If the landlord fails to comply with an obligation under section 39, the landlord is liable to pay the contract-holder compensation under section 87.
The compensation is payable in respect of the relevant date and every day after the relevant date until—
(a) the day on which the landlord gives the notice in question, or
(b) if earlier, the last day of the period of two months starting with the relevant date.
Interest on the compensation is payable if the landlord fails to give the contract-holder the notice on or before the day referred to in subsection (2)(b).
The interest starts to run on the day referred to in subsection (2)(b), at the rate prevailing under section 6 of the Late Payment of Commercial Debts (Interest) Act 1998 (c. 20) at the end of that day.
The relevant date is the first day of the period before the end of which the landlord was required to give the notice.
This section is a fundamental provision which is incorporated as a term of all occupation contracts.