Should my deposit be covered by Tenancy Deposit Scheme

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    Should my deposit be covered by Tenancy Deposit Scheme

    Hi,

    I moved into a rented property in August 2006, and signed a shorthold tenancy agreement for 6 months. I then signed new annual agreements in February 2007, February 2008 and February 2009. I paid a deposit with the initial agreement in August 2006, and this deposit has been retained since as a deposit for each subsequent agreement.

    Should this deposit be protected under the Tenancy Deposit Scheme? I am aware that the scheme was only enforcable on tenancies agreed after April 2007, but I can't find any advice as to a renewed contract counts as a new tenancy?

    Thanks in advance.
    Wary Tenant

    #2
    Hi

    Yes as you signed renewed contracts the deposit should have been protected after the feb 08 renewal

    Comment


      #3
      thanks Julles for your reply....

      Also, is it true that the Tenancy Deposit Scheme section of the Housing Act 2004 (ie. paragraphs 215) allow for tenants to withhold the last month's rent in the case where a Tenancy Deposit Scheme has not been entered into by the Agent, without the fear of eviction due to not paying the rent?

      Thanks

      Comment


        #4
        IMO I think it should have been protected, however, there is an argument that because the money was not physically paid over in 2007 or 2008 then the obligation to protect does not arise.
        PAUL GIBBS, solicitor, Jacobs & Reeves. My comments on this forum are correct to the best of my knowledge and belief. No responsibility or liability is accepted by reason of reliance upon such comments. This disclaimer would not apply to direct clients of Jacobs & Reeves where there is a valid retainer in place and I would be happy to confirm any advice if formally instructed. . Jacobs & Reeves now offer a fixed fee possession service.

        Comment


          #5
          Originally posted by warytenant View Post
          Is it true that the Tenancy Deposit Scheme section of the Housing Act 2004 (ie. paragraphs 215) allow for tenants to withhold the last month's rent in the case where a Tenancy Deposit Scheme has not been entered into by the Agent, without the fear of eviction due to not paying the rent?
          No. Although L cannot use s.21 of the Housing Act 1988 unless/until a protectable deposit is protected, L can nevertheless use s.8; amongst the latter's grounds are three (8/10/11) dealing with rent, so L can whop T on such of them are applicable even if deposit is unprotected.
          JEFFREY SHAW, solicitor [and Topic Expert], Nether Edge Law*
          1. Public advice is believed accurate, but I accept no legal responsibility except to direct-paying private clients.
          2. Telephone advice: see http://www.landlordzone.co.uk/forums/showthread.php?t=34638.
          3. For paid advice about conveyancing/leaseholds/L&T, contact me* and become a private client.
          4. *- Contact info: click on my name (blue-highlight link).

          Comment


            #6
            Originally posted by warytenant View Post
            thanks Julles for your reply....

            Also, is it true that the Tenancy Deposit Scheme section of the Housing Act 2004 (ie. paragraphs 215) allow for tenants to withhold the last month's rent in the case where a Tenancy Deposit Scheme has not been entered into by the Agent, without the fear of eviction due to not paying the rent?

            Thanks
            Here's S.215.

            It does not "allow" for tenants to withhold the last month's rent.

            Whilst many tenants seem to regard the deposit as in lieu of the last month's rent, that's not what it's for, and it's rarely advisable to withhold rent. You will be exposed to a claim for unpaid rent.

            Comment

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