Failure to Make Status Clear Stymies Possession Claim

When a local authority provides accommodation for a homeless minor, it must be especially careful in the documentation it uses. This principle is illustrated by the decision in a recent case before the Court of Appeal, which meant that a council was unable to gain possession of a property that it had let to a young woman when it brought proceedings to evict her on the grounds of her anti-social behaviour.

The case arose because the local authority accepted that it had a duty to house the young woman, who was 16 years old and homeless. The authority housed her in a flat and a written agreement was put in place. Under English law, a minor cannot have an 'estate in land', so she could not validly execute the lease document.

The minor's behaviour led to many complaints from other tenants, so the council served a notice on her to quit and sought to repossess the flat. A repossession order was granted. The minor appealed.

The minor's legal advisers used a rather ingenious argument. The agreement with her was written in the standard form used for adult tenants, but ran until she was 18. The document did not state anywhere within it that the tenancy was in any way qualified. Since she could not be party to the lease, her advisors argued that the council must be holding the premises on trust for her. The council could not therefore issue her with a notice to quit without committing a breach of trust.

The council argued that the agreement was for an agreed term of years and was in effect the grant of a licence.

The Court rejected the council's argument. If it had intended to grant something other than a tenancy, the documentation should have made that clear.

Aston Bond says, "This is another instance where a failure to draft a document correctly led to an unwelcome outcome for the organisation drafting it. We can assist you in making sure that your documentation is drafted to protect your rights."

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