The object of this amendment is to provide that in the case of a lease executed before 1st January, 1914, it shall be presumed that the lease is a building lease if the rent is less than three-fourths of the earliest rateable valuation of the site and the buildings on it. This is a compromise between the existing provisions of the Bill, which follow the relevant recommendation in the Conroy Report, and a suggestion by Senator O'Brien on the Committee Stage that the presumption should only arise where the rent is less than half of the rateable valuation. I made that suggestion last week and this amendment gives effect to it.
Landlord and Tenant (Reversionary Leases) Bill, 1957—Report and Final Stages.
Government amendment No. 1:—
In page 3, to delete lines 26 to 35 and substitute the following paragraph:—
(a) Where a lease is for a term of not less than 50 years, it shall be presumed, until the contrary is proved, that the buildings on the land demised by the lease were erected by the person who, at the time of their erection, was entitled to the lessee's interest under the lease if—
(i) in the case of a lease granted before the 1st day of January, 1914, the rent reserved by the lease is less than three-fourths of the rateable valuation of the land thereby demised together with the buildings thereon as first fixed or revised subsequent to the date of the lease pursuant to the Valuation (Ireland) Act, 1852, as amended and adapted, or
(ii) in the case of a lease granted on or after the 1st day of January, 1914, the rent reserved by the lease is less than that rateable valuation.
Amendment agreed to.
Government amendment No. 2:—
In page 12, line 43, to delete "granted to him" and substitute "executed by his immediate lessor, and such (if any) superior lessors as may be necessary, in terms agreed upon between the parties or settled by the court."
This amendment is designed to make it clear that the tenancy conferred on a lessee by sub-section (1) will terminate as soon as the lessor executes a reversionary lease in terms agreed upon between himself and the lessee or settled by the court. Even as the sub-section stands, there is no possibility, I am advised, of a tenant being enabled to remain in possession indefinitely under the terms of the old lease merely by the device of applying for a reversionary lease and then refusing to take any further steps. Any doubt there may be should be removed by this amendment. Senator O'Brien suggested that there was a doubt and I have had that clarified, to my own satisfaction anyhow.
Amendment agreed to
I move amendment No. 3:—
In page 13, line 45, after "Act" to insert "his neglect to proceed with an application for such lease".
I understand there is still some doubt regarding the interpretation of Section 22, as amended, and I think the doubt would be completely cleared if the Minister would allow Section 24 to be amended as I suggest.
I think I can accept that amendment.
Amendment agreed to.
Bill, as amended, received for final consideration and passed.