Seanad debates

Tuesday, 23 November 2021

Residential Tenancies (Amendment) (No. 2) Bill 2021: Committee Stage

 

12:00 pm

Photo of Peter BurkePeter Burke (Longford-Westmeath, Fine Gael) | Oireachtas source

Amendment No. 7 simply changes the verb in a new section 28(1) of the principal Act, as substituted by section 5(1) of the Bill, from "remain" to "continue". Amendments Nos. 10 and 11 are consequential technical amendments to refer in section (5)(2) to the new section 5(4) and section 6 of the Bill.

Amendment No. 12 to section 5 of the Bill as published provides for tenancies of unlimited duration. Section 5(3)(a) provides that a landlord with an existing Part 4 tenancy or further Part 4 tenancy may notify his or her tenant using a form to be specified by the RTB of his or her consent to that tenancy continuing in existence for a period of unlimited duration from the date of such notice. The proposed revised text of paragraph (a) provides greater clarity and where a landlord consents to a tenancy continuing in existence for a period of unlimited duration, that tenancy cannot be terminated by the landlord under section 34(b) and it will not roll into a further Part 4 tenancy as before. A tenancy of unlimited duration can be terminated by a landlord on one or more of the grounds contained in the table to section 34. This amendment also clarifies that where a landlord grants his or her consent in writing, the tenancy continues in existence for a period of unlimited duration and section 6 of this Bill shall apply to such a tenancy. Accordingly, the duration of any tenancy of unlimited duration and the duration of any further Part 4 tenancy that precedes it shall count for the purposes of calculating a termination notice period to be given to a tenant under section 66 of the principal Act.

Amendment No. 13 provides for a new subsection (4) into section 5. The amendment, if passed, will clarify that where there is an existing tenancy in place before the commencement of section 5 and if, at the end of its six-year duration, no valid notice has been served in line within paragraph (a), grounds for termination by a landlord or (b), termination of Part 4 or further Part 4, of section 34, or section 36, termination by a tenant, then that tenancy shall continue in existence for an unlimited duration. If this amendment is passed, the current section 5(4) will be renumbered to become 5(5).

On opposition amendment No. 9, while recognising the absolute genuine intent behind this amendment, I am unable to accept it. If passed, this amendment would cause all existing tenancies to be of unlimited duration from enactment. As the Minister outlined on Second Stage, section 5 amends Part 4 of the Residential Tenancies Act 2004, which pertains to security of tenure, to provide for enhanced tenancy protections on the basis that after six months' duration, a Part 4 tenancy is established for an unlimited duration and not subject to expiry at the end of the six-year term. Should a landlord exercise his or her right to terminate the tenancy, as currently provided for under section 34(b) of the principal Act, it is legally required that the provision shall apply prospectively in respect of tenancies commencing six or more months after the passing of this Bill. The intention is to enhance security of tenure for tenants and to simplify the operation of the Act of 2004.

In addition, where any existing six-year Part 4 tenancy is renewed, rather than commencing a Part 4 tenancy, it will become a tenancy of unlimited duration. Existing tenants may also seek the consent of their landlord to have their tenancy treated as a tenancy of unlimited duration. However, the landlord will not be compelled to grant his or her consent and where consent is not granted, the existing protections of the Act will apply. The aim is to transition to tenancies of unlimited duration while respecting the landlord's constitutionally protected right under section 34 of the Residential Tenancies Acts 2004 to 2021. Only new tenancies commencing six or more months after the passing of this Bill must be on the basis of an unlimited duration but naturally over time all Part 4 tenancies will be of unlimited duration. As existing Part 4 or further Part 4 tenancies terminate or expire over time or are renewed, it will involve the creation of a new tenancy of unlimited duration in respect of that dwelling should it remain in the rental sector. For this reason, I am unable to accept the amendment. The lead-in of six months is legally required prior to the provision coming into operation. This measure is required to respect the constitutionally protected property rights of landlords.

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