Rent and Deposit

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    Rent and Deposit

    Hi all,
    My tenant did not pay the last months rent and informed us that this could be deducted from the deposit. We did not agree to this and despite numerous emails and phones from my letting agent, the tenant did not pay this.
    Now there have been other deductions from the deposit due to the poor upkeep of the house. Needless to say the tenant is disputing this as well.
    I agree that the dispute about the deductions will go through small claims etc... but How do I get the last months rent? Where am I placed legally with this?
    Any advice would be appreciated.

    KR

    #2
    Do you know where the tenant has moved? You can issue an MCOL to recover the rest of the money but I think you need their address. There is a fee so only do it if the tenant can pay and the sums stack up

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      #3
      If your AST states the deposit can be used for rent arrears you will receive it back from the deposit scheme.

      It is registered in a scheme?

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        #4
        Thanks for your replies.
        The plot thickens. I now realise that the letting agent , I have employed to look after the tenancy , changed the Deposit from one scheme to another. Both of these are approved schemes. However, when they changed the deposit, they apparently failed to inform the tenants (according to their claim). Now they are not only paying the last months rent but also demanding 3x the deposit as a penalty. The letting agents are investigating it.
        What are my legal implications and can I legally counter claim the last months rent?
        KR

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          #5
          The tenants can claim against the landlord or the agent but if negotiations are being made I would direct the tenant to the agent if they have indeed made an error.

          If proven then you are required by law to return the deposit and also suffer a penalty of between x 1 and x 3.

          You would need to counterclaim or make your own claim for your own losses.

          Failure to issue Pi is hard to prove. But if the deposit was moved mid AST it's doubtful the tenant will find the relevant documents attached to their AST.

          It is worth noting that the penalty of between x 1 and x3 will vary depending on the degree of the breach and the judge on the day. If it has always been protected and agent has record of Pi being issued I doubt it would be the high end.

          Have you applied for the deposit return from the scheme and has the tenant disputed this? Their penalty claim is separate to any action required to recover the deposit from the scheme.

          Finally advise the agent that any loss you incur due to their error (if infact they made one) you will be expecting them to cover in full.

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            #6
            Refund the deposit to the tenant and issue them with a s21 at the earliest opportunity, unless that is they have managed to persuade the Council to send you an improvement notice about the poor upkeep of the house

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              #7
              I think theyv already moved out dpt

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                #8
                Originally posted by Wright76 View Post
                I think theyv already moved out dpt
                I may have missed it but I don't see that in the ops posts

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                  #9
                  They are speaking in past tense regarding the last months rent and have made deductions for damage implying they have gone.

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