6 month break clause - please can one of you clever lot explain.

[Zimm]

We have a tenancy for 12 months with a six month break clause, for which we have to give 2 months notice. Does this mean that we can only break the tenancy at six months (so give notice in the fourth month) or at anytime after the sixth month? have had an offer accepted on a house we love and don't want to have to hold the chain to an unnecessary deadline if our position was more flexible than we thought.

Depends on the exact wording of the break clause. Do you have a copy of the tenancy? (if not, you will need one) Can you type it out in full?

Break clauses in leases need to be exercised carefully - the precise wording of the clause is important as it needs to be complied with exactly.

Thanks it says:

The tenant shall have the right to terminate the tenancy at the end of the first six month period by giving the landlord not less tan 2 months notice in writing to that effect and upon expiration of such notice this agreement and everything herein contained shall cease and be void subject nevertheless to the rights of the parties in respect of antecedent breach of any of these conevanats herein contained. The period of two months notice must expire at the end of a period of the tenancy being the 21st of the month.

I'm pretty certain then (just from reading that extract), that you only have a "one-off" right to end your tenancy at the end of the first six month period (presumably you have signed up for two six month periods) rather than a "rolling" break right to end your tenancy at any time after the first six months. So, if you don't terminate it at the end of the first six months, you're tied in for the second six monthly period.

You must also ensure that the two months notice ends on the 21st of the month in question.

Sorry - don't think that's the answer you were looking for. Might be worth asking the landlord/agent if they can be flexible but if they agree anything different, get it in writing and don't miss your chance of serving notice if they ummm and aahhh about it.

Thanks - our LL is a sod and will not be flexible :-(

I'm no expert, but read it that you can give 2 months notice from 4 months on, but that the tenancy agreement must end on the 21st of the month it is due to end

It means you have the right to break the tenancy at any time after 6 months. Not a 'one off right' but a continuous roling right to do so. You can give notice as early as day 1 of your tenancy but to move out at the end of your first 6 months you must have given notice before the 21st day of the 4th month of the tenancy at the latest.

How is your tenancy term defined Zimm? The wording of the clause you've set out above suggests that it's one period/term of six months and then another.

If that assumption is right, I stand by my original assertion that you have a one-off right at the end of the first six months only (eg a one off right) as for a rolling break right, the clause would read something like:-

"the tenant shall have the right to terminate the tenancy at ANY TIME AFTER the end of the first six month period..."

But it's hard to tell by just reading one clause in abstract and it may be that the whole tenancy is poorly drafted (usually by a letting agent!). If you are hoping to serve the break notice somewhen after month 6 and before month 12, it may be worth asking the solicitor acting on your house purchase to have a look at your tenancy.

Break notices are usually always construed in favour of the landlord, so it's v important to make sure you get it right (and could be costly for you too, if you get lumbered with an extra couple of months rent).

Agree with MoreBeta and I'm a Landlord

I'm with halfbaby - looks like a one-off to me.

MoreBeta, you need a new solicitor if you are to exploit your tenants successfully. I am a solicitor

I'm a landlord and a property solicitor!

Get someone to look through your tenancy Zimm - maybe a solicitor or CAB if the sol is costly

snap - fridays child! nothing like a break clause to get our knickers in a twist over....

fridayschild - I feel I may have been exploiting landlords for the last 25 years as I have never owned a house or been a landlord. All our tenancies work this way.

Thanks guys.....not sure where I stand now! Will have to try a solicitor I guess. I think we'll be ok even if it is a one-off. We'd probably just give notice even if we had not exchanged and then if 1 month later we'd still not exchanged we'd pull out and find somewhere else rent, want to move on from here anyway, our Landlord is a sod and I resent paying his mortgage!

I have one of these also, but i have missed the boat to break the tenancy... so would i have had to send a letter on the exact day? It seems a bit strange to be honest.

Hi,

I am Andre Fernandes. Have a query pertaining to Business Break Clause.

I have been in London for the last 1.5 years now, moved here from India on a new job posting where I was given initial lodging and had to move into my own space post the time provided.
In the process I ended up taking up a place where the leasing agency, quite cunning taking advantage of my situation to land a space quickly, slipped in the Business Break Clause, which states that I can break the tenancy contract only if I get transferred out of London to a place 30 miles from my existing stay.

Wanted to understand if the Business break clause is applicable to an individual tenancy agreement, as on you website the definition of a Business break clause is applicable to Company lets and Contractual Tenancies.

Need to exit this contract as the rents in the area have reduced over the time period and the leasing agency wants to now increase the rent, against market trends.

Request you to provide your view on how I could approach this situation.

Hi, I’ve been reading the above thread about break clauses. I have a 12 month tenancy agreement with a 6 month break clause. I only have to give 1 months notice. It reads that I can give “not less than one months notice in writing to terminate the tenancy provided the tenancy is not terminated before 6 months from the commencement date of the tenancy” I would like to give notice at month 5 to leave at the end of month 6, can I do this or do I have to give notice in month 6 to leave at the end of month 7?

You can give notice to end the tenancy at the end of month six, i.e. give notice before the rent for month five is paid.

Hey just reading up on this and wondered if anyone can read this break clause and let me know how you interpret it?

"5. Individually Negotiated Clauses In addition to or instead of the standard clauses listed above, the following have been individually negotiated between the Landlord and the Tenant as part of this Tenancy Agreement. The landlord and tenant agree to a 6 month break clause which is to be exercised on or after the halfway point of the contract. In such a case, the two months notice period is still valid, and as such, notice is still to be given in the fourth month of the tenancy prior to 06.07.2020, for the tenancy to expire on 06.09.2020 .”

We think it means you can leave anytime after 6 months by giving 2 months notice (cuz of the 'on or after' bit) but the landlord is suggesting it was a one off to break at 6 months or stick with the fixed term of 12 months......
Any clues whos right?!

The standard AST contract is usually earliest you can get out is at 6 months, but you can break each month thereafter.
No need to get a solicitor and pay, CItizens advice should be able to advise for free, if you can get through tho them by phone.

You can give notice anytime from the 4th months onwards.

As pp said, it's a rolling thing.

*month

This sounds standard.

You can give notice at the earliest on the 21st day of the 4th month, such that you leave on the 21st day of the 6th month.

You can give notice earlier but you will remain liable to pay rent until the 21st day of the 6th month.

If you miss giving notice in the 4th month then you can only do so on the 21st day of the 5th month & stay another 2 months. This goes on until you give notice.

@LouiseT71 - give notice at the end of month 5 & leave 1 month after