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Superstrike vs Rodrigues ruling Should I Create a longer ast agreement to avoid confusion with the tds law?
There was a recent ruling where a landlord fell foul of confusing rules regarding the tenancy deposit protection scheme because technically a new tenancy was formed every month after the initial tenancy period ended.
In order to protect myself from this kind of rubbish instead of creating a tenancy for 6 months, should I do it say for 2 years, with break clauses ?
Or could this give me problems for some other reason ?
1 Answer
- 8 years agoFavourite answer
Superstrike Vs Rodrigues did not decide that a new tenancy is created every month after a fixed term ends.
It confirmed that a new tenancy is created on the expiry of a fixed term, but that tenancy stays in effect until a new fixed term tenancy is created. This has always been the case.
The advice given by all 3 deposit schemes is to issue new 'prescribed information' at the start of the new periodic tenancy. At present, all 3 schemes continue to protect the deposit when the tenancy transfers form the original to a 'statutory periodic tenancy' but there is a suspicion that TDS and My|Deposits may introduce fees for this. If that happens, you will be advised.
Many BTL mortgages do not allow tenancy agreements longer than 12 months.