Office of Public Sector Information

(2)Where the authority—

(a)refuse an application for payment under section 277 on any grounds, or

(b)refuse an application for payment under section 278 on the grounds that the owner was not eligible for assistance in respect of the defective dwelling,

they shall give the applicant written notice of the reasons for their decision.

(3)Any question arising—

(a)under section 277 or 278 as to the defect-free value, or

(b)under section 278 as to the amount of compensation for the disposal,

shall be determined by the district valuer if the owner or the local authority so require by notice in writing served on the district valuer.

(4)A person serving a notice on the district valuer in pursuance of subsection (3) shall serve notice in writing of that fact on the other party.

(5)Before making a determination in pursuance of subsection (3), the district valuer shall consider any representation by the owner or the authority made to him within 4 weeks from the service of the notice under that subsection.

280 Reimbursement of expenses incidental to repurchase

(1)A person whose interest in a defective dwelling is acquired by the purchasing authority in pursuance of Schedule 20 (repurchase) is entitled to be reimbursed by the purchasing authority the proper amount of—

(a)expenses in respect of legal services provided in connection with the authority’s acquisition, and

(b)other expenses in connection with negotiating the terms of that acquisition,

being in each case expenses which are reasonably incurred by him after receipt of a notice under paragraph 3 of that Schedule (authority’s notice of proposed terms of acquisition).

(2)An agreement between a person and the purchasing authority is void in so far as it purports to oblige him to bear any part of the costs or expenses incurred by the authority in connection with the exercise by him of his rights under this Part.

Effect of repurchase on occupier

281 Effect of repurchase on certain existing tenancies

(1)Where an authority mentioned in section 44 (authorities satisfying the landlord condition for secure tenancy) acquire an interest in a defective dwelling in pursuance of Schedule 20 (repurchase) and—

(a)the land in which the interest subsists is or includes a house occupied as a separate dwelling, and

(b)the interest of the person entitled to assistance by way of repurchase is, immediately before the completion of the authority’s acquisition, subject to a tenancy of the house,

the tenancy shall not, on or after the acquisition, become a secure tenancy unless the conditions specified in subsection (2) are met.

(2)The conditions are—

(a)that the tenancy was a protected tenancy throughout the period beginning with the making of an application for assistance under this Part in respect of the defective dwelling and ending immediately before the authority’s acquisition; and

(b)no notice was given in respect of the tenancy in accordance with any of Cases 11 to 14 and 16 to 21 in Schedule 2 to the M1Rent (Scotland) Act 1984 (notice that possession might be recovered under that Case) or under section [F19(1)(d) of the Rent (Scotland) Act 1984] (notice that tenancy is to be a protected short tenancy).

282 Grant of tenancy to former owner-occupier

(1)Where an authority acquire an interest in a defective dwelling in pursuance of Schedule 20 (repurchase), or in the circumstances described in section 277(3) (exercise of right of pre-emption, etc.), and—

(a)the land in which the interest subsists is or includes a house occupied as a separate dwelling, and

(b)an individual is an occupier of the house throughout the period beginning with the making of an application for assistance under this Part in respect of the dwelling and ending immediately before the completion of the authority’s acquisition, and

(c)he is a person entitled to assistance by way of repurchase in respect of the defective dwelling, or the persons so entitled are in relation to the interest concerned his trustees,

the authority shall, in accordance with this section, either grant or arrange for him to be granted a tenancy of that house or another on the completion of their acquisition of the interest concerned.

(2)If the authority are among those mentioned in section [F144(2)] (public sector authorities capable of granting secure tenancies) their obligation is to grant a secure tenancy.

(3)In any other case their obligation is to grant or arrange for the grant of either—

(a)a secure tenancy, or

(b)a protected tenancy other than one under which the landlord might recover possession under one of the cases in Part II of Schedule 2 to the M1Rent (Scotland) Act 1984 (cases in which the court must order possession).

