(1)In relation to any claim to exercise the right to collective enfranchisement, the participating tenants are (subject to the provisions of this section and Part I of Schedule 3) the following persons, namely—
(a)in relation to the relevant date, the qualifying tenants by whom the initial notice is given; and
(b)in relation to any time falling after that date, such of those qualifying tenants as for the time being remain qualifying tenants of flats contained in the specified premises.
(2)Where the lease by virtue of which a participating tenant is a qualifying tenant of his flat is assigned to another person, the assignee of the lease shall, within the period of 14 days beginning with the date of the assignment, notify the nominee purchaser—
(a)of the assignment, and
(b)as to whether or not the assignee is electing to participate in the proposed acquisition.
(3)Where a qualifying tenant of a flat contained in the specified premises—
(a)is not one of the persons by whom the initial notice was given, and
(b)is not such an assignee of the lease of a participating tenant as is mentioned in subsection (2),
then (subject to paragraph 8 of Schedule 3) he may elect to participate in the proposed acquisition, but only with the agreement of all the persons who are for the time being participating tenants; and, if he does so elect, he shall notify the nominee purchaser forthwith of his election.
(4)Where a person notifies the nominee purchaser under subsection (2) or (3) of his election to participate in the proposed acquisition, he shall be regarded as a participating tenant for the purposes of this Chapter—
(a)as from the date of the assignment or agreement referred to in that subsection; and
(b)so long as he remains a qualifying tenant of a flat contained in the specified premises.
(5)Where a participating tenant dies, his personal representatives shall, within the period of 56 days beginning with the date of death, notify the nominee purchaser—
(a)of the death of the tenant, and
(b)as to whether or not the personal representatives are electing to withdraw from participation in the proposed acquisition;
and, unless the personal representatives of a participating tenant so notify the nominee purchaser that they are electing to withdraw from participation in that acquisition, they shall be regarded as a participating tenant for the purposes of this Chapter—
(i)as from the date of the death of the tenant, and
(ii)so long as his lease remains vested in them.
(6)Where in accordance with subsection (4) or (5) any assignee or personal representatives of a participating tenant (“the tenant”) is or are to be regarded as a participating tenant for the purposes of this Chapter, any arrangements made between the nominee purchaser and the participating tenants and having effect immediately before the date of the assignment or (as the case may be) the date of death shall have effect as from that date—
(a)with such modifications as are necessary for substituting the assignee or (as the case may be) the personal representatives as a party to the arrangements in the place of the tenant; or
(b)in the case of an assignment by a person who remains a qualifying tenant of a flat contained in the specified premises, with such modifications as are necessary for adding the assignee as a party to the arrangements.
(7)Where the nominee purchaser receives a notification under subsection (2), (3) or (5), he shall, within the period of 28 days beginning with the date of receipt of the notification—
(a)give a notice under subsection (8) to the reversioner in respect of the specified premises, and
(b)give a copy of that notice to every other relevant landlord.
(8)A notice under this subsection is a notice stating—
(a)in the case of a notification under subsection (2)—
(i)the date of the assignment and the name and address of the assignee,
(ii)that the assignee has or (as the case may be) has not become a participating tenant in accordance with subsection (4), and
(iii)if he has become a participating tenant (otherwise than in a case to which subsection (6)(b) applies), that he has become such a tenant in place of his assignor;
(b)in the case of a notification under subsection (3), the name and address of the person who has become a participating tenant in accordance with subsection (4); and
(c)in the case of a notification under subsection (5)—
(i)the date of death of the deceased tenant,
(ii)the names and addresses of the personal representatives of the tenant, and
(iii)that in accordance with that subsection those persons are or (as the case may be) are not to be regarded as a participating tenant.
(9)Every notice under subsection (8)—
(a)shall identify the flat with respect to which it is given; and
(b)if it states that any person or persons is or are to be regarded as a participating tenant, shall be signed by the person or persons in question.
(10)In this section references to assignment include an assent by personal representatives and assignment by operation of law, where the assignment is—
(a)to a trustee in bankruptcy, or
(b)to a mortgagee under section 89(2) of the M1Law of Property Act 1925 (foreclosure of leasehold mortgage),
and references to an assignee shall be construed accordingly.
(11)Nothing in this section has effect for requiring or authorising anything to be done at any time after a binding contract is entered into in pursuance of the initial notice.
Marginal Citations