Break Clause
A break clause is a term in a fixed-term tenancy agreement that allows either the landlord, the tenant, or both, to end the tenancy early, before the original end date. The clause will set out who can use it, when it can first be used, for example, after six months of a 12 month term, and how notice must be given.
To exercise a break clause, the party relying on it usually has to give written notice in the correct form and within the correct timescales set out in the tenancy agreement. If the wording requires certain conditions to be met, such as the rent being fully paid up to date, or the tenant giving vacant possession, these conditions can be crucial and may be argued about if the break is contested.
If a landlord serves notice using a break clause, they must still comply with housing law, including the notice period. A break clause cannot be used to sidestep statutory protections such as minimum notice periods, deposit protection schemes, or rules on retaliatory eviction.
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