The TFA 2019 is part of a wave of new reforms to the private rental market to make it fairer for tenants and avoid allegedly bad practices on the part of landlords and landlords. One of the main objectives of TFA 2019 is to pay for the services of the person hosting them. The law will now apply to these leases, since the transitional provisions have expired. Any clause in the agreement requiring a prohibited payment no longer binds the tenant from June 1, 2020. If a landlord/agent accidentally accepts a payment, he has 28 days to return it to the tenant, otherwise it is a prohibited payment and they break the law. However, all payments made before that date (i.e. until May 31, 2020) remain legal, as they were made during the transitional period during which the TFA restrictions were not enforced. A rental deposit (which is made to ensure the execution of the lease) is an authorized payment. The protection and prescribed information requirements, etc. (a) are not changed in accordance with a clause in the tenancy agreement that allows the rent to be increased or reduced in the tenancy agreement depending on the circumstances or (b) by agreement between the lessor and the tenant after the conclusion of the tenancy agreement. The law does not apply to leases that would be used when the lease is leased for a business or when it is not, for example, individuals or the main apartment.
It is only when the lessor requests and receives a prohibited payment that the restrictions on the delivery of a section 21 apply. If an owner requests such a request and receives payment, the owner of Section 21 is not affected. Compare z.B. rental deposit systems in which the lessor (in our opinion) is (in our opinion) prevented from using section 21 if a broker does not protect or provide correct information. It is nice to see that this legislation is fairer in this regard. This may be a request from the tenant, either before a fixed term expires or in the case of a periodic lease, without the tenant indicating the termination period prescribed in the tenancy agreement or under a rule of law. As has become the case in modern housing laws, in addition to a fine, there are often restrictions on the distribution of a notice in accordance with Section 21 (rental bonds, CEBs, gas safety, etc.). Landlords and landlords should immediately review and update all standard form leases and leases under negotiation to ensure that leases concluded after June 1, 2019 do not violate TFA 2019. At the beginning of a new lease, you may have to pay a deposit, a surety for damages and a down payment. As of June 1, 2019, deposits are limited to 1 week`s rent, most of the damages sureties at 5 weeks` rent. If the total value of your lease exceeds $50,000 per year, the lessor can charge you a 6-week security deposit. As of June 1, 2019, the law applies to all new agreements that are actively granted on or after that date, including renewal agreements.
Under the transitional provisions of the Act, the prohibition does not apply to leases entered into before June 1, 2019 or to statutory periodic leases born at the end of temporary asTs started before June 1, 2019. The transition period has now passed and, as of June 1, 2020, the law applies to all relevant leases. However, there will still be some differences in how the different rules apply, depending on when the lease was granted and when the payment was made. A lessor is prohibited from hearing a valid Section 21 notification under the Housing Act 1988, while it continues to violate TFA 2019.