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The distinction between having a tenancy and a simple permission to enter premises known under English law as a licence; is defined by the case of Street v Mountford. This case sets out the requisite, which is required in order to create a tenancy, one...

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Introduction

The distinction between having a tenancy and a simple permission to enter premises known under English law as a licence; is defined by the case of Street v Mountford. This case sets out the requisite, which is required in order to create a tenancy, one of which is known as exclusive possession. This is often known as a hallmark of a tenancy since having this right allows a tenant to exclude the world if need be it including the landlord unless he/she is to exercise a right under the tenancy agreement to view, repair or maintain a property. (i) In case scenario (I), Jade has allowed her nephew to stay in her home while she is away in India, no rent is being charged but she expects him to look after the cats while she is away and to pay for consumption of energy utilities (gas and electricity). In contractual terms I would interpret this as Jade allowing her nephew to stay rent free on the condition he looks after the cats and for reasons of fairness to pay his way in a manner of utility bills. ...read more.

Middle

The courts tend to disregard the family/friends agreement as lease, but there has been a case where it did create a tenancy.4 (ii) The case scenario involving Graham, a mentally unbalanced man who is living in a house with four others under supervision, is similar to a lodger but the difference being Graham is under care. To understand whether Graham has a licence or a lease it would be natural to consider whether he has exclusive possession of a separate dwelling. Although there is no statutory definition of a dwelling, case law has helped to point the courts to the meaning. The case of Uratemp Ventures Ltd -v- Collins, Same -v- Carell5, states that cooking facilities would be an essential element in deciding whether it was a dwelling. Graham has a room with en suite and cooking facilities. Along with this and the weekly rent I would in normal circumstances suggest he has lease rather than a licence, he lives in a self-contained room with others in house and enjoys exclusive possession of his room. ...read more.

Conclusion

He pays rent but it doesn't state whether he has term which is the third requirement set out by the case. This scenario is slightly difficult in deciding whether the agreement is a mere licence or tenancy. Since the introduction of the Rent and Housing Act landlords have set out to disguise agreements as licences when actual fact it is a tenancy. So although in writing it states the agreement is a licence the courts will take the realities of the accommodation when deciding a case. A case that resembles similar facts, as Ted's is the case of Family Housing Association v Jones 19907. 1 Cobb v. Lane [1952] 1 T.L.R. 1037 2 Ashburn Anstalt v WJ Arnold & Co [1989] Ch. 1 [1988] 2 W.L.R. 706 3 Housing Act 1988 CHAPTER 50 PART I RENTED ACCOMMODATION CHAPTER I ASSURED TENANCIES 4 Ward v Warnke CA (1990) 22 H.L.R. 496 5 Uratemp Ventures Ltd -v- Collins, Same -v- Carell CA [1999] 6 Westminster City Council v Clarke [1992] 2 AC 288 7 Family Housing Association v Jones [1990] 1 W.L.R. 779 [1990] ...read more.

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