Union Reminds Landlords and Tenants of LDT Notice Provisions
NFU Scotland is reminding members who are engaged in Limited Duration Tenancies (LDTs) to ensure that they are aware of the correct notice provisions for such tenancies, where they wish to terminate such arrangements.
LDTs were introduced by the Land Reform (Scotland) Act 2003, and have been commonly utilised since as a letting arrangement. On the 30th of November, they were superseded by the new Modern Limited Duration Tenancy (MLDT) which the Union believes is resulting in more parties looking at their options and considering if they wish to end current LDT arrangements. Parties should also ensure that where LDTs are not terminated, that they are aware of the duration of any continuation they are operating under.
Gemma Cooper commented ‘Parties who are engaged in LDTs should be clear about the notice requirements for these tenancies, and ensure that these are adhered to. For landlords, these tenancies have a ‘double notice’ provision, this requires service of two notices over a three year period.
“The first notice is served not more than three and not less than two years before the expiry of the term or continuation. Following this, once 90 days has elapsed, a second notice is required which is not more than two years and not less than one year before the intended end date of termination or continuation.
“For tenants, there is a single notice provision which requires service of a notice not more than two years and not less than one year before the expiry of the term or continuation.
“Some parties may wish to continue on their LDT, and where there are no notices served-or the correct notice procedure is not followed-the LDT will roll on for a further three year period.
“It is very important from a business planning perspective that both landlords and tenants are aware of the remaining term on their LDT, and plan accordingly for this. Parties may wish to enter discussions about their arrangements, which they may choose to leave as they are, or they may wish to consider moving to the new MLDT style of tenancy.
“Whichever option is chosen, NFUS encourages all parties to ensure that the correct procedures are followed and that there is open and frank dialogue about these.”
Ends
Contact Douglas Ross on 0131 472 4108
Author: Douglas Ross
Date Published: 06/12/2017
News Article No.: 173/17
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