(4)Where two or more persons qualify for the grant of a tenancy under this section in respect of the same house, the authority shall grant the tenancy, or arrange for it to be granted, to such one or more of them as they may agree among themselves or (if there is no such agreement) to all of them.

283 Grant of tenancy to former statutory tenant

(1)Where an authority mentioned in section 44 [F1(2)] (public sector authorities capable of granting secure tenancies) acquire an interest in a defective dwelling in pursuance of Schedule 20 (repurchase), and—

(a)the land in which the interest subsists is or includes a house occupied as a separate dwelling, and

(b)an individual is an occupier of a house throughout the period beginning with the making of an application for assistance under this Part in respect of the dwelling and ending immediately before the completion of the authority’s acquisition, and

(c)he is a statutory tenant of the house at the end of that period, and

(d)no notice was given in respect of the original tenancy in accordance with any of Cases 11 to 14 and 16 to 21 in Schedule 2 to the Rent (Scotland) Act 1984 (notice that possession might be recovered under that Case) or under section [F29(1)(d) of the Rent (Scotland) Act 1984 (notice that the tenancy is to be a short tenancy)], and

(e)the interest of the person entitled to assistance would, if the statutory tenancy were a contractual tenancy, be subject to the tenancy at the end of the period mentioned in paragraph (b),

the authority shall grant him a secure tenancy (of that house or another) on the completion of their acquisition of the interest concerned.

(2)Where two or more persons qualify for the grant of a tenancy under this section in respect of the same house, the authority shall grant the tenancy to such one or more of them as they may agree among themselves or (if there is no such agreement) to all of them.

(3)If at any time after the service of a notice of determination it appears to the purchasing authority that a person may be entitled to request them to grant him a secure tenancy under this section, they shall forthwith give him notice in writing of that fact.

284 Alternative accommodation under s.282 or 283

(1)The house to be let under the tenancy granted to a person—

(a)under section 282 or 283 (grant of tenancy to former owner-occupier or statutory tenant of defective house acquired by authority), or

(b)under arrangements made for the purposes of section 283,

shall be the house of which he is the occupier immediately before the completion of the authority’s acquisition (the “current house”), except in the following Cases—

Case 1

• By reason of the condition of any building of which the current house consists or of which it forms part, the house may not safely be occupied for residential purposes.

  Case 2

• The authority intend, within a reasonable time of the completion of their acquisition of the interest concerned—

(a)to demolish or reconstruct the building which consists of or includes the defective dwelling in question, or

(b)to carry out work on any building or land in which the interest concerned subsists,

and cannot reasonably do so if the current house remains in residential occupation.

(2)In those Cases the house to be let shall be another house which, so far as is reasonably practicable in the case of that authority, affords accommodation which is—

(a)similar as regards extent and character to the accommodation afforded by the current house,

(b)reasonably suitable to the means of the prospective tenant and his family, and

(c)reasonably suitable to the needs of the prospective tenant and his family as regards proximity to place of work and place of education.

285 Request for tenancy under s.282 or 283

(1)An authority are not required to grant, or arrange for the grant of, a tenancy to a person under section 282 or 283 unless he requests them to do so in writing before—

(a)in the case of an acquisition under Schedule 20 (repurchase), the service on the person entitled to assistance of an offer to purchase under [F1paragraph 3] of that Schedule, or

(b)in the case of an acquisition in the circumstances described in section 277(3) (acquisition in pursuance of right of pre-emption, etc.), the time of the disposal.

(2)An authority receiving a request under subsection (1) shall, as soon as reasonably practicable, give notice in writing to the person making the request stating whether in their opinion either of the Cases in section 284(1) applies (cases in which tenancy may be of a house other than the current house).

(3)If their opinion is that either Case does apply, the notice shall also state which of the Cases is applicable and the effect of section 284.

