(1)A fundamental provision is not incorporated as a term of an occupation contract if—
(a)the landlord and the contract-holder agree that it should not be incorporated, and
(b)in the contract-holder’s opinion, the effect of its not being incorporated is that the position of the contract-holder is improved.
(2)A fundamental provision is incorporated as a term of an occupation contract with modifications if—
(a)the landlord and the contract-holder agree that it should be incorporated with those modifications, and
(b)in the contract-holder’s opinion, the effect of its being incorporated with those modifications is that the position of the contract-holder is improved.
(3)Subsections (1) and (2) do not apply to the following fundamental provisions—
(a)section 45 (requirement to use deposit scheme),
(b)section 52 (joint contract-holder ceasing to be a party to the occupation contract),
(c)section 55 (anti-social behaviour and other prohibited conduct),
(d)sections 103(1)(b) and (2) and 108 (variation of secure contracts),
(e)sections 122(1)(b) and (2) and 127 (variation of periodic standard contracts),
(f)section 134(1)(b) and (2) and 135 (variation of fixed term standard contracts),
(g)section 148 (permissible termination),
(h)section 149 (possession claims),
(i)section 155 (death of sole contract-holder),
(j)section 158 (securing contract by use of false statement),
(k)section 175 (restriction on giving landlord’s notice under a periodic standard contract during first four months of occupation),
(l)section 177 (breach of deposit requirements: periodic standard contracts),
(m)section 186(2) and (4) (restriction on ending fixed term standard contract during first six months of occupation),
(n)section 196 (restriction on use of landlord’s break clause in a fixed term standard contract during first four months of occupation),
(o)section 198 (breach of deposit requirements: fixed term standard contracts with landlord’s break clause), and
(p)paragraph 7 of Schedule 4 (variation of secure contract addressed in written statement of introductory standard contract).
(4)Subsections (1) and (2) are subject to section 34 (landlord’s failure to provide written statement of contract) and section 36 (incomplete statement of contract).