The terms of a tenancy agreement (or licensing agreement) can be negotiated between the lessor and the potential tenant, but in practice, the tenant may not have much leeway to negotiate advantageous terms. This means that you need a secure lease for everything else, including accommodations where some rooms are shared, but each resident has their own room with a castle. In the event of a conflict, the Court considers your agreement to be a lease agreement. It is up to you to prove that it is a license. If you fail, your problems have started. The unfair clauses of a tenancy agreement are not legally binding on you. But they still have to follow the rest of the agreement. The key difference between the two plans is how the tenant can use the rented space. The property remains owned by the owner under a lease agreement and a licensing agreement.
However, while a lease agreement gives the tenant a certain right to use the land for a specified period of time, a licence only guarantees the tenant`s short-term occupancy or use of the land. Unless you have written permission from the owner, the occupation of another person`s property is against the law. In this way, a lease is essentially a lease, while permission to use a banquet hall for a wedding ceremony is a license. However, if you take a closer look, your so-called licence could turn out to be a lease that will give you an interest in the land itself as well as a tenant`s rights and obligations. Ask for advice if you think your agreement contains unfair terms or that your landlord cares about something you feel is unfair. There is only one obligation for a landlord to provide a tenant with a rental book (or similar document) if the rent is payable each week.  A landlord is not obliged to make a rental book available to a licensee. Leases or licenses can be written or orally. Oral agreements are as binding as written agreements. However, it is advisable to have a written agreement so that the location of each party is clearer. From the point of view of one of the parties, licensing agreements are generally personal and specific to the current operator and the landowner.
Legally, a rental agreement is a set of rights awarded by the landlord to the tenant and incorporated into the land. In comparison, a license gives only a privilege to use the property, which makes this act lawful. When you rent individual parts, it`s a difficult call. It depends on the actual regulations, but the Court of Justice has tended in recent years to prefer an AST – that is what you should do. This means that there are no circumstances under which you can use a license agreement safely for student accommodation. We have a longer article on how best to rent a room that provides a more detailed explanation. Under the 2019 bill, a rental authority should be put in place to help landlords evacuate tenants. In a license, since there is no property by the tenant, the need for eviction does not occur. (b) the payment of this instalment does not allow the licensee to withhold or delay payment of another amount due under this licence; However, some owners use the wrong type of written agreement, so your type of rental may be different from your contract. Landlord lawyers have either neglected or been too cautious to propose the use of licensing contracts for their clients. However, licensing agreements allow commercial landlords to completely eliminate the landlord-tenant ratio and thus avoid the burdens that often arise within the legal framework of traditional landlord-tenant procedures.
Ben Cobb, Commercial Property Solicitor explains: « For example, a license can be of great use to start-ups, as they do not require the tenant to have a long-term lease.