Last week, I considered possession proceedings under the Landlord and Tenant Act 1974.

Today, I turn my attention to proceedings under the Rent Increases (Domestic Premises) Control Act 1978 ('the 1978 Act'), as read in conjunction with the Rent Increases (Domestic Premises) Control Amendment Act 2000 ('the 2000 Act').

The 2000 Act applies to every domestic tenancy that exists on or after 1 July 1978 and has an Annual Rental Value ('ARV') that does not exceed $16,200 ('Controlled Tenancies'). Approximately half of Bermuda's residential units now fall within the ambit of the rent control provisions of the 1978 Act. It is vital that a Landlord determine whether his property falls within that ambit before he takes any action.

To find out the ARV of your leased premises, contact the Office of the Rent Commissioner or search the Bermuda Government's Land Valuation Department web site at www.landvaluation.bm. The formalities and conditions that are applicable to Controlled Tenancies are contained within the 1978 Act.

That piece of legislation was primarily introduced to provide tenants of Controlled Tenancies with security of tenure. It also protects them from potentially unfair increases in rent. The Termination of Tenancy provisions contained within the 1978 Act do not apply to Controlled Tenancies that involve a building that has three or fewer living units and which is partially occupied by the Landlord.

In those circumstances, the Landlord and Tenant Act 1974 will apply.

A Controlled Tenancy shall terminate where: vacant possession has been delivered up by the Tenant; the Landlord terminates the tenancy for failure on the part of the Tenant to pay rent or for the breach of any other term of the Tenancy Agreement or any provision of law; the Landlord requires possession of the premises for use as a dwelling for himself or his mother, father, or any child or grandchild of his who is over the age of 21 or is married; the Landlord requires vacant possession of the premises in order to carry out renovations of a major character.

Where a Landlord cites either of the latter two grounds, he must clearly specify these reasons in the Notice to Quit. Otherwise, it will not be valid and therefore will be unenforceable by the Courts.

This notice must also inform the Tenant that he has the right to serve a counter-notice on the Landlord disputing his right to serve the Notice to Quit. This counter-notice must be served within 14 days of the Tenant being served with the Notice to Quit.

If a Landlord has been served with such a counter-notice, he then has 14 days to apply to the Court for an Order for Possession of the premises. If he does not make this Application to the Court, the Notice to Quit is void.

The Court will set a date for the hearing of the Landlord's Application for Possession of the premises. The Landlord will obtain an Order for Possession of the property so long as he is able to satisfy the Court that he is entitled to such possession on the grounds that he had cited in the Notice to Quit.

The Court will make an Order for Possession which will take effect on whatever date the Court may deem fit; however, this date can be no later than three months from the date upon which the Order was made.

The Court will not grant an Order for Possession if it is not satisfied that the Landlord in fact requires the premises on the grounds specified by him.

The Court has the discretion, when making an Order for Possession, to grant the Tenant with an option to take out a new tenancy of the premises. This discretion arises if the Landlord does not follow through with his plans as outlined in the Notice to Quit within a reasonable period after the granting of the Order.

This will also be the case where the Order for Possession was given on the grounds that the premises are going to be rebuilt or renovated, and they are not in fact rebuilt or renovated within such time as the Court determines is reasonable.

The Court may also order that Possession to the Landlord will not be granted unless the Landlord provides security to the Tenant in such manner and in such amount as the Court may determine. In such cases, the Court will usually request that the Landlord pay a bond into the Court, which will be forfeited to the Tenant if the Landlord does not abide by the terms of the Order.

If the Tenant fails to vacate the property on the date ordered by the Court, the Landlord must take out a Warrant to Evict with the Provost Marshal General. This Warrant will indicate the date and time that the bailiff will conduct the eviction.

If the tenant does not adhere to this Warrant, only the bailiff can enter the property and have the tenant's belongings removed. A Landlord should never take it upon himself to enter into the leased premises regardless of the fact that the Tenant may be in breach of an Order of the Court.

Attorney Susan Davis-Crockwell is a member of the Litigation and Insolvency Department of Appleby Spurling & Kempe. Copies of Ms Davis' columns can be obtained on the Appleby Spurling & Kempe website at www.ask.bm.

This column should not be used as a substitute for professional legal advice. Before proceeding with any matters discussed here, persons are advised to consult with a lawyer.