Commonhold and Leasehold Reform Bill [H.L.] - continued        House of Lords
PART I, COMMONHOLD - continued
Commonhold unit - continued

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Joint unit-holders.     13. - (1) Two or more persons are joint unit-holders of a commonhold unit if they are entitled to be registered as proprietors of the freehold estate in the unit (whether or not they are registered).
 
      (2) In the application of the following provisions to a unit with joint unit-holders a reference to a unit-holder is a reference to the joint unit-holders together-
 
 
    (a) section 14(3),
 
    (b) section 15(1) and (3),
 
    (c) section 19(2) and (3),
 
    (d) section 20(1),
 
    (e) section 22(1),
 
    (f) section 34(1)(b),
 
    (g) section 37(1),
 
    (h) section 38(2),
 
    (i) section 44(2), and
 
    (j) section 58(2).
      (3) In the application of the following provisions to a unit with joint unit-holders a reference to a unit-holder includes a reference to each joint unit-holder and to the joint unit-holders together-
 
 
    (a) section 1(1)(c),
 
    (b) section 16,
 
    (c) section 30(1)(b), (3)(b), (5)(j) and (7),
 
    (d) section 31(4)(a) and (c),
 
    (e) section 34(1)(a), (2) and (3),
 
    (f) section 36(2),
 
    (g) section 39(1), and
 
    (h) section 56(3)(a).
      (4) Regulations under this Part which refer to a unit-holder shall make provision for the construction of the reference in the case of joint unit-holders.
 
      (5) Regulations may amend subsection (2) or (3).
 
      (6) Regulations may make provision for the construction in the case of joint unit-holders of a reference to a unit-holder in-
 
 
    (a) an enactment,
 
    (b) a commonhold community statement,
 
    (c) the memorandum or articles of association of a commonhold association, or
 
    (d) another document.
Use and maintenance.     14. - (1) A commonhold community statement must make provision regulating the use of commonhold units.
 
      (2) A commonhold community statement must make provision imposing duties in respect of the insurance, repair and maintenance of each commonhold unit.
 
      (3) A duty under subsection (2) may be imposed on the commonhold association or the unit-holder.
 
Transfer.     15. - (1) In this Part a reference to the transfer of a commonhold unit is a reference to the transfer of a unit-holder's freehold estate in a unit to another person-
 
 
    (a) whether or not for consideration,
 
    (b) whether or not subject to any reservation or other terms, and
 
    (c) whether or not by operation of law.
      (2) A commonhold community statement may not prevent or restrict the transfer of a commonhold unit.
 
      (3) On the transfer of a commonhold unit the new unit-holder shall notify the commonhold association of the transfer.
 
      (4) Regulations may-
 
 
    (a) prescribe the form and manner of notice under subsection (3);
 
    (b) prescribe the time within which notice is to be given;
 
    (c) make provision (including provision requiring the payment of money) about the effect of failure to give notice.
Transfer: effect.     16. - (1) A right or duty conferred or imposed-
 
 
    (a) by a commonhold community statement, or
 
    (b) in accordance with section 20,
       shall affect a new unit-holder in the same way as it affected the former unit-holder.
 
      (2) A former unit-holder shall not incur a liability or acquire a right-
 
 
    (a) under or by virtue of the commonhold community statement, or
 
    (b) by virtue of anything done in accordance with section 20.
      (3) Subsection (2)-
 
 
    (a) shall not be capable of being disapplied or varied by agreement, and
 
    (b) is without prejudice to any liability or right incurred or acquired before a transfer takes effect.
      (4) In this section-
 
 
    "former unit-holder" means a person from whom a commonhold unit has been transferred (whether or not he has ceased to be the registered proprietor), and
 
    "new unit-holder" means a person to whom a commonhold unit is transferred (whether or not he has yet become the registered proprietor).
Leasing: residential.     17. - (1) It shall not be possible to create a term of years absolute in a residential commonhold unit unless the term satisfies prescribed conditions.
 
      (2) The conditions may relate to-
 
 
    (a) length;
 
    (b) the circumstances in which the term is granted;
 
    (c) any other matter.
      (3) Subject to subsection (4), an instrument or agreement shall be of no effect to the extent that it purports to create a term of years in contravention of subsection (1).
 
      (4) Where an instrument or agreement purports to create a term of years in contravention of subsection (1) a party to the instrument or agreement may apply to the court for an order-
 
 
    (a) providing for the instrument or agreement to have effect as if it provided for the creation of a term of years of a specified kind;
 
    (b) providing for the return or payment of money;
 
    (c) making such other provision as the court thinks appropriate.
      (5) A commonhold unit is residential if provision made in the commonhold community statement by virtue of section 14(1) requires it to be used only-
 
 
    (a) for residential purposes, or
 
    (b) for residential and other incidental purposes.
Leasing: non-residential.     18. An instrument or agreement which creates a term of years absolute in a commonhold unit which is not residential (within the meaning of section 17) shall have effect subject to any provision of the commonhold community statement.
 
Leasing: supplementary.     19. - (1) Regulations may-
 
 
    (a) impose obligations on a tenant of a commonhold unit;
 
    (b) enable a commonhold community statement to impose obligations on a tenant of a commonhold unit.
      (2) Regulations under subsection (1) may, in particular, require a tenant of a commonhold unit to make payments to the commonhold association or a unit-holder in discharge of payments which-
 
 
    (a) are due in accordance with the commonhold community statement to be made by the unit-holder, or
 
    (b) are due in accordance with the commonhold community statement to be made by another tenant of the unit.
      (3) Regulations under subsection (1) may, in particular, provide-
 
 
    (a) for the amount of payments under subsection (2) to be set against sums owed by the tenant (whether to the person by whom the payments were due to be made or to some other person);
 
    (b) for the amount of payments under subsection (2) to be recovered from the unit-holder or another tenant of the unit.
      (4) Regulations may modify a rule of law about leasehold estates (whether deriving from the common law or from an enactment) in its application to a term of years in a commonhold unit.
 
      (5) Regulations under this section-
 
 
    (a) may make provision generally or in relation to specified circumstances, and
 
    (b) may make different provision for different descriptions of commonhold land or commonhold unit.
 
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