Chapter 1 of Part 10 of the 2010 Act
42.Where a disposal that requires Regulator’s consent would result in a tenant under a Scottish secure tenancy ceasing to be a tenant of the RSL making the disposal, Chapter 1 of Part 10 applies.(24)
43.Under this Chapter, the Regulator may refuse consent under section 114 or direct the RSL to consult its tenants in accordance with section 115. Section 115 requires the RSL to carry out a two-step consultation process with its tenants. Following that consultation process, the Regulator may either refuse consent or, subject to “tenant authorisation” being obtained, give conditional consent to the disposal.(25) “Tenant authorisation” is obtained where the Regulator directs the RSL, under section 116(2), to either––
ballot the tenants who would be affected by the disposal, or
seek the written agreement of those tenants to the disposal,
and where the majority of those tenants agree to the disposal.
44.Section 118 governs the conduct of the ballot and section 119 how the RSL goes about seeking the written agreement of its tenants. Section 120 makes further provision about the tenants who need to be balloted or whose agreement needs to be sought, in that it provides that the RSL need not ballot or seek agreement from “unaffected tenants” – tenants who will have vacated their houses before the proposed disposal is made.
45.Where the majority of affected tenants agree to the disposal (either by ballot or by agreeing in writing), the Regulator must approve the disposal. See section 121. Where there is no such majority, the Regulator must withdraw its conditional consent(26) and the disposal cannot proceed.
See section 113 of the 2010 Act.
See section 116 of the 2010 Act.
See section 116(1)(b) as read with section 121(1)(b) of the 2010 Act.