286 Interpretation of ss.281 to 285

In sections 281 to 285 (effect of repurchase on occupier)—

(a)“house” has the same meaning as in Part III (secure tenancies);

(b)“occupier”, in relation to a house, means a person who occupies the house as his only or principal home or (in the case of a statutory tenant) as his residence;

(c)references to the grant of a secure tenancy are to the grant of a tenancy which would be a secure tenancy assuming that the tenant under the tenancy occupies the house as his only or principal home.

Local schemes

287 Designation of defective dwellings under local schemes

(1)A local authority may by resolution designate as a class buildings in their area each of which consists of or includes one or more dwellings if it appears to them that—

(a)buildings in the proposed class are defective by reason of their design or construction, and

(b)by virtue of the circumstances mentioned in paragraph (a) having become generally known, the value of some or all of the dwellings concerned has been substantially reduced.

(2)Subsection (1) does not apply to a building in a class designated under section 257 (designation by Secretary of State); but a building does not cease to be included in a class designated under this section by virtue of its inclusion in a class designated under that section.

(3)A dwelling which is, or is included in, a building in a class so designated is referred to in this Part as a “defective dwelling”; and in this Part, in relation to such a dwelling—

(a)“the qualifying defect” means what, in the opinion of the authority, is wrong with the buildings in that class, and

(b)“the cut-off date” means the date by which, in the opinion of the authority, the circumstances mentioned in subsection (1)(a) became generally known.

(4)A designation shall describe the qualifying defect and specify—

(a)the cut-off date,

(b)the date (being a date falling on or after the cut-off date) on which the designation is to come into operation, and

(c)the period within which persons may seek assistance under this Part in respect of the defective dwellings concerned.

(5)A designation may not describe a designated class by reference to the area (other than the authority’s district) in which the buildings concerned are situated; but may be so described that within the authority’s area there is only one building in the class.

(6)Any question arising as to whether a building is or was at any time in a class designated under this section shall be determined by the local authority concerned.

288 Variation or revocation of designation under local schemes

(1)The local authority may by resolution—

(a)vary a designation under section 287, but not so as to vary the cut-off date, or

(b)revoke such a designation.

(2)The authority may by a variation of the designation extend the period referred to in section 287(4)(c) (period within which assistance must be applied for) whether or not it has expired.

(3)The variation or revocation of a designation does not affect the operation of the provisions of this Part in relation to a dwelling if, before the variation or revocation comes into operation, the dwelling is a defective dwelling by virtue of the designation in question and application for assistance under this Part has been made.

289 Secretary of State’s control over designation, variation or revocation

(1)Where a local authority have passed a resolution under—

(a)section 287 (designation under local scheme), or

(b)section 288 (variation or revocation of designation under local scheme),

they shall give written notice to the Secretary of State of the resolution before the expiry of the period of 28 days beginning with the date on which it is passed.

(2)The designation, variation or revocation shall not come into operation before [F1the cut-off date or if it is later] the expiry of the period of 2 months [F1or such longer period as the Secretary of State may direct for the purposes of this subsection under subsection (2A) below] beginning with the receipt by the Secretary of State of the notice under subsection (1).

[F2(2A)If, within the period for the time being specified in or (by virtue of the previous operation of this subsection) for the purposes of subsection (2) above, the Secretary of State is satisfied that he does not have reasonably sufficient information to enable him to come to a decision with respect to the resolution concerned, he may direct for the purposes of that subsection that it shall have effect as if for the period so specified there were substituted such longer period as is specified in the direction.]

(3)If [F3before the cut-off date or, if it is later, the expiry of the period for the time being specified in or for the purposes of subsection (2) above] the Secretary of State serves notice in writing to that effect on the authority, the designation, revocation or variation shall not come into operation.

Miscellaneous

290 Duty of local housing authority to publicise availability of assistance

(1)A local authority shall, within the period of 3 months beginning with the coming into operation of—

(a)a designation under section 257 (designation of defective dwellings by Secretary of State) or section 287 (designation of defective dwellings under local scheme), or

(b)a variation of such a designation,

publish in a newspaper circulating in their area notice suitable for the purpose of bringing the effect of the designation or variation to the attention of persons who may be eligible for assistance in respect of such of the dwellings concerned as are situated within their area.

