Repossession case of McDonald v McDonald

We are closely monitoring the high profile repossession case of McDonald v McDonald.

The case concerns receivers acting for a bank which wants to repossess a property from a defaulting private sector landlord under section 21 of the Housing Act 1988.

This case in particular could have far-reaching implications for private sector landlords.

It concerns the daughter of the landlord who is living at the property as the tenant and is seeking to invoke Article 8 of the European Convention on Human Rights to avoid being evicted. Article 8 is the right to respect for private and family life and home.

It’s a case that has been taken to the Supreme Court as the tenant’s bid has already failed at the Court of Appeal.

If the Supreme Court finds in the Tenant’s favour then this could seriously undermine the existing Section 21 legislation and give tenants the opportunity to raise spurious defences under Article 8 in order to delay possession proceedings.

Further bad news for landlords as this will make the eviction of tenants more difficult, expensive and time consuming with the possibility that rent arrears will build up further putting the landlord at a greater financial disadvantage.

Needless to say, we await the outcome of the case with interest.

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