| LANDLORD AND TENANT ─ Security of tenure ─ Assured shorthold tenancy for fixed term ─ Annual rent payable quarterly in advance ─ Tenant remaining in occupation after expiry of term ─ Whether annual tenancy ─ Whether landlord’s notice for possession giving three months’ notice valid ─ Housing Act 1988, s 5
Church Commissioners for England v Meya [2006] EWCA Civ 821
CA: Ward and Smith LJJ and Cresswell J: 21 June 2006
On the expiry of an assured shorthold tenancy for a term of one year less a day at an annual rent payable by equal quarterly payments in advance the statutory periodic tenancy arising under s 5 of the Housing Act 1988 was a quarterly, and not an annual, one.
The Court of Appeal so held in reserved judgments allowing an appeal by the landlord, the Church Commissioners for England, from a decision of Deputy District Judge Lawrence in the Central London County Court that had upheld a claim by the tenant, Ms Gisele Meya, that her tenancy of Flat 72 Devonport, London W2, was an annual one so that the issue of possession proceedings was premature.
Section 5 of the Housing Act 1988 made provision for bringing to an end an assured tenancy. Section 5(2) provides on a fixed term coming to an end for the tenant be entitled to remain in possession, his right to do so depending on a periodic tenancy arising by virtue of the section. Section 5(3) provides “The periodic tenancy referred to in subsection (2) above is one (d) under which the periods of the tenancy are the same as those for which rent was last payable under the fixed term tenancy …”
WARD LJ said that the task was to construe the legislation introducing assured tenancies, giving the words their ordinary meaning. One might slip into error in asking what was the period for which rent was payable under the fixed term tenancy instead, more accurately, asking what was the period for which it was last payable. Meaning had to be given to the word “last”. The answer was thus susceptible of more certainty. The question compelled one to ascertain what amount of rent was actually last payable under the terms of the tenancy and the answer was that because the agreement provided for the rent to be paid by instalments. Asking then for what period that last payment was payable provided the answer that it was for a quarterly period. Here the rent was an annual rent but it was expressly payable quarterly in advance. The last payment of £4,420 was payable in advance for the September 2004 quarter. So the period was a quarterly period. Thus the appeal should be allowed, the tenant to be ordered to give up possession in 28 days.
SMITH LJ and CRESSWELL J agreed.
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