division_name: Prohibition of Unpaid Internships &#8212; New Clause 22 &#8212; Prohibition of fees in contracts for services: letting of residential accommodation
motion: <p pid="a.702.1/1" pwmotiontext="yes">&#8216;(1) The provisions in this section apply to a contract for a trader to supply a service in connection with the letting of a residential premises.</p>
  
  <p pid="a.702.1/2" pwmotiontext="yes">(2) Subject to the provisions of this section, any person who demands or accepts payment of any sum of money from a person (&#8220;P&#8221;) for services in connection with a contract for the letting of residential premises shall be guilty of an offence.</p>
  
  <p pid="a.702.1/3" pwmotiontext="yes">(3) For the purposes of subsection (2), P is any person&#8212;</p>
  
  <p pid="a.702.1/4" pwmotiontext="yes">(a) who seeks to enter a contract to let residential accommodation, or</p>
  
  <p pid="a.702.1/5" pwmotiontext="yes">(b) who has a tenancy of, or other right or permission to occupy, residential premises.</p>
  
  <p pid="a.702.1/6" pwmotiontext="yes">(4) For the purposes of subsection (2)&#8212;</p>
  
  <p pid="a.702.1/7" pwmotiontext="yes">&#8220;letting&#8221; shall include any service provided in connection with the advertisement or marketing of residential accommodation or with the grant or renewal of a tenancy;</p>
  
  <p pid="a.702.1/8" pwmotiontext="yes">&#8220;services shall &#8212;</p>
  
  <p pid="a.702.1/9" pwmotiontext="yes">(a) include, and are not limited to&#8212;</p>
  
  <p pid="a.702.1/10" pwmotiontext="yes">(i) the registration of persons seeking accommodation,</p>
  
  <p pid="a.702.1/11" pwmotiontext="yes">(ii) the selection of prospective occupiers, and</p>
  
  <p pid="a.702.1/12" pwmotiontext="yes">(iii) any work associated with the production or completion of written agreements or other relevant documents.</p>
  
  <p pid="a.702.1/13" pwmotiontext="yes">(b) not include credit checks of person seeking accommodation.</p>
  
  <p pid="a.702.1/14" pwmotiontext="yes">(5) Where a person unlawfully demands or accepts payment under this section in the course of his employment, the employer or principal of that person shall also be guilty of an offence.</p>
  
  <p pid="a.702.1/15" pwmotiontext="yes">(6) A person shall not be guilty of an offence under this section by reason of his demanding or accepting payment of rent or a tenancy deposit within the meaning of section 212(8) of the Housing Act 2004.</p>
  
  <p pid="a.702.1/16" pwmotiontext="yes">(7) A person shall not be guilty of an offence under this section by reason of his demanding or accepting a holding deposit.</p>
  
  <p pid="a.702.1/17" pwmotiontext="yes">(8) A &#8220;holding deposit&#8221; for the purposes of subsection (7) is&#8212;</p>
  
  <p pid="a.702.1/18" pwmotiontext="yes">(a) a sum of money demanded of or accepted from a person, in good faith for the purpose of giving priority to that person in relation to the letting of a specific property, which is to be credited towards the tenancy deposit or rent upon the grant of the tenancy of that property, and</p>
  
  <p pid="a.702.1/19" pwmotiontext="yes">(b) not greater than two weeks rent for the accommodation in question.</p>
  
  <p pid="a.702.1/20" pwmotiontext="yes">(9) Costs incurred by persons seeking accommodation for the undertaking of credit checks shall be reimbursed upon the signing of a tenancy agreement.</p>
  
  <p pid="a.702.1/21" pwmotiontext="yes">(10) In this section, any reference to the grant or renewal of a tenancy shall include the grant or renewal or continuance of a lease or licence of, or other right or permission to occupy, residential premises.</p>
  
  <p pid="a.702.1/22" pwmotiontext="yes">(11) In this section &#8220;rent&#8221; shall include any occupation charge under a licence.&#8217;.&#8212;<i>(Stella Creasy.)</i></p>
  
  <p class="italic" pid="a.702.1/23" pwmotiontext="yes">Brought up.</p>
  
  <p pid="a.702.1/24" pwmotiontext="yes"><i>Question put,</i> That the clause be added to the Bill.</p>
  
  <p class="italic" pid="a.702.1/25" pwmotiontext="yes">The House divided:</p>
  
  <p pid="a.702.1/26" pwmotiontext="yes">Ayes 228, Noes 281.</p>