6 Gratuitous licences

5.74 It has already been noted that s 2 converted into a yearly tenancy a licence of any duration, provided that it was a contractual licence (ie, supported by valuable consideration) or was otherwise enforceable at law. A licence that was purely gratuitous would not, therefore, have been converted into a protected yearly tenancy and would have escaped the operation of the Agricultural Holdings legislation. The agreement must have been completely gratuitous and unenforceable at law, as the Courts are astute at finding consideration in the form of any benefit to the landlord in lieu of rent, and this would then render the licence contractual.