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What is it?

Where either party wishes to end a tenancy for a fixed term of more than two years, written notice must be given. At least one year's notice, but less than two years is required. If such notice is not given by either party, the tenancy will continue as a tenancy from year to year until ended by the giving of a notice.

As the one year requirement is only applicable to longer leases, in excess of two years, landlord many wish to avoid this strict requirement by agreeing to a term one day less than two years - or some altogether shorter period.

The parties may also decide to include break clauses in their agreement giving either or both of them the option to "break" after a specified time. If they decide to do so, then at least 12 months' notice must be given before the break clause can be operated.

Finally, as with all agreements the parties can always negotiate a surrender of the tenancy by mutual agreement and a landlord can always seek possession for breach of the agreement in any event.

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