The hugely popular LandlordZONE forums are where landlords share their experiences, exchange tips and ask for advice. We answer a recent question and turn to the experts at Hamilton Fraser to give their best answer!

Question: My current tenancy agreement has a break clause which allows the tenancy to be ended after four months by giving two months’ notice. Can we both agree to sign a new contract which puts further into the future the earliest available opportunity to enact the break clause?

Answer by Mike Morgan (pictured, below), Legal Division Manager at Hamilton Fraser and Head of HF Assist.

“Both the landlord and the tenant in this instance would appreciate the greater security of tenure which could be offered by a tenancy agreement which sets out a longer period before a break clause can be enacted.

While it is perfectly in order to sign a new tenancy agreement to replace the existing one (which is effectively surrendered once a new agreement is signed), it is important to think through the consequences of this approach.

Specifically, who does the new agreement benefit? Although another break clause will benefit the tenant, it undermines the certainty of another fixed term. It may therefore be better to run with a fixed term without a break clause, and negotiate an early surrender should the need arise.”

Find out more about tenancy agreements, including the implications of ending a tenancy agreement early, in Hamilton Fraser’s article How to create a legal and binding tenancy agreement. Landlord Action can help with drafting AST agreements and other legal documents.

Join LandlordZONE’s forum here.

Hamilton Fraser supports landlords, letting agents and tenants by offering a range of solutions and thought leadership to help them navigate the private rented sector. Most recognised in the private rented sector for providing award winning landlord insurance, the Hamilton Fraser family includes Total Landlord Insurancemydeposits, the Property Redress SchemeClient Money ProtectLandlord ActionOme, HF Assist and Total Landlord Mortgages.


Did you know? 

“HF Assist premium subscribers can download a free tenancy agreement template, up to date with the latest legislative requirements. Find out more at www.hfassist.co.uk

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