Is a storage agreement a lease or a licence, and do I have to sign one?

It's a licence, and yes, you sign it before you store anything. Our terms say it plainly: we grant you "a licence to use and access the space identified as your storage unit", and "This licence shall not create a tenancy or lease or the relationship of landlord and tenant between you and us." Clause 25 adds that the agreement "does not confer on You any right to exclusive possession of the Unit". In everyday terms, you have the right to use and get to your unit to store your belongings, while we keep control of the building and the unit itself. That's why we can enter in set circumstances and can move you to another unit no smaller than yours, normally on 14 days' notice. There's no fixed term beyond a two-week minimum, and either of us can end it by written notice.

What a licence gives you, and what it doesn't

A tenancy, broadly, gives someone exclusive possession of a place for a term, usually in return for rent (more on that test below). Our licence gives you something narrower: the right to use one unit to store goods. Here's how that works out under our terms.

Question Our terms say Clause
What can I use the unit for? "only to store Goods in the Unit allocated to You by Us from time to time and only in that Unit" 1(a)
Is it a lease or tenancy? We "do not grant any lease or tenancy of the Unit or any part of the Facility" 2(c)
Who controls the unit? We "retain control, possession and management of the Facility and the Unit" and you "have no right to exclude Us" 2(d)
Do you take charge of my things? No. We're "not a bailee, custodian or warehouseman of the Goods", and your goods must stay insured 2(b), 31
Can I live there or use it as an address? No: not "as offices or living accommodation or as a home, business or mailing address" 22(a)
Can I pass it on to someone else? No: you "may not assign or transfer any of Your rights" or "part with possession of the Unit or Goods" 46(i)
How does it end? Either of us gives written notice of at least the days on your Cover Sheet (normally 14) 41

If you run a business and are used to commercial leases, the practical point is that this is a storage arrangement, not premises. You can keep stock, tools or archives in the unit, but it isn't somewhere to work from or to register as your business address. If your accountant asks whether it's a lease: the fee pays for a licence to use storage space, not a lease of premises, and how that's treated in your accounts is a question for them.

Whatever you store, clause 31 makes it a condition that your goods stay insured, either through our contents protection or your own policy. If you're storing stock, check that your business policy covers goods kept off your premises.

If you're between homes, the unit can hold everything you own while you sort out where you're living, but it can't be where you stay, even for a night.

What "no exclusive possession" means day to day

You lock your unit and you're responsible for keeping it locked (clause 21). Clause 17 lists when we, or our contractors, can enter:

  • on at least 7 days' notice, to inspect or carry out repairs;
  • without notice in an emergency, or to prevent injury or damage, telling you as soon as we can afterwards;
  • if we believe prohibited goods are being stored or the unit is being used for a prohibited purpose;
  • if the law, the police, fire services or a court require it;
  • to relocate your goods, or to use our rights if fees go unpaid.

The last of those comes from our lien (clause 6): if fees go unpaid, we can stop your access to the unit, and after written notice your goods can be sold to cover the debt. Our guides to how storage unit auctions work and the lien explain the process.

The relocation clause is the one people ask about most, so here it is in full. We "reserve the right to relocate You to another Unit not smaller than the current Unit: (a) by giving 14 days' notice during which You can elect to terminate this Agreement under Clause 40; or (b) on shorter notice if an incident occurs that requires the Unit or section where it is located to be closed or sealed off."

What that means for you:

  • the new unit is never smaller than the one you have;
  • you keep paying the fee for your original unit, and the rest of the agreement carries on unchanged;
  • we pay your reasonable removal costs, as long as we've approved them in writing before the move;
  • the clause says "another Unit" and doesn't say it will be at the same site, so if that matters to you, ask us;
  • if you'd rather not move, you can end the agreement during the 14-day notice period;
  • if you don't move your things by the date in our notice, we can move them for you, at your risk, apart from damage we cause wilfully or negligently.

Why storage works this way

A storage site is shared. Many customers' belongings sit side by side, and someone has to be able to carry out repairs, deal with an emergency or close off a damaged section without waiting for every customer's permission. Keeping control of the units is what lets us do that.

It also keeps things flexible for you. There's no long fixed term to be tied into: after the two-week minimum you give notice when you're ready to leave.

Do I have to sign it?

Yes. The terms ask you to "carefully read the conditions before signing the storage licence", and say the conditions become binding "on your signing of the agreement". The agreement itself is two parts: the Cover Sheet, which sets out your details, your site, your start date, your storage fee, your notice period and the insured value of your goods, and the standard conditions. It comes into existence when we accept your order by signing the Cover Sheet (clause 3).

When you book online, signing the licence agreement is one of the steps, along with an identity check and payment, and it's done before you get access. If you book by phone, ask us how you'll sign when you call. If you're booking for a business, ask us whether to sign in your own name or your business's, and see what ID and documents you need. If someone else is booking on your behalf, see can someone else sign the storage agreement?

Three things to know before you sign:

  • Read the whole thing. Our full conditions are on our terms and conditions page. Clause 46 says the written agreement is the whole deal, so if something was agreed specially, make sure it's written into it.
  • Cooling-off. Clause 40 applies "If You entered into the Agreement without physically coming into the Facility". So if you booked without coming to the site, you have 14 days after we confirm your order to change your mind. If you sign at the site, this clause doesn't give you a cooling-off period. The clause doesn't limit this to consumers.
  • Changes later. We can change the fee or terms, but only with written notice. A change takes effect on the first payment date at least 28 days after our notice, and you can leave without charge before then (clause 45).

A licence still comes with rights

Calling it a licence doesn't put you outside the law. The agreement is governed by English law (clause 47), and if you're storing as a private customer, it's a consumer contract. Under the Consumer Rights Act 2015, "An unfair term of a consumer contract is not binding on the consumer." That fairness test applies to consumers. If you're signing as a business, take your own advice on how the terms apply to you.

In English law, what an arrangement gives you in practice matters more than what it's called. The House of Lords case usually cited, Street v Mountford (1985), picks out exclusive possession, a term and a rent as the marks of a tenancy. Our agreement is built on you not having exclusive possession, which is why the relocation and entry clauses above exist. We can't give legal advice on your own situation. If you want independent help with a contract question, the Citizens Advice consumer helpline is on 0808 223 1133 (Monday to Friday, 9am to 5pm).

Ready to book?

If you'd like to talk any clause through before you sign, call us on 0800 2545585. When you're happy, get a price online and you'll see the agreement as part of booking. For how leaving works, our guide on how to give notice covers it step by step.


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