Deposit paid but contract not!

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    Deposit paid but contract not!

    Hi , I'm new to this site. Can anyone help please
    I have a rental house where currently two tenants live and another was meant to be moving in next week.
    The new tenants paid her deposit and was supposed to sign her contact but before signed she now wants to pull out all together
    She has paid a deposit plus a months rent. I said Ill give her months rent back ( although I'm loosing out) but can someone tell me if she hasn't signed a contract do I have to give her the deposit back. It was £325

    was the deposit a holding deposit until she signed the contract - and was it non refundable? what was the wording on any receipt you gave her?


      Hi . Thanks for your reply. All communications were by text unfortunately as she was supposed to sign the contract the following day. It was a full deposit which was paid


        A deposit needs to be supported by a contract. If the written contract was not signed you need to show that an oral contract has arisen. Where a written contract is produced the presumption is that the parties did not intend to be bound until they had both signed it. If the deposit was taken as a "holding deposit" some sort of a contract is still needed.



          Thanks very much


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