(2)No such notice need be published by a local housing authority who are of opinion—

(a)that none of the dwellings concerned are situated in their area, or

(b)that no-one is likely to be eligible for assistance in respect of the dwellings concerned which are situated in their area.

(3)If at any time it becomes apparent to a local authority that a person is likely to be eligible for assistance in respect of a defective dwelling within their area, they shall forthwith take such steps as are reasonably practicable to inform him of the fact that assistance is available.

291 Duties of public sector authority disposing of defective dwelling

(1)A public sector authority shall, where a person is to acquire a relevant interest in a defective dwelling on a disposal by the authority, give him notice in writing before the time of the disposal—

(a)specifying the qualifying defect, and

(b)stating that he will not be eligible for assistance under this Part in respect of the dwelling.

(2)A public sector authority shall, before they convey a relevant interest in a defective dwelling in pursuance of completed missives to a person on whom a notice under subsection (1) has not been served, give him notice in writing—

(a)specifying the qualifying defect,

(b)stating, where the time of disposal of the interest falls after the cut-off date, that he will not be eligible for assistance under this Part, and

(c)stating the effect of subsection (3).

(3)A person on whom a notice under subsection (2) is served—

(a)is not obliged to complete the conveyance before the expiry of the period of 6 months beginning with the service of that notice on him, and

(b)may within that period withdraw from the transaction by notice in writing to the authority to that effect.

(4)Where a public sector authority are required to serve a notice under section 63(2), 68, 69 or 70 (landlord’s response to notice claiming to exercise right to buy) in respect of a defective dwelling, the notice under subsection (1) shall be served with that notice.

(5)A notice under subsection (1) or (2) shall, (except in the case of a notice under subsection (1) which is served in accordance with subsection (4)), be served at the earliest date at which it is reasonably practicable to do so.

292 Reinstatement of defective dwelling by local authority

(1)Where a relevant interest in a defective dwelling has been disposed of by a public sector authority, the local authority may, before the end of the period within which a person may seek assistance under this Part in respect of the dwelling, enter into an agreement with—

(a)any person holding an interest in the dwelling, or

(b)any person who is a statutory tenant of it,

to execute at his expense any of the work required to reinstate the dwelling.

(2)For the purposes of this section a disposal by or under an enactment of an interest in a dwelling held by a public sector authority shall be treated as a disposal of the interest by the authority.

293 Death of person eligible for assistance, etc

(1)Where a person who is eligible for assistance in respect of a defective dwelling—

(a)dies, or

(b)disposes of his interest in the dwelling (otherwise than on a disposal for value) to such a person as is mentioned in section 259(2) (persons qualifying for assistance: individuals, trustees for individuals and personal representatives),

this Part applies as if anything done (or treated by virtue of this subsection as done) by or in relation to the person so eligible had been done by or in relation to his personal representatives or, as the case may be, the person acquiring his interest.

(2)In sections 277 to 279 (subsidiary forms of financial assistance) references to the owner of an interest in a defective dwelling include his personal representatives.

294 Dwellings included in more than one designation

The provisions of Schedule 21 have effect with respect to dwellings included in more than one designation.

295 Application of Act in relation to lenders on security of defective dwelling

(1)The Secretary of State may by regulations made by statutory instrument subject to annulment by either House of Parliament make provision for the purpose of conferring rights and obligations on any person who has granted a loan on the security of a defective dwelling where—

(a)a power of sale is exercisable by the lender, and

(b)the borrower is eligible for assistance in respect of the defective dwelling.

(2)The rights that may be conferred on a lender by regulations under this section are—

(a)rights corresponding to those conferred by this Part on a person holding a relevant interest in the defective dwelling, and

(b)the right to require the local authority to acquire in accordance with the regulations any interest in the defective dwelling to be disposed of in exercise of the power of sale,

and the rights that may be so conferred may be conferred in place of any rights conferred on any other person by this Part.

