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Possession, Evictions and Rent Arrears Recovery in Wales

Text lesson

Lesson 3 – Possession Orders

Learning Objectives

By the end of this lesson, learners will be able to:

  • Understand the different types of possession orders available to the court.
  • Distinguish between outright, suspended, and postponed possession orders.
  • Understand how money judgments are awarded alongside possession claims.
  • Recognise how legal costs may be recovered through costs awards.
  • Understand the practical implications of each type of court order.
  • Prepare for the next stage of enforcement, where possession is granted.

Introduction

After hearing a possession claim, the court must decide what order, if any, should be made. The court will consider the evidence presented by both parties, the legal basis of the claim, and any relevant statutory requirements.

Possession is not always granted in the same way. Depending on the circumstances, the court may grant an outright possession order, suspend possession subject to conditions, postpone possession to a future date, or dismiss the claim entirely.

In addition to possession, the court may also award money judgments for rent arrears and order one party to pay the legal costs of the proceedings.

Understanding the different types of possession orders helps landlords assess the likely outcome of a possession claim and plan the next steps accordingly.

What Is a Possession Order?

A possession order is a court order requiring a contract-holder to give up possession of a property.

The order is issued after the court has considered the possession claim and decided that the landlord is entitled to recover possession.

Purpose of a Possession Order

A possession order:

  • Confirms the court’s decision.
  • Establishes the date possession must be given.
  • Provides a legal basis for enforcement if necessary.
  • Protects both parties by ensuring due process has been followed.

Without a possession order, a landlord cannot usually force a contract-holder to leave the property.

Outright Possession Orders

An outright possession order is the most straightforward type of possession order.

The court orders the contract-holder to leave the property by a specified date.

When Outright Possession Orders Are Granted

Outright possession orders are commonly granted where:

  • The possession ground has been clearly established.
  • There is no valid defence.
  • Serious rent arrears exist.
  • The court considers possession appropriate.

Effect of an Outright Possession Order

The order requires the contract-holder to leave the property by the date stated in the order.

If the contract-holder leaves voluntarily, the landlord regains possession without further court action.

Failure to Leave

If the contract-holder remains in occupation after the possession date:

  • The landlord cannot change the locks.
  • The landlord cannot remove the occupier personally.
  • Enforcement action may be required.

Further court procedures will normally be necessary to recover possession.

Advantages for Landlords

Outright possession orders provide:

  • Certainty.
  • Clear possession dates.
  • A direct route to enforcement.
  • Resolution of the possession claim.

Practical Example

A landlord obtains possession based on serious rent arrears.

The court grants an outright possession order requiring the contract-holder to leave within the period specified by the court.

If the contract-holder remains after that date, enforcement action may follow.

Suspended Possession Orders

A suspended possession order allows the contract-holder to remain in the property provided certain conditions are met.

The court grants possession but suspends enforcement.

Purpose of Suspended Orders

Suspended orders are often used where:

  • Arrears can realistically be repaid.
  • The contract-holder is making efforts to resolve the issue.
  • The court considers a second chance appropriate.

Common Conditions

Conditions may include:

  • Paying current rent on time.
  • Making regular payments towards arrears.
  • Complying with occupation contract obligations.
  • Avoiding further breaches.

Benefits of Suspended Orders

Suspended orders can:

  • Encourage repayment.
  • Avoid homelessness.
  • Allow the tenancy to continue.
  • Protect the landlord’s position.

Breach of Conditions

If the contract-holder fails to comply with the conditions:

  • The landlord may seek enforcement.
  • Further court action may be simplified.
  • Possession can often be obtained more quickly.

Practical Example

A contract-holder owes rent arrears but has recently secured employment.

The court orders:

  • Current rent must be paid.
  • A weekly contribution towards arrears must be made.

If payments continue, the contract-holder remains in occupation.

If payments stop, enforcement may follow.

Postponed Possession Orders

A postponed possession order delays the date on which possession takes effect.

The court grants possession but postpones implementation.

Why Possession May Be Postponed

The court may postpone possession because of:

  • Personal circumstances.
  • Vulnerability.
  • Family considerations.
  • Temporary hardship.
  • Practical difficulties.

How Postponement Works

The court may specify:

  • A future possession date.
  • Conditions that must be met.
  • Events that trigger possession.

The contract-holder remains in occupation during the postponement period.

Factors Considered by the Court

The court may assess:

  • The seriousness of the possession ground.
  • The impact on the contract-holder.
  • Availability of alternative accommodation.
  • Conduct of the parties.

