This guidance is specific for tenancies in Wales. If you're looking for information relating to tenancies in England, please go here.
In the Welsh legislation, subletting is dealt with under what is known as “Dealing”.
Dealing includes: creating a sub-tenancy or sub-licence, transferring the contract to another person, or taking out a mortgage on the dwelling (property).
Dealing is only allowed as expressly permitted by the contract. The Welsh legislation does not include a fundamental term which allows contract-holders to enter into a sub-tenancy or sub-licence.
If you are using the OpenRent occupation contract, dealing is dealt with under clause 26. We have not included a term that allows contract holders to enter into a sub-tenancy or sub-licence and, therefore, this is not permissible under the standard OpenRent contract.
If you would like to allow your tenant to be able to create either a sub-tenancy or sub-licence, then you could do so by adding an additional term using custom clauses.
Generally, you must be careful when adding custom clauses to the contract as the Welsh legislation will not allow terms that conflict with existing terms or terms that are seen to be unfair. Adding a term that permits the contract-holders to create a sub-tenancy or sub-licence with the consent of the Landlord (such consent not to be unreasonably withheld) will not conflict with existing terms and will not be seen as unfair. As usual, however, we do advise Landlords to seek independent legal advice before adding any custom clauses.
Permitted occupiers who are not lodgers or sub-holders
In line with legislation, the OpenRent occupation contract also allows for contract-holders to permit persons who are not lodgers or sub-holders to live in the dwelling as a home, without becoming a joint contract-holder themselves.
In this instance, the contract-holder shall be responsible for the conduct of the permitted occupier, and liable for any breach of contract made by them.
If you would like for all permitted occupiers to be liable for themselves, you can add them to the contract as a joint contract-holder. This is dealt with under clause 28 of the OpenRent contract and can be done using our renewals feature.
Information on this site is by way of general guidance only and may not apply in your particular circumstances. You should not act or refrain from acting upon information on this site without seeking independent legal advice.