PART II.

Restriction of Rent of Controlled Dwellings.

Chapter 1.

Lawful Rent of Controlled Dwellings.

7. —(1) This section applies to—

(a) a controlled dwelling in respect of which evidence is forthcoming of both of the following facts—

(i) that it was on the operative date (in this section referred to as the relevant date) held by an occupying tenant thereof under a contract of tenancy not being for more than a term of five years or under a statutory tenancy (within the meaning of the Act of 1946), and

(ii) the rent at which it was so held;

(b) a controlled dwelling in respect of which evidence is forthcoming of all the following facts—

(i) that it was not so held on the operative date,

(ii) that it was last so held on a date (in this section also referred to as the relevant date) during the period of three years ending on the operative date, and

(iii) the rent at which it was so held.

(2) The basic rent of a controlled dwelling to which this section applies shall be—

(a) in the case of a dwelling specified in the Schedule attached to the Agreement entered into on the 6th day of October, 1960, between the Dublin Artisans' Dwellings Company Limited and the Dublin Artisans' Dwellings Tenants Association and deposited in the Public Record Office—the rent specified in the third column of that Schedule in respect of the dwelling, and

(b) in any other case—the net rent at which it was held on the relevant date.

(3) For the purposes of this section, the net rent at which a controlled dwelling was held on the relevant date shall be taken to be—

(a) in case the landlord at the relevant date habitually paid or allowed a deduction or set-off against, or indemnified the tenant in respect of, the rates or any part thereof, the rent payable at that date less the amount of the payment, allowance, deduction, set-off or indemnity (as the case may be);

(b) in any other case, the rent payable at that date.

8. —(1) (a) If, on an application to the Court under this subsection by the landlord of a controlled dwelling to which section 7 of this Act applies, not being a dwelling referred to in paragraph (a) of subsection (2) of that section, the Court is satisfied—

(i) that the basic rent of the dwelling falls short of, by an amount exceeding one-eighth of the basic rent, the rent (in this subsection referred to as the notional rent) which, if the premises were premises to which section 9 of this Act applies, would be determined by the Court as the basic rent thereof, and

(ii) that the amount of the basic rent was affected by special circumstances,

the basic rent of the dwelling shall be determined by the Court and shall be the amount which, in the opinion of the Court, represents the notional rent, and thenceforth the dwelling shall, without prejudice to the previous application thereto of paragraph (a) of section 16 of this Act, become a dwelling to which section 9 of this Act applies as if such determination had been made under that section.

(b) In determining pursuant to paragraph (a) of this subsection the notional rent of a dwelling to which Chapter 1 of Part II of the Act of 1946 applied, “(being dwellings to which Chapter 1 of Part II of the Act of 1946 applied)” shall be regarded as being contained in subsection (2) of section 9 of this Act after “controlled dwellings” and, in determining as aforesaid the notional rent of any other dwelling, “(being dwellings to which Chapter 2 of Part II of the Act of 1946 applied)” shall be regarded as being so contained in that subsection.

(2) (a) If, on an application to the Court under this subsection by the tenant of a controlled dwelling to which section 7 of this Act applies, not being a dwelling referred to in paragraph (a) of subsection (2) of that section, the Court is satisfied that the basic rent of the dwelling exceeds, by an amount exceeding one-eighth of the basic rent, the rent (in this subsection referred to as the notional rent) which, if the dwelling were a dwelling to which section 9 of this Act applies, would be determined by the Court as the basic rent thereof, the basic rent of the dwelling shall be determined by the Court and shall be the amount which, in the opinion of the Court, represents the notional rent, and thenceforth the dwelling shall, without prejudice to the previous application thereto of paragraph (a) of section 16 of this Act, become a dwelling to which section 9 of this Act applies as if such determination had been made under that section.

(b) In determining pursuant to paragraph (a) of this subsection the notional rent of a dwelling—

(i) the Court shall have regard to any amount expended on the improvement, structural alteration or repair of the dwelling which is an amount by reference to which a lawful addition within the meaning of the Act of 1946 has been obtained, and

(ii) in the case of a dwelling of which the rateable valuation does not exceed ten pounds and which is a dwelling to which Chapter 1 of Part II of the Act of 1946 applied, “(being dwellings to which Chapter 1 of Part II of the Act of 1946 applied)” shall be regarded as being contained in subsection (2) of section 9 of this Act after “controlled dwellings” and, in the case of any other dwelling, “(being dwellings to which Chapter 2 of Part II of the Act of 1946 applied)” shall be regarded as being so contained in that subsection.

