These Template Clauses are for use when Model Trust Property is let on the basis of an assured shorthold tenancy agreement (AST). When preparing the AST, please consider the Residential Tenancy (Landlord) Guidance and the Template AST and, incorporate the template AST clauses set out here (Residential Tenancy (Landlord) Template Clauses). Unless indicated otherwise, the only amendments that should be made are those necessary to take account of differences in terminology between the rest of the tenancy agreement and the template clauses such as if reference is made to “the Lessee” as opposed to “the Tenant”:
(1) TRUSTEES FOR METHODIST CHURCH PURPOSES of Central Buildings Oldham Street Manchester M1 1JQ being a charitable body corporate established by the Methodist Church Act 1939 registered with charity number 1136358 (the Board); and
(2) If the managing trustee body is NOT a registered charity:
[NAME OF FIRST MANAGING TRUSTEE] and [NAME OF SECOND MANAGING TRUSTEE] and others being the members (or such of the members as have attained full age) of the [Church Council] OR [Circuit Meeting] OR [OTHER MANAGING TRUSTEE BODY] of the [NAME OF MANAGING TRUSTEE BODY] whose collective address for service is [COLLECTIVE ADDRESS FOR SERVICE OF MANAGING TRUSTEES] (*1) (the Managing Trustees) and who collectively with the Board are referred to as the Landlord;
If the managing trustee body is a registered charity (*2):
“[NAME OF FIRST MANAGING TRUSTEE] and [NAME OF SECOND MANAGING TRUSTEE] and others being the members (or such of the members as have attained full age) of the [Church Council] OR [Circuit Meeting] OR [OTHER MANAGING TRUSTEE BODY] of [NAME OF REGISTERED CHARITY] (charity number [NUMBER]) whose collective address for service is [COLLECTIVE ADDRESS FOR SERVICE OF MANAGING TRUSTEES] (*3) (the Managing Trustees) and who collectively with the Board are referred to as the Landlord; and”
(3) [NAME] of [ADDRESS] (the Tenant)
2. Definitions and Interpretation
The following definitions and rules of interpretation apply in this agreement:
The usual definitions found in tenancy agreements should be incorporated, including a definition of the Property, Rent and Term. The following terms must also be included to accommodate the charity law and Methodist law template clauses:
Model Trusts: the model trusts for the time being contained in Part III of Schedule 2 to the 1976 Act.
Property: insert description of the property including postal address.
Tenancy: the tenancy created under this agreement and any statutory periodic tenancy arising under section 5(2) of the Housing Act 1988 or any contractual periodic tenancy that arises after the Term has expired.
1976 Act: the Methodist Church Act 1976.
2011 Act: the Charities Act 2011.
2.2 References to the Managing Trustees include their successors from time to time ascertained in accordance with the provisions of Part II of Schedule 2 to the 1976 Act.
2.3 References to the Tenant include where the context so admits its successors in title.
2.4 References to the Board include a reference to the persons for the time being entitled to the immediate reversion to this Tenancy.
2.5 References to the Landlord are to the Board and the Managing Trustees together and to their respective successors in title and assigns and the persons from time to time entitled to the immediate reversion to this Tenancy.
2.6 In the event of the reversion of this Tenancy being transferred to a third party then all references in the body of this agreement to the Managing Trustees and/or the Board shall be to the Landlord.
2.7 The obligations of the Tenant and any Guarantor arising by virtue of this agreement shall be deemed to be made with the Managing Trustees and Board separately. The obligations of the Landlord are owed to the Tenant.
2.8 Wherever the Landlord undertakes an obligation to the Tenant in this agreement, that obligation shall be construed as being an obligation on the part of the Managing Trustees only and nothing in this agreement shall impose any personal or other liability on the Board as custodian trustee.
