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What does a break clause look like?
A break clause is a clause in a tenancy agreement that provides both tenant and landlord the opportunity to terminate the tenancy agreement early during the fixed-term (e.g. the tenant can terminate a 12-month tenancy 6 months into the term).
What does a break clause mean?
A break clause is a provision that can be included in a lease agreement allowing either party to end the lease early if certain conditions are met. It can be granted for the benefit of either the landlord or the tenant, or for both. It allows the benefitting parties a way out if they need to end the tenancy early.
How long is a break clause?
Break clauses Although notice under a break clause can be given at anytime during the fixed term the tenant's statutory right to remain at the property for a minimum of 6 months means that they are normally put in to give both the Landlord and tenant some flexibility after the initial 6 months'.
Do I need a break clause?
The conditions of a break clause are usually found in the tenant's break clause and can include details such as whether the tenant must have paid all the rent due under the lease. Landlords should avoid drawing up any completion statement unless you are required to do so by the lease.
Is a break clause a legal requirement?
A break clause will usually specify the length of notice required to end the tenancy by both the tenant and the landlord. There is no minimum period of notice that a break clause must require in order to be valid, because the clause is a matter of contract.
Is a break clause standard?
Finding a break clause in your agreement They are more common in longer fixed term tenancies. You can ask for one when you agree a new contract. There's no standard format for a break clause. Look for anything about giving notice or terminating the tenancy early.
What is a six-month break clause?
A break clause is a clause in a contract that allows a person or party to end the contract early. Typically, the clause can be found to allow early break of the tenancy 6 months prior to the end of the Tenancy agreement, commonly with a 2-month notice period.
Is a 6-month break clause standard?
However, it's important to note, the landlord doesn't have a guaranteed right to possession with a break clause during the first 6 months of the tenancy (i.e. a break clause can only be enforced after 6 months), unless there are grounds for eviction (e.g. rent arrears).
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