Rent Act 1977 – Tenancy of mixed business and residential premises – Business use ceasing – Whether tenancy acquiring protection of 1977 Act – Whether premises “let as a dwelling” – Appeal dismissed
In 1970, the appellant took a tenancy of premises consisting of a ground-floor shop and first-floor living accommodation. The landlord was a predecessor in title of the respondents. The appellant moved into the first floor with his family and ran his business as a retailer and repairer of electrical goods from the ground-floor shop. In 1989, the appellant ceased his business use of the ground floor, but from then on used it for storage in connection with his residential use of the first floor.
In 2003, the respondents acquired the property and served a notice to quit on the appellant. Their possession claim against the appellant was allowed. The appellant sought permission to appeal on the issue of whether he was a statutory tenant under the Rent Act 1977. He contended that, upon the cessation of business use of the premises in 1989, the tenancy had ceased to be subject to the provisions of the Landlord and Tenant Act 1954 regarding business tenancies, and had instead attracted the protection of the 1977 Act relating to dwellings. The respondents submitted that the premises were not “let as a…dwelling” within the meaning of the 1977 Act. They argued that where a tenancy was granted for mixed business and residential use and was accordingly subject to the 1954 Act, the tenant could not arrogate to himself the protection of the 1977 Act simply by unilaterally ceasing the business use.
