Paterson v Aggio: CA 1987

The Court considered whether a tenancy was a ‘protected shorthold tenancy’ within the meaning of section 52 of the Housing Act 1980 and therefore excluded from the protection of the Rent Act 1977.
Held: A power to forfeit within the minimum year tenancy for the bankruptcy of the tenant, was not to be taken to mean it was not a shorthold tenancy. ‘although on a strict construction’ it could be said that ‘the requirement not to become a bankrupt was not an ‘obligation’ on the tenant’, this would defeat the plain intention of the legislature. ‘ and ‘if a tenant under the terms of the tenancy agreement with which we are concerned went bankrupt, this must amount to a breach by him of an obligation or a term or condition of the tenancy and, in the context of the Rent Acts, would entitle the landlord to possession under Case 1 of Schedule 15 to the 1977 Act.’


May LJ


[1987] 2 EGLR 127


Housing Act 1980 52, Rent Act 1977 Sch 15 C 1


England and Wales


CitedIn re Drew (A Bankrupt) 1929
(Ireland) A tenant subject to a re-entry clause in his tenancy agreement in the case of his being made bankrupt, and who had gone bankrupt had broken an obligation of his tenancy. He was not protected from an order for possession. ‘The tenant here . .

Cited by:

CitedCadogan Estates Limited v McMahon HL 26-Oct-2000
When a tenancy was terminated and was followed by a statutory tenancy, a term in the contractual tenancy that the tenancy should be forfeit on the tenant’s bankruptcy was continued in and inherited by the statutory tenancy. Though perhaps in . .
Lists of cited by and citing cases may be incomplete.

Landlord and Tenant, Insolvency, Housing

Updated: 05 August 2022; Ref: scu.196910