(3) (a) If, on an application to the Court under this subsection by the tenant of a controlled dwelling, the Court is satisfied that the dwelling is a dwelling to which this subsection applies and that the basic rent of the dwelling exceeds the notional rent, the basic rent of the dwelling shall be determined by the Court and shall be the amount which, in the opinion of the Court, represents the notional rent, and thenceforth the dwelling shall, without prejudice to the previous application thereto of paragraph (a) of section 16 of this Act, become a dwelling to which section 9 of this Act applies as if such determination had been made under that section.

(b) In this subsection—

“dwelling to which this subsection applies” means a controlled dwelling—

(i) to which section 7 of this Act applies, not being a dwelling referred to in paragraph (a) of subsection (2) of that section,

(ii) with respect to which the basic rent (within the meaning of the Act of 1946) was fixed by section 8 of the Act of 1946 or was determined by the Court under that Act, and

(iii) which was held by the tenant on the relevant date at a rent in excess of the lawful rent (within the meaning of the Act of 1946);

“the notional rent” means, in relation to a dwelling,—

(i) in case, at the relevant date, the landlord habitually paid or allowed a deduction or set-off against, or indemnified the tenant in respect of, the rates or any part thereof, the lawful rent (within the meaning of the Act of 1946) at that date less the amount of the payment, allowance, deduction, set-off or indemnity (as the case may be),

(ii) in any other case, the lawful rent (within the meaning of the Act of 1946) at the relevant date;

“the relevant date” has the same meaning as that expression has in section 7 of this Act.

9. —(1) This section applies to every controlled dwelling other than controlled dwellings to which section 7 of this Act applies.

(2) The basic rent of a controlled dwelling to which this section applies shall be determined by the Court and shall be a rent of such amount as the Court considers reasonable having regard as far as possible to the basic rents of controlled dwellings which are comparable in regard to location, accommodation, amenities, state of repair and rateable valuation.

(3) For the purpose of the determination by the Court of the basic rent under this section, the tenant shall be deemed to be responsible for the rates.

10. —(1) In this section “the critical date” means—

(a) in the case of a controlled dwelling to which section 7 of this Act applies, the operative date,

(b) in the case of a controlled dwelling to which section 9 of this Act applies—

(i) in case it has become such a dwelling by virtue of section 8 of this Act, the operative date, and

(ii) in any other case, the date of the institution of the proceedings in which the basic rent of the dwelling is determined.

(2) For the purposes of this Act and subject to the subsequent provisions of this section, the sum mentioned in any paragraph of this subsection shall, in the case set out in that paragraph, be a lawful addition to the basic rent of a controlled dwelling:

(a) in case the landlord of the dwelling pays or allows a deduction or set-off against, or indemnifies the tenant in respect of, the rates or any part thereof, a sum equal to the amount for the time being of the payment, deduction, set-off or indemnity (as the case may be);

(b) in case the landlord is liable for the whole or part of the repairs to the dwelling, a sum equal to twelve and one-half per cent. of the basic rent;

(c) in case the landlord, on or after the critical date, expends any amount (excluding any amount expended on decoration or repairs) on the improvement or structural alteration of the dwelling, a sum equal to eight per cent. per annum of that amount;

(d) in case the landlord, on or after the critical date, expends any amount on repairs to the dwelling which are wholly or mainly rendered necessary because of acts of waste by, or the neglect or default of, the tenant or any person residing with him or any of his lodgers or subtenants, a sum equal to eight per cent. per annum of that amount;

(e) in case the landlord, during any period of two years ending on a 31st day of December (being the 31st day of December, 1960, the 31st day of December, 1961, the 31st day of December, 1962 or any subsequent 31st day of December), expends an amount in excess of two-thirds of the basic rent of the dwelling on putting the dwelling into a reasonable state of repair, a sum calculated in accordance with the scale set out in the Second Schedule to this Act.

(3) Where—

(a) an amount is expended on improvement, structural alteration or repair of a dwelling, being improvement, alteration or repair commencing on or after the 1st day of April, 1961, and

(b) apart from this subsection, there would, having regard to paragraph (c), (d) or (e) (as the case may be) of subsection (2) of this section, be a lawful addition to the basic rent of the dwelling by reference to the amount,

there shall be no lawful addition to the basic rent of the dwelling by reference to the amount unless the landlord has, at least fourteen days before the commencement of the improvement, alteration or repair, served on the tenant a notice in the prescribed form, or a form substantially to the same effect, containing particulars of the work proposed to be done and the estimated cost thereof.

