Can LA enforce comission on a failed tenancy?

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    Can LA enforce comission on a failed tenancy?

    Hi! New to this so please forgive me if I’ve not followed protocol! We have a flat and the tenant is not happy...she’s not moved in and we have come to a mutual understanding to terminate the contract. But it seems all parties have been misled by the Lettings agent. Tenant feels she was missold the flat and the LA enforced a longer contract term than what either of us wanted. Are they able to enforce us to pay the comission even though the tenancy has failed due to their misdoings? Contractually I think we are stuck but is it worth us taking the matter further?

    #2
    Someone has to pay for the adverts, for the phone calls to office staff, the viewings, etc.
    What happens if you get 10 viewings and no one wants the flat / house, will you object to being charged for those viewings ?.
    Mine is one months rent for each new tenant.

    Normal length of an A.S.T is 12 months. Did you only want 6 months ?
    6 months is no good to any one, or did they try for 2 years, or are you in a silly scheme where you are offered rent paid even if tenants don't pay, and contract with agent for 5 years. ?

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      #3
      If you and the tenant feel misled the agent might find it difficult to enforce the charge, even if it's contractually due.

      And it all depends on the wording of your agreement with the agent.
      When I post, I am expressing an opinion - feel free to disagree, I have been wrong before.
      Please don't act on my suggestions without checking with a grown-up (ideally some kind of expert).

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        #4
        ram,

        Thanks for your reply. I fully appreciate why there is a commission charge.
        there have been some major mishaps on the LA’s part. Both landlord and tenant only wanted a 1 year contract and we were both led to believe by the LA that 3 years was the requirement from the other party. The tenant does not want to reside in the property now and we are now faced with 18 months worth of commission and a strong possibility of not finding a tenant for the foreseeable future. We are willing to pay the commission but 18 months is incredibly unreasonable especially in this current climate.

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          #5
          Probably a daft question but if there is a mutual break clause in the contract would that not limit your liability to the agent anyway, that might be better than 18 months fees anyway?

          I have heard examples where agents push for longer contracts and effectively work for themselves i.e. not in the tenants or landlords best interest so you might have to take legal advice here to see where you stand. It will be dependent on the terms and conditions of the agreement you have with the letting agent. If you have communications stating you wanted a 6 or 12 month and the tenant wanted a 3 year agreement and the tenant has the opposite communications then you will be in a stronger position to prove mis-doing by the agent. Note I have no legal experience and if the charges are considerable and the agent does not back down it would be worth taking some advice.

          All the best Stew.

          Comment


            #6
            There's a big difference between pushing for a longer contract and misrepresenting both sides of an agreement to improve income.
            The former is a sharp commercial practice and the latter is probably fraud.

            Given the potential cost, I'd suggest a solicitor might cost effective.
            A proper legal letter telling the agent some hard truths might save a lot of money.
            When I post, I am expressing an opinion - feel free to disagree, I have been wrong before.
            Please don't act on my suggestions without checking with a grown-up (ideally some kind of expert).

            Comment

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