Residential Tenancies Act 2004

Voidance of provisions designed to facilitate terminations.

184

184.—(1) A provision of a lease or tenancy agreement in relation to a dwelling that imposes an obligation on a party (the “first party”) to do or refrain from doing any thing is void if, from all the circumstances (including any of the matters specified in subsection (3)), it is a reasonable inference that the sole or main purpose for the provision being included is that mentioned in subsection (2).

(2) That purpose is to allow the other party (the “second party”) to serve a notice of termination in respect of the tenancy concerned (for a failure to comply with the provision) for any reason that suits the interests of that party at the particular time rather than because the failure to comply has occurred.

(3) The matters mentioned in subsection (1) are—

( a) the provision concerned cannot, in its ordinary operation, be reasonably regarded as conferring any practical benefit on the second party or in respect of his or her interest in the dwelling,

( b) compliance with the provision concerned by the first party is likely to be impracticable,

( c) the terms in which the provision concerned is framed are such that the situations in which the provision must be complied with and those in which it need not be complied with are arbitrary.

(4) Any tenancy or sub-tenancy of a dwelling (the “first-mentioned tenancy”) purported to be created is void if, from all the circumstances, it is a reasonable inference that it is a transaction not of a bona fide nature effected at arm's length but effected solely or mainly for the purpose of facilitating the termination (through collusion between some or all of the parties to that transaction) of any sub-tenancy created out of the first-mentioned tenancy.

(5) If the first-mentioned tenancy in subsection (4) is void by reason of that subsection any sub-tenancy created out of it that is not so void shall be deemed to be a tenancy held by the person in whose favour the sub-tenancy was granted from the person who purported to create the first-mentioned tenancy (but of no greater term than the term of the sub-tenancy).