(3)Regulations under this section may provide that, where the conditions in subsection (1)(a) and (b) are or have been satisfied, this Part, the power of sale and any enactment relating to the power of sale in question shall have effect subject to such modifications as may be specified in the regulations.

(4)Regulations under this section—

(a)may make different provision for different cases, and

(b)may make incidental and consequential provision.

296, 297.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F1

Supplementary provisions

298 Service of notices

(1)A notice or other document under this Part may be given to or served on a person, and an application or written request under this Part may be made to a person—

(a)by delivering it to him or leaving it at his proper address, or

(b)by sending it to him by post,

and also, where the person concerned is a body corporate, by giving or making it to or serving it on the secretary of that body.

(2)For the purposes of this section, and of section 7 of the M1Interpretation Act 1978 as it applies for the purposes of this section, the proper address of a person is—

(a)in the case of a body corporate or its secretary, the address of the principal office of the body,

(b)in any other case, his last known address)

and also, where an additional address for service has been specified by that person in a notice under section 276(2) (notice of intention to assume responsibility for repurchase), that address.

299 Jurisdiction of sheriff in Scotland

(1)A sheriff of the sheriff court district within which the defective dwelling is situated has jurisdiction—

(a)to determine any question arising under this Part; and

(b)to entertain any proceedings brought in connection with the performance or discharge of any obligations so arising, including proceedings for the recovery of damages or compensation in the event of the obligations not being performed.

(2)Subsection (1) has effect subject to—

(a)sections 257(6) and 287(6) (questions of designation to be decided by designating authority),

(b)section 279(3) and [F1paragraph 11(1) of Schedule 20] (questions of valuation to be determined by district valuer).

(3)Where an authority required by section 270(3) or paragraph 7 of Schedule 20 to extend or further extend any period fail to do so, the sheriff may extend or further extend that period until such date as he may specify.

[F2(4)Where damages are awarded in proceedings commenced before 1st December 1994 which arise out of a failure on the part of the public sector authority to give a person acquiring a relevant interest in a dwelling notice in writing under section 291, the amount of damages for the purposes of this subsection shall be equal to the difference between—

(a)the market value of the dwelling assessed as if it were not a defective dwelling and were available for sale on the open market with vacant possession; and

(b)the market value of the dwelling assessed as a defective dwelling and as if available for sale on the open market with vacant possession.

(5)Subsection (4) applies in relation to proceedings which arise out of a failure by the authority before the coming into force of section 156 of the Leasehold Reform, Housing and Urban Development Act 1993 as it does to proceedings which arise out of a failure by the authority after that date.]

300 Meaning of “public sector authority”

(1)In this Part—

(a)“public sector authority” means—

a [F1council constituted under section 2 of the Local Government etc. (Scotland) Act 1994] (or a predecessor of such a council),

a joint board and a joint committee of which every constituent member is, or is appointed by, such a council or predecessor of such a council,

[F2Scottish Water],

the Housing Corporation,

the Scottish Special Housing Association,

a registered housing association other than a co-operative housing association (or a predecessor housing association of such an association),

a development corporation,

the National Coal Board, or

the United Kingdom Atomic Energy Authority,

or a body corporate or housing association specified by order of the Secretary of State in accordance with the following provisions;

(b)“co-operative housing association” means a fully mutual housing association which is a society registered under the M1Industrial and Provident Societies Act 1965, and “fully mutual”, in relation to a housing association, means that the rules of the association—

(i)restrict membership to persons who are tenants or prospective tenants of the association, and

(ii)preclude the granting or assignation of tenancies to persons other than members.

(2)The Secretary of State may provide that a body corporate shall be treated as a public sector authority if he is satisfied—

(a)that the affairs of the body are managed by its members, and

(b)that its members hold office by virtue of appointment (to that or another office) by a Minister of the Crown under an enactment,

or if he is satisfied that it is a subsidiary of such a body.