University Housing Rental Dispute

Pierre is a university lecturer in French and under his contract of employment he is provided with a two-storey house in the vicinity of the university, which is owned by the university. In order to increase his income, Pierre converts the bottom floor into four flats that he rents to students. Pierre regards students as unreliable and devised the following scheme to ensure payment of the rent: Each student is required to sign a rental agreement (in the form of a deed) with the landlord whereby each purports to be a joint tenant with all the other tenants who are also students, for a period of one year from the date of signing. Pierre signs the rental agreement as "landlord and agent" for the other tenants. Two of Pierre's tenants were expelled from the university and left the flats without paying the rent. Pierre insists that the remaining tenants, Joanne and Mark, pay the rent for the defaulting students and has threatened suit if they fail to do so. The university has recently offered Pierre a larger house and because Pierre wants to move into the larger house, he serves notice on Joanne and Mark to immediately quit and deliver up possession of the flats they occupy. Pierre's letter to quit advises Joanne and Mark that he, Pierre, is a mere licensee of the university and therefore cannot create a valid lease of the premises. Advise Joanne and Mark.