Prescribed Information Invalidly Executed by Company Landlord

In the case of Bali v Manaquel Company Limited heard in April 2016, a tenant successfully defeated his landlord’s claim for possession on a technicality; because of a failure to execute the Prescribed Information in accordance with section 44 of the Companies Act 2006. Section 44 reads as follows:

 “A document is validly executed by a company if it is signed on behalf of the company–
(a) by two authorised signatories, or

(b) by a director of the company in the presence of a witness who attests the signature”

 The Judge held that because the company landlord had not validly executed the Prescribed Information, it had not been given in accordance with paragraph 2(1)(g)(vii) of the Housing (Tenancy Deposits) (Prescribed Information) Order 2007 and the section 21 notice was held to be invalid. Landlords will recall that this paragraph requires that the prescribed information must include confirmation in the form of a certificate signed by the landlord that the information provided is accurate to the best of his knowledge and belief, and that he has given the tenant the opportunity to sign any document containing the information provided by the landlord by way of confirmation that the information is accurate to the best of his knowledge and belief.

 Company landlords must now ensure the prescribed information is executed correctly although of course the Deregulation Act 2015 still permits an agent to sign on its behalf.