Land Reform (Scotland) Act 2016

91 Conversion of limited duration tenancies into modern limited duration tenancies

(1) The 2003 Act is amended as follows.

(2) After section 2A (as inserted by section 90) insert—

“2B Conversion from limited duration tenancy to modern limited duration tenancy

(1) The landlord and tenant under a limited duration tenancy may terminate the tenancy by agreement in writing provided that—

(a) the agreement—

(i) specifies the date on which the termination is to have effect, and

(ii) is made not less than 30 days before that date, and

(b) subsection (2) is complied with.

(2) This subsection is complied with if the landlord and tenant enter into a lease constituting a modern limited duration tenancy for a term of not less than the term remaining under the limited duration tenancy which—

(a) comprises or includes the same land as that comprised in the tenancy being terminated under subsection (1), and

(b) has effect from the date on which the termination under that subsection has effect.

(3) The landlord or tenant is entitled, at any time before the date on which the termination under subsection (1) has effect, to revoke (without penalty)—

(a) the agreement made under that subsection, and

(b) the lease mentioned in subsection (2),

by giving notice in writing to the other of the revocation.

(4) On termination of a limited duration tenancy under subsection (1), the tenant is not entitled to compensation for improvements under Part 4 (or, as the case may be, under the lease).

(5) But any improvements for which the tenant would have been entitled to compensation under that Part but for subsection (4) are, for the purposes of that Part, to be regarded as improvements carried out during the modern limited duration tenancy.

(6) Where a limited duration tenancy is terminated under subsection (1), section 8 does not apply in respect of the tenancy.

(7) Section 5B does not apply to a modern limited duration tenancy created under this section.”.