Martine, our Head of Lettings has put together a short blog to explain Written Statements:-

WRITTEN STATEMENTS

The Act requires prescribed information to be given to all Contract-Holders setting out the terms of the contract, in the form of a Written Statement. This document must be clear about the rights and responsibilities of both the landlord and the Contract-Holder.

WHAT DOES THIS MEAN?

Every landlord must issue a Written Statement of contract to the Contract- Holder, including a new Contract-Holder in a Joint Contract, within 14 days of the day on which the Contract-Holder is entitled to begin to live in the property. This is known as the occupation date.

This means that the contract can be agreed and become effective before the Written Statement is given.

ELIGIBILITY

Converted Contracts

On 1 December 2022, all existing tenancy agreements will automatically convert to an Occupation Contract.

If an existing tenancy is a fixed term Assured Shorthold Tenancy (AST), it will convert to a fixed term Standard Contract. If it is a periodic AST, it will convert to a periodic Standard Contract.

For converted contracts landlords have up to six months from 1 December 2022 to provide existing tenants or licensees with a Written Statement of the contract.

New Occupation Contracts

For new Occupation Contracts which begin on or after 1 December 2022, landlords are required to issue the Written Statement within 14 days of the occupation date under the contract.

WRITTEN STATEMENTS

The Welsh Government has prescribed model Written Statements that landlords can use. Landlords are also able to produce their own versions.

WHAT DO YOU NEED TO DO?

There is no provision in the legislation to mandate that Contract-Holders must sign and return the contract. However, it is considered best practice and advisable for landlords to ensure this is achieved to evidence the issuing of the contract.

FAILURE TO ISSUE CONTRACTS

If the landlord fails to issue the written contract within 14 days, compensation could be payable at a day’s rent from the date of occupation until the Written Statement is given, up to a maximum of two months’ rent.

This can be achieved without a court order in place. However, the Contract-Holder can apply to the court for a maximum of double the original amount of compensation payable, if the court is satisfied the failure to issue the Written Statement was intentional.

INCORRECT OR INCOMPLETE STATEMENTS

If a landlord fails to complete all the key terms of the contract correctly, a Contract-Holder would be entitled to apply to the courts for clarification after the 14-day period.

LANDLORD OR AGENT CONTACT DETAILS

The landlord must give the Contract-Holder notice of an address to which the Contract-Holder may send documents that are intended for the landlord before the end of the 14 days of occupancy. Any changes of these details including the name or address of the landlord must be supplied before the 14 days.

If these details change after the 14-day period, then the landlord must notify the Contract-Holder within a further 14 days.