(4) Where—

(a) a house consists of two or more controlled dwellings and the landlord of the dwellings expends—

(i) an amount (excluding any amount expended on decoration or repairs) on the improvement or structural alteration of the house, or

(ii) an amount on repairs to the house which are wholly or mainly rendered necessary because of acts of waste by, or the neglect or default of, any of the tenants or any person residing with any of the tenants or any of the lodgers or subtenants of any of the tenants, and

(b) all the controlled dwellings benefit directly or indirectly from the improvement, alteration or repairs,

the amount shall, for the purposes of subsection (2) of this section, be taken as apportioned among the dwellings in proportion to their respective rateable valuations.

(5) Where—

(a) a house consists of two or more controlled dwellings and the landlord of the dwellings expends an amount in excess of two-thirds of the aggregate of the basic rents of the dwellings on putting the house into a reasonable state of repair, and

(b) all the controlled dwellings benefit directly or indirectly from the repairs,

the following provisions shall have effect for the purposes of subsection (2) of this section:

(i) a calculation shall be made in accordance with the provisions of paragraph (e) of that subsection of the sum which would be the lawful addition if the house were a dwelling having a basic rent equal to the aggregate of the basic rents of the dwellings,

(ii) that sum shall be apportioned among the dwellings in proportion to their respective rateable valuations,

(iii) the said paragraph (e) shall be taken as having provided, as respects each dwelling, for the sum apportioned to it on the apportionment (and no other sum) being a lawful addition to its basic rent.

(6) (a) In the case of a dwelling with respect to which there has been, during a relevant period, an excess of expenditure such as is referred to in paragraph (g) of subsection (2) of section 11 or paragraph (e) of subsection (2) of section 17 of the Act of 1946 (being an excess of expenditure by reference to which there has been a lawful addition within the meaning of that Act) paragraph (b) of subsection (2) of this section shall not apply in relation to the dwelling except in a case in which a relevant grant was made in respect of repairs by reference to which the excess of expenditure occurred, and, in any such case, in the calculation of the lawful addition under the said paragraph (b), the basic rent shall be reduced by the portion thereof which is attributable to the addition under the said paragraph (g) or the said paragraph (e) (as the case may be).

(b) In the case of a dwelling with respect to which there has been, during a relevant period, an excess of expenditure such as is referred to in paragraph (e) of subsection (2) of this section (being an excess of expenditure by reference to which there has been a lawful addition), paragraph (b) of that subsection shall cease to apply in relation to the dwelling except in a case in which a relevant grant was made in respect of repairs by reference to which the excess of expenditure occurred.

(c) In this subsection—

“relevant period” means—

(i) in paragraph (a)—any period of two years ending on a 31st day of December, being the 31st day of December, 1945, or any subsequent 31st day of December not later than the 31st day of December, 1960, and

(ii) in paragraph (b)—any period of two years ending on a 31st day of December, being the 31st day of December, 1960, or any subsequent 31st day of December;

“relevant grant” means a grant under section 5 of the Housing and Labourers Act, 1937 , under that section as extended by section 33 of the Housing (Amendment) Act, 1952 , or under section 12 of the Housing (Amendment) Act, 1954 .

(7) Where portion of the basic rent of a dwelling is attributable to an addition under paragraph (g) of subsection (2) of section 11 or paragraph (e) of subsection (2) of section 17 of the Act of 1946 in respect of expenditure during the period of two years ending on the 31st day of December, 1960, paragraph (e) of subsection (2) of this section shall have effect in relation to the dwelling as if the references therein to the 31st day of December, 1960, and the 31st day of December, 1961, were omitted.

(8) For the purposes of subsection (2) of this section, the amount of any grant under the Housing (Financial and Miscellaneous Provisions) Acts, 1932 to 1958, as amended or extended by any subsequent enactment, shall not be reckoned as part of any amount expended on any improvement, structural alteration or repairs to which that subsection applies.

(9) In the application of this Chapter to a small dwelling, within the meaning of the Local Government (Rates on Small Dwellings) Act, 1928 , the following provisions shall have effect:

(a) the word “rates” in paragraph (a) of subsection (2) of this section shall not include a rate made by virtue of the last-mentioned Act on the owner of the small dwelling, and

(b) the amount by which the rent of the small dwelling is increased by virtue of section 6 of the last-mentioned Act shall be taken into account as a lawful addition in calculating the lawful rent of the small dwelling.

11. —The lawful rent of a controlled dwelling shall be—

(a) in case there is no lawful addition to the basic rent of the dwelling, the basic rent of the dwelling,

(b) in any other case, the sum of the basic rent of the dwelling and the lawful additions thereto.