The following Property Disputes Q&A provides comprehensive and up to date legal information covering:
In Street v Mountford the House of Lords identified the hallmarks of a tenancy as:
of defined premises
Payment of rent might also be an indication of a tenancy but is not essential.
Determining whether the agreement proposed will be a lease or a licence will depend upon the substance of the agreement as a whole, rather than the form, ie if the parties in fact have reached an agreement which amounts to exclusive possession, this cannot be offset by simply labelling an agreement in a certain way. Even if properly drafted at the outset as a true licence, it appears to be possible for the parties' conduct to alter the nature of the agreement so that a tenancy is subsequently created. In this regard, see Practice Note: Using licences and tenancies at will and commentary from Hill and Redman’s Division A paragraph 290 onwards.
Certainty as to the term of the tenancy is also required. However, that does not mean that a fixed term must be specified at the outset.
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