protection from eviction Withholding of supplies Duty to display information Anti-Social Behaviour take all reasonable and practicable steps to prevent or reduce anti-social behaviour by persons occupying or visiting the house. Waste Management Street Scene Management Conditions Required Works Schedule

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8 LOCAL CHALLENGES

9 Ceredigion Private Sector Housing Landlords and Agents Steering Group We want to consult, involve and listen to landlords and agents over issues of mutual interest regarding private rented housing market Objectives Develop a good working partnership between the Local Authority, Private Sector Landlords and Managing Agents, Tenants (Tenant Representative Groups) and Universities. Share experience of legislation relating to housing safety standards required for rented accommodation, and Landlord and Tenant Law. Consider proposed changes to legislation/consultation documents and provide feedback, as a group, to the appropriate organisations. Promote good practice by improving awareness of landlord's current and future legal obligations as they arise. PRS Steering Group (quarterly): Landlords Forums (Bi-Annual) Development of a Ceredigion Approved Standard Contract

10 Law Commission Report RENTING HOMES IN WALES (LAW COM No 337) April 2013 Renting Homes: A better way for Wales (20 May 2013) Development of a Model Contract from early 2013: TS/PHP L lords steering group Guild of Students UWA Accred. Letting Agents Renting Homes (Wales) Bill February 2015 Stage 1 - Public Consultations April to June 2015 Landlords Steering Group- Aims to produce a GPTA Developing the model contract Completed Ceredigion Model Contracts: Presented to Steering Group for Approval

11 Tenant groups Tenant focus groups Welsh Government Local letting agents Office of Fair Trading Local landlords Specialist legal opinion RHB illustrative contract Model contract Developing PRS regulation

12 Aims: Model Contract Clearly highlights key matters: Contractual periods Fees/ rents/ utilities obligations Expected management service Tenancy deposit scheme rights and obligations Clear understanding of contractual rights and responsibilities- Landlord and tenant Joint and several liabilities Rights of occupation during summer periods Sets the contract out in a plain language format: But legally binding/ compliant

13 Aims: Model Contract Continued Includes examples and key definitions/ information Transferable template to multiple languages Sets out repairing obligations Landlord and Tenant Act 1985 Housing Act 2004: Part 1: Category 1 Hazards Intended for promotion as a good practice contract endorsed by the LA, University, Guild of Students Prepare landlords for the introduction of the Renting Homes (Wales) Bill

14 I have read and fully agree to the terms and conditions

15 Renting Homes Bill Standard Contract The Renting Homes Bill Periodic / Fixed- Houses and Flats Fundamental / Supplementary terms Key Matters Includes. Additional Terms Ceredigion Model Contract Assured Shorthold Tenancy Agreement The Housing Act 1988 Periodic / Fixed- Houses and Flats Used without modification or amendment Includes Additional Terms Key Facts Sheet

16 Renting Homes Bill Standard Contract Contents Ceredigion Model Contract A Key information and charges I Transferring occupancy rights B Liability for rent and other charges J Termination of the contract: general C Prohibited conduct K Termination by you D Control of the premises L Termination by the landlord E Numbers of other occupants M Variation F Care of the premises N Other matters G Making changes to the premises O Additional terms H Security and safety

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