This document is taken from the gov.uk website, and comes with the following explanation: where a new mutual is to make use of property belonging to the Local Authority, the latter may transfer the freehold under the Transfer Agreement, or may allow the mutual to occupy the property under a lease or a licence.

This template assumes that the Local Authority will provide two properties for use by the mutual, one under a Lease and the other under a Licence to Occupy.  The decision on whether a Lease or Licence to Occupy is appropriate needs to be considered on a case-by-case basis with legal advice.

This document is a template Licence to Occupy to be granted by the Local Authority to the mutual.  This form of agreement is only appropriate where the mutual will not have exclusive possession of the property.

It contains the necessary provisions to protect both owner (Local Authority) and occupier (mutual organisation).

This template has been prepared to provide general guidance and information to organisations considering or undertaking mutualisation. It is  intended to be a starting point only and should not be considered a finalised legal document or as constituting legal advice. It is the responsibility of your organisation to seek legal advice and to ensure that the document is reviewed and signed off by your legal team.

The template contains a breakdown of drafting assumptions which highlight areas where additional drafting and legal advice may be required. Additional drafting is not limited to these areas and you should seek further legal guidance where you deem necessary.

Whilst we have endeavoured to ensure that the information in the template is correct, no warranty, express or implied, is given as to the templates accuracy, timeliness, completeness or fitness for a particular purpose and we do not accept any liability for errors or omissions.  Neither the Department for Digital, Culture, Media and Sport, nor Bates Wells Braithwaite shall be liable to you or anyone else for any decisions made or action taken in reliance on this document, or for any damage arising from its use.