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Clause 51

Volume 990: debated on Thursday 7 August 1980

The text on this page has been created from Hansard archive content, it may contain typographical errors.

Furnished Lettings By Certain Bodies Not To Be Part Vii Contracts

Lords amendment: No. 57, in page 43, line 36, at end insert:

"(2) Section 16(3) of the 1972 Act shall be amended by adding, after "85(3)", "(aa)

I beg to move, That this House doth agree with the Lords in the said amendment.

These are technical or drafting amendments. Lords amendment No. 60 corrects a typographical error.

Question put and agreed to.

Lords amendments Nos. 58 to 60 agreed to.

Clause 61

Recovery Of Possession Of Dwelling-House Subject To Regulated Tenancy

Lords amendment: No. 61, in page 46, line 39, at end insert:

"(iA) the owner-occupier has died, and the dwelling-house is required as a residence for a member of his family who are residing with him at the time of his death; or".

This appears to be a printing error. My reference indicates that it should be "who was residing". I hope that it is possible to incorporate and consider it as a printing error.

If I can be of any assistance, I am advised that it was sent from their Lordships' House correctly with the word "was". It is a printing error.

I beg to move, That this House doth agree with the Lords in the said amendment.

Lords amendment No. 61 is one of the circumstances already included in case 11A which enables the owner of a retirement home to recover possession. It is appropriate to extend this case in this way. The amendment will cover the situation where the owner-occupier who was single at the time of letting subsequently marries and dies. The new ground would enable a member of his family to recover possession.

Amendments Nos. 62 and 63 make an important addition to part IV of the Bill and allow Service men to buy houses and let them meantime subject to the same rights of recovery as a temporarily absent owner-occupier.

I do not disagree with the amendments I am not sure that the way in which amendment No. 61 is printed is correct. It does not read correctly. I do not know what can be done about that. It refers to

"a member of his family who are residing with him."
I think that it should read
"who was residing with him."
I am not clear how we can ensure that the Bill is correctly worded. No doubt, Mr. Deputy Speaker, you will guide hon. Members. It seems another major error in this chaotic week for the Government; they cannot get the wording right.

Lords amendments Nos. 62 and 63 are difficult to follow as are all these matters in relation to the question of the recovery of the occupation of houses. It is right to make this provision for Service men. I welcome the amendments.

This appears to be a printing error. My reference indicates that it should be "who was residing". I hope that it is possible to incorporate and consider it as a printing error.

If I can be of any assistance, I am advised that it was sent from their Lordships' House correctly with the word "was". It is a printing error.

Question put and agreed to.

Lords amendments Nos. 62 and 63 agreed to.

Clause 63

Increases In Penalties For Offences Relating To Houses In Multiple Occupation

Lords amendment: No. 64, in page 49, line 15, leave out paragraph (g) and insert

"(g) in section 185(2) after "offence", insert "and shall be liable on summary conviction to a fine not exceeding £200"."

I beg to move, That this House doth agree with the Lords in the said amendment.

This amendment corrects an error that inadvertently occurred in relation to the revision of the fines for which section 185(2) of the Housing (Scotland) Act 1966 provides. The amendment is brought forward on that basis and I commend it to the House.

Question put and agreed to.

New Clause C

Discretion Of Court In Cases Relating To Instalment Purchase Agreements

Lords amendment: No. 65, after clause 71, in page 53, line 10, at end insert—

"C.—(1) Where, under the terms of an instalment purchase agreement, a person has been let into possession of a dwelling-house and, on the termination of the agreement or of his right to possession under it, proceedings are brought for possession of the dwelling-house, the court may—
  • (a) adjourn the proceedings; or
  • (b) on making an order for possession of the dwelling-house, supersede extract or postpone the date of possession;
  • for such period or periods as the court thinks fit.
    (2) On any such adjournment, superseding of extract, or postponement the court may impose such conditions with regard to the payment by the person in possession of the spect of his continued occupation of the dwelling-house and such other conditions as the court thinks fit.
    (3)The court may revoke or from time to time vary any condition imposed by virtue of this section.
    (4)In this section "instalment purchase agreement" means an agreement for the purchase of a dwelling-house under which the whole or part of the purchase price is to be paid in 3 or more instalments and the completion of the purchase is deferred until the whole or a specified part of the purchase price his been paid."

    I beg to move, That this House doth agree with the Lords in the said amendment.

    This is an important new clause, which gives people buying their homes by instalment purchase protection comparable with that available to people buying their homes with the aid of a morgage where default in making payments leads to possession proceedings. It gives the courts discretion to allow the purchaser time to remedy the financial situation. The law at present gives the courts discretion to allow mortgage defaulters time to remedy such a problem but it does not give them similar powers where an instalment purchaser defaults. This is clearly undesirable. For example, it might mean that an instalment purchaser who had paid most of the instalments towards the ownership of a house and defaulted at a late stage would find that he had virtually no rights left in the property in consequence of that one default. Therefore, it is thought appropriate that he should be put in the same position as a mortgage defaulter. The problem has not arisen often, but it seems reasonable that such a change should be made. I am sure that it will commend itself to the House.

    I welcome the new clause. I should like to get rid of instalment purchase agreements altogether. This is a difficult area, but I hope that, having made this useful provision, the Government will consider whether we need in- stalment purchase agreements at all. Basically, they are extremely undesirable. It would be useful it we could find a way of making it impossible for a landlord to persuade—sometimes even to coerce—a tenant to enter into an instalment purchase agreement in circumstances where most of the cards are in the hands of the landlord, the seller, and very few are in the hands of the buyer. The new clause provides some protection.

    The Minister said that there were not many of these cases. Where difficulties arise the landlord—it is a landlord-tenant relationship basically—is usually able to get his way without going to court or going through any legal proceedings, because the weight not only of the law but of the relationship is on his side.

    I am not criticising the Government. They have introduced an improvement, which I welcome. It is a criticism of successive Governments that we have not tackled this problem in a wider way. There is much abuse in this area. It has been prevalent at times in certain parts of Glasgow, for example, but it applies elsewhere. I hope that in the continuing examination of the law on these matters the Government will keep this matter under review and will introduce even more radical proposals at an appropriate opportunity. However, that in no way detracts from my thanks to the Government for introducing this provision.

    The Government certainly share the right hon. Gentleman's distinct lack of enthusiasm for this form of property purchase. We are not certain that it would be appropriate to make it illegal, but it is appropriate that people purchasing properties in this way should have the same protection as mortgage holders. I am glad that the right hon. Gentleman felt able to welcome this provision. We shall certainly bear his comments in mind in considering whether further changes would be appropriate.

    Question put and agreed to.

    Schedule 2

    Grounds For Recovery Of Possession Of Dwelling-Houses Let Under Secure Tenancies

    Lords amendment: No. 66, in page 59, line 14, after "in" insert "or in"

    I beg to move, That this House doth agree with the Lords in the said amendment.

    Question put and agreed to.

    Lords amendments Nos. 67 and 68 agreed to.

    Schedule 5

    Repeals

    Lords amendment: No. 69, in page 63, line 17, column 3, at end insert—

    'In section 17(3) the words", or fail to make such regulations under the said subsection (2)(b) as the Secretary of State approves,".'

    I beg to move, That this House doth agree with the Lords in the said amendment.

    With this we may take Lords amendments Nos. 70, 71, 73 to 75 and 77 to 88.

    These amendments are consequential repeals. They have no policy implications. I am sure that they will be as uncontroversial as the other provisions of the Tenants' Rights, Etc. (Scotland) Bill.

    Question put and agreed to.

    Lords amendments Nos. 70 to 88 agreed to.