In this post we summarise the circumstances in which you may need to apply to the county court in order to progress with your lease extension.
Where all terms have been agreed and yet a new lease has not been entered into within two months of the agreement or determination, or within a period decided by the FTT, you or the landlord may make an application to the court under Section 48 of the 1993 Act.
If there is no court application within two months after that, then your offer notice is deemed withdrawn.You therefore have a total of four months from the date the terms of acquisition were agreed to apply to the county court, otherwise you lose your case.
Even though the offer notice is deemed withdrawn, you must still pay your landlord’s Section 60 costs up to the date of withdrawal. You must also wait 12 months from the date the offer notice was withdrawn before you can serve a new notice.
If terms have been agreed and the lease has not been entered into, it is therefore crucial to lodge an application to the county court before the deadline. Under Section 48, the court has the power to make any order to compel both parties to reach a binding agreement.
You may also wish to apply to the county court when:
- The landlord does not serve a counter notice
- The landlord wishes to redevelop
- There is an absentee landlord