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PART 3PROVISIONS APPLYING TO ALL OCCUPATION CONTRACTS

CHAPTER 8DEALING

Sub-occupation contracts

62End of head contract

(1)This section applies (subject to subsection (6)) if—

(a)the contract-holder under an occupation contract (“the head contract”) enters into a sub-occupation contract in accordance with the head contract, and

(b)the head contract ends after the head contract’s occupation date.

(2)If the sub-occupation contract subsists immediately before the head contract ends—

(a)the sub-occupation contract continues (as an occupation contract which is not a sub-occupation contract), and

(b)the contract-holder’s rights and obligations as landlord under the sub-occupation contract are transferred to the head landlord.

(3)If the sub-holder asks the head landlord for a further written statement of the contract under section 31(4) (and subsection (5) of this section does not apply), the references to the contract-holder in sections 34(4) and 35(5) (failure to provide statement) include the person who was the contract-holder under the head contract.

(4)Subsection (5) applies where—

(a)a head landlord has given notice in accordance with section 61(7) and (8) in relation to a contract, and

(b)the contract continues because of subsection (2)(a) of this section.

(5)Where this subsection applies, for the purposes of section 31(1) (written statement of contract) the occupation date of the contract is to be treated—

(a)if the notice mentioned in section 61(7) is given to the sub-holder before the end of the head contract, as the day on which the head contract ends;

(b)if the notice is given to the sub-holder on or after the day on which the head contract ends, as the day on which the notice is given.

(6)This section does not apply if the head contract is a fixed term standard contract which ends at the end of the fixed term.