Section 15: Relevant and exempted disposals., Housing Act 1996

In sections 11 to 14 the expression "relevant disposal which is not an exempted disposal" shall be construed as follows.

A disposal, whether of the whole or part of the house, is a relevant disposal if it is—

a conveyance of the freehold or an assignment of the lease, or

the grant of a lease or sub-lease (other than a mortgage term) for a term of more than 21 years otherwise than at a rack-rent.

For the purposes of subsection (2)(b) it shall be assumed—

that any option to renew or extend a lease or sub-lease, whether or not forming part of a series of options, is exercised, and

that any option to terminate a lease or sub-lease is not exercised.

A disposal is an exempted disposal if—

it is a disposal of the whole of the house and a conveyance of the freehold or an assignment of the lease and the person or each of the persons to whom it is made is a qualifying person (as defined in subsection (5));

it is a vesting of the whole of the house in a person taking under a will or on an intestacy;

it is a disposal of the whole of the house in pursuance of any such order as is mentioned in subsection (6);

it is a compulsory disposal (as defined in subsection (7));

the property disposed of is a yard, garden, outhouses or appurtenances belonging to a house or usually enjoyed with it.

For the purposes of subsection (4)(a) a person is a qualifying person in relation to a disposal if—

he is the person or one of the persons by whom the disposal is made,

he is the spouse or a former spouse , or the civil partner or a former civil partner, of that person or one of those persons, or

he is a member of the family of that person or one of those persons and has resided with him throughout the period of twelve months ending with the disposal.

The orders referred to in subsection (4)(c) are orders under—

section 24 or 24A of the Matrimonial Causes Act 1973 (property adjustment orders or orders for the sale of property in connection with matrimonial proceedings);

section 2 of the Inheritance (Provision for Family and Dependants) Act 1975 (orders as to financial provision to be made from estate);

section 17 of the Matrimonial and Family Proceedings Act 1984 (property adjustment orders or orders for the sale of property after overseas divorce, &c.); ...

paragraph 1 of Schedule 1 to the Children Act 1989 (orders for financial relief against parents).; or

Part 2 or 3 of Schedule 5, or paragraph 9 of Schedule 7, to the Civil Partnership Act 2004 (property adjustment orders, or orders for the sale of property, in connection with civil partnership proceedings or after overseas dissolution of civil partnership, etc.).

For the purposes of subsection (4)(d) a compulsory disposal is a disposal of property which is acquired compulsorily, or is acquired by a person who has made or would have made, or for whom another person has made or would have made, a compulsory purchase order authorising its compulsory purchase for the purposes for which it is acquired.

Section 15: Relevant and exempted disposals.

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