Seanad debates

Tuesday, 17 November 2015

Residential Tenancies (Amendment) (No. 2) Bill 2012: Committee Stage

 

2:30 pm

Photo of Paudie CoffeyPaudie Coffey (Waterford, Fine Gael) | Oireachtas source

I acknowledge this is a substantial group of amendments. All of these measures are enforcement related measures. The group of amendments includes a number of measures to enable the PRTB to deal effectively with tenants who do not comply with their obligations, including the obligation to pay rent. The published Bill provides for a new procedure to deal with tenants who do not comply with the statutory obligation to pay rent pending the determination of the dispute.

These amendments insert a new section 76A into the 2004 Act which will provide that where there is a dispute before the board and the tenant does not pay the rent, the landlord may bring a complaint before the PRTB. On the hearing of this complaint, the PRTB can order the tenant to pay any rent due. The published Bill provides that the matter will then be adjourned for a period of no more than 14 days to allow the tenant to comply with this order. It also provides that where the tenant does not comply, the PRTB will have the power to terminate the tenancy irrespective of whether a notice of termination has been served.

Significant concerns regarding the power of the PRTB to terminate the tenancy at 14 days' notice were expressed during Committee Stage in the Dáil and on foot of subsequent legal advice. These amendments remove this termination provision from the procedure. However, the interim procedure to compel a tenant to pay the rent remains part of the Bill and is provided for by means of the insertion of the new section 76A into the principal Act. The provision is being included in the Bill. This is provided for by means of amendments Nos. 62 and 63, with consequential amendments including amendments Nos. 66 to 70, inclusive, and amendments Nos. 77, 78, 105 and 106.

Amendments Nos. 72 to 76, inclusive, and amendment No. 79 are technical drafting amendments.

Amendment No. 92 provides that the board must report to the Minister on the operation of the new section 76A six months after its commencement and each year thereafter in its annual report. This procedure, together with amendments Nos. 58, 80 and 81, will provide for a fast and effective way for the PRTB to deal with that small minority of tenants who do not pay the rent.

In addition to the section 76A procedures, amendment No. 58 is designed to address an issue that has been a cause of concern to landlords in particular. It has been the case that a minor error in a notice of termination has caused an entire case to fall at the last hurdle, regardless of the merits of the case and sometimes after months of processing and hearings. This is something we must address. This situation is being remedied by amendment No. 58 to the effect that a minor error or defect that is not prejudicial to the tenant in a notice of termination would not invalidate the notice.

Section 124 of the Residential Tenancies Act provides for the enforcement of PRTB determination orders in the Circuit Court. The PRTB endeavours to enforce as many of its orders as possible. However, Circuit Court sittings are limited throughout the country and in many cases there are significant waiting lists. Therefore, amendments Nos 80 and 81 will amend the Act in order that in future the PRTB determination orders can be enforced in the District Court rather than the Circuit Court. This will considerably reduce the expense of enforcing a determination order. It should also provide for faster hearings as there are more sittings of the District Court than the Circuit Court.

Amendment No. 60 clarifies that the notice period for the termination of a tenancy for non-payment of rent is 28 days. I recommend the amendments.

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