Section 563 — Housing Act 1985: Duties of public sector authority disposing of defective dwelling.

Duties of public sector authority disposing of defective dwelling. 563 1 A public sector authority shall, where a person is to acquire a relevant interest in a defective dwelling on a disposal by the authority, give him notice in writing before the time of the disposal—

a specifying the qualifying defect, and b stating that he will not be eligible for assistance under this part in respect of the dwelling.

2 A public sector authority shall, before they convey a relevant interest in a defective dwelling in pursuance of a contract to a person on whom a notice under subsection (1) has not been served, give him notice in writing—

a specifying the qualifying defect, b stating, where the time of disposal of the interest falls after the cut-off date, that he will not be eligible for assistance under this Part, and c stating the effect of subsection (3) 3 A person on whom a notice under subsection (2) is served—

a is not obliged to complete the conveyance before the expiry of the period of six months beginning with the service of that notice on him, and b may within that period withdraw from the transaction by notice in writing to the authority to that effect; and upon such a notice of withdrawal being given to the authority the parties to the contract are discharged from any obligations in connection with it and any deposit paid shall be repaid.

4 Where a public sector authority are required to serve a notice under section 124 (landlord’s response to notice claiming to exercise right to buy) in respect of a defective dwelling, the notice under subsection (1) shall be served with that notice.

5 A notice under subsection (1) or (2) shall, (except in the case of a notice under subsection (1) which is served in accordance with subsection (4)), be served at the earliest date at which it is reasonably practicable to do so.