Landlord Considerations

Although possession is delayed, the landlord still benefits because:

  • The court has recognised the right to possession.
  • A clear route to recovery exists.
  • Enforcement may become easier if conditions are breached.

Comparing Possession Orders

Outright Possession Orders

  • Possession granted immediately.
  • Specific possession date.
  • Enforcement available if necessary.

Suspended Possession Orders

  • Possession granted conditionally.
  • The contract holder remains if conditions are met.
  • Enforcement possible if conditions are breached.

Postponed Possession Orders

  • Possession delayed until a future date or event.
  • The contract holder remains temporarily.
  • Enforcement follows if possession is not given.

Understanding the differences helps landlords anticipate the outcome of possession proceedings.

Money Judgments

Possession claims involving rent arrears often include requests for a money judgment.

What Is a Money Judgment?

A money judgment is a court order requiring the contract-holder to pay a specified sum of money.

This may include:

  • Rent arrears.
  • Interest.
  • Other recoverable sums.

Benefits of Money Judgments

Money judgments allow landlords to:

  • Recover unpaid rent.
  • Pursue debt recovery.
  • Use enforcement procedures.
  • Protect their financial position.

Evidence Required

Landlords should provide:

  • Rent schedules.
  • Bank statements.
  • Payment histories.
  • Occupation contracts.

The court must be satisfied that the debt exists.

Recovery After Possession

Even after the contract-holder leaves, the money judgment remains enforceable.

Landlords may pursue recovery through appropriate enforcement procedures.

Costs Awards

Possession proceedings often involve legal and court costs.

The court has discretion regarding who should bear those costs.

What Are Costs Awards?

A costs award is an order requiring one party to contribute towards the legal costs incurred by another.

Types of Costs

Costs may include:

  • Court fees.
  • Legal fees.
  • Application fees.
  • Enforcement fees.

Factors Considered by the Court

The court may consider:

  • The outcome of the case.
  • Conduct of the parties.
  • Compliance with procedures.
  • Reasonableness of behaviour.

Successful Landlords

Where a landlord succeeds, the court may order the contract-holder to pay some or all of the costs.

However, recovery of those costs may depend on the contract-holder’s financial circumstances.

Unsuccessful Claims

Where a landlord’s claim fails because of procedural errors or non-compliance, the landlord may face financial consequences.

This highlights the importance of careful preparation.

What Happens After a Possession Order?

Obtaining a possession order does not always result in immediate recovery of the property.

Voluntary Compliance

Many contract-holders leave voluntarily once a possession order is granted.

This avoids the need for further proceedings.

Non-Compliance

Where the contract-holder remains:

  • The possession order must be enforced.
  • Bailiff action may become necessary.
  • Additional applications may be required.

The enforcement process is examined in the next module.

Practical Example

A landlord seeks possession because of significant rent arrears.

The court determines:

  • The arrears are proven.
  • The possession ground is established.
  • The contract-holder has recently returned to work.

Rather than granting immediate possession, the court makes a suspended possession order requiring:

  • Current rent payments.
  • Weekly arrears repayments.

The landlord obtains protection while giving the contract-holder an opportunity to resolve the situation.

Common Mistakes Made by Landlords

Landlords should avoid:

  • Assuming possession is automatic.
  • Ignoring conditions attached to orders.
  • Failing to understand the type of order granted.
  • Attempting self-help eviction after obtaining an order.
  • Neglecting money judgment opportunities.
  • Failing to enforce orders correctly.

Understanding the court’s order is essential.

Best Practice for Landlords

Landlords should:

  • Read possession orders carefully.
  • Understand all conditions imposed.
  • Monitor compliance with suspended orders.
  • Keep records of payments.
  • Act promptly where breaches occur.
  • Seek enforcement through lawful procedures.
  • Retain copies of court orders.

A structured approach helps maximise the effectiveness of possession proceedings.

Lesson Summary

Possession orders are the court’s formal decision regarding a possession claim. Depending on the circumstances, the court may grant an outright possession order, a suspended possession order, or a postponed possession order.

The court may also award money judgments for rent arrears and costs awards to compensate successful parties for some of their legal expenses. Understanding the different types of orders helps landlords prepare for the next stage of the possession process and ensures that any enforcement action is carried out lawfully and effectively.

In the next module, learners will examine enforcement procedures, including county court bailiffs, High Court enforcement, and the practical steps involved in regaining possession of a property once a possession order has been granted.