3. Charity law and Methodist law statements
The following provisions must be included in the body of the agreement:
3.1 The Board holds the Property as custodian trustees upon the Model Trusts and the Managing Trustees are the managing trustees of the Property ascertained in accordance with the provisions of Part II of Schedule 2 to the 1976 Act.
3.2 The Landlord has power under the Model Trusts to let the Property.
3.3 The Managing Trustees certify that the provisions of Section 120 of the Charities Act 2011 have been complied with.
3.4 All relevant consents to the grant of this Tenancy have been obtained and those signing this agreement on behalf of the Landlord are authorised to do so by resolution made pursuant to Section 333 of the Charities Act 2011.
3.5 Pursuant to Section 9(8)(b)(ii) of the 1976 Act the Managing Trustees are empowered to execute this agreement in the name and on behalf of the Board.
If the tenant is a connected person:
3.6 The Managing Trustees certify that the Tenant is a connected person for the purposes of s.118([RELEVANT SUB-SECTION]) of the 2011 Act and that as charity trustees they have obtained an order from the Charity Commission authorising this disposition.
4.1 The Managing Trustees [at the request of the Guarantor (only required if there is a Guarantor)] in the name and on behalf of the Board let and as managing trustees let the Property to the Tenant for the Term.
4.2 This agreement creates an assured shorthold tenancy under Part I of Chapter II of the HA 1988.
5. Termination clause
Please ensure that the tenancy agreement specifies on which of the grounds in Schedule 2 of the Housing Act 1988 the landlord can re-enter the Property during the fixed term. The following is an example of type of provision that may be used:
5.1 The Landlord reserves the right to re-enter the Property if any of the Grounds 2, 8, 10-15 and 17 set out in Schedule 2 of the Housing Act 1988 apply. The Landlord cannot evict the Tenant without a court having first made an order for possession.
6. Landlord’s right to enter
The usual rights for the Landlord to enter the Property should be included but please ensure that the following rights specific to Model Trust property are also included:
6.1 The Landlord reserves the right for the Landlord, or any person acting on behalf of the Landlord, to enter the Property on giving at least 24 hours' prior notice in writing to the Tenant:
(a) to inspect the condition and state of repair of the Property including but not limited to carrying out such quinquennial inspections (*4) as may be required in accordance with the Standing Orders of the Methodist Church; and
(b) to show prospective tenants, ministers (*5) or purchasers around the Property (not required if the Property if not used as a Manse).
Note that two authorised Managing Trustees must sign the agreement.
|SIGNED by [NAME OF FIRST MANAGING |
(signature of authorised Managing Trustee)
|SIGNED by [NAME OF SECOND MANAGING |
(signature of authorised Managing Trustee)
Usually that of the Superintendent minister or a circuit office.
|(*2)||Methodist trustee bodies whose income and assets exceed the relevant thresholds are required to register with the Charity Commission. Please use this option and insert the registered charity’s name and number here if relevant.|
|(*3)||Usually that of the Superintendent minister or a circuit office.|
|(*4)||Under Methodist Standing Orders all model trust properties must be inspected by a professionally qualified person at least once every 5 years. Managing Trustees are obliged to ensure that all necessary action required by the report is carried out.|
|(*5)||The term “ministers” includes Deacons and Presbyters.|
Please note that this document is to provide guidance and assistance to Managing Trustees and their professional advisers. This guidance note is general in nature, may not reflect all recent legal developments and may not apply to the specific facts and circumstances of any particular matter.
Also note that nothing within the documents and guidance notes provided by TMCP nor any receipt or use of such information, should be construed or relied on as advertising or soliciting to provide any legal services. Nor does it create any solicitor-client relationship or provide any legal representation, advice or opinion whatsoever on behalf of TMCP or its employees.
Accordingly, neither TMCP nor its employees accept any responsibility for use of this document or action taken as a result of information provided in it.
Please remember that Managing Trustees need to take advice that is specific to the situation at hand. This document is not legal advice and is no substitute for such advice from Managing Trustees' own legal advisers.