Liability for damage to tenants' contents

[poiuyrew]

Hi

Not sure if anyone can help on this...

I own a first floor flat which I rent out and the flat below is also rented.

A week ago the owner of the flat below contacted me to say that their tenant had complained of a leak, probably from my flat, into a cupboard (used as a wardrobe) off the bedroom of the ground floor flat. Apparently the leak had been happening for some time but the tenant was unaware of it as they were away from the flat for a 'month or so'.

I had a plumber investigate who found and fixed a VERY slight weep on the plumbing to the hot tap on my bath which is likely to be the cause of the problem.

Apparently the affected cupboard is wet and mouldy. The repairs for this would probably be covered by the buildings insurance but, so long as the cost is not excessive, I am happy to pay directly for the sake of speed and avoiding excesses.

However the tenant is also claiming that 'lots' of their property has been damaged and the owner of the flat wants me to compensate for this to keep their tenant happy. I don't believe this would be covered by any insurance I have and I don't think there is anyway I could have arranged insurance cover for this kind of eventuality.

I have said that I will consider making a goodwill compensation payment so long as it reasonable and it is clear that this is not in any way an admission of liability on my part.

I want to be reasonable but, frankly, don't want to be taken to the cleaners. In case things get out of hand I am wondering what the bottom line legal position is. I am also wondering how I can protect myself moving forward.

The ground floor flat owner also mentioned that they might be forced to make a rental discount in respect of the leak and seemed to intimate that I should contribute to this – which would seem unreasonable as I don't think the fact they choose to rent out their flat should affect my level of responsibility or liability.

So far I have been given conflicting advice:

1. One piece of advice says that this is a routine leak and I was not in any way negligent, I responded immediately it was brought to my attention, so I am not legally responsible for compensating in respect of damage to contents in the downstairs flat. This does seem a little harsh but I was told that the logic is people should insure their own contents for such eventualities as they are not uncommon. Therefore my neighbour's tenant should claim on their own contents insurance if they have it.

2. Second bit of advice says I am liable and must pay compensation.

As I say, I want to be reasonable but can anyone cast any light on what the legal position actually is?

Also can you get insurance for this sort of thing? I can find insurance products that cover your own tenant's contents, though these are not exactly common, but I can find nothing to cover a neighbour's contents or those of a neighbour's tenant.

In more extreme circumstances such apparently uninsurable liability could prove VERY financially damaging. When I think of the possible wider implications, this is all a bit concerning!

Would appreciate any advice.

Thanks

Rew

[lapso77]

I read this with interest as my tenants in a first floor flat recently flooded the bathroom ( came home from a night shift, ran a bath and fell asleep ) The flat below was empty, and a sale just about to go through, and the resulted flood was discovered by a visiting agent. I have spoken to the owner and agreed to pay for new carpets etc and my tenants will contribute.

Like you I'm now very concerned about how much worse things could have been, and i can't see in my insurance policy anything about damage caused to other flats which like you say could be common and also scary. It also must be quite common that tenants do not insure their contents and would be looking for compensation - in my case there were no contents and the owner only had buildings insurance as i do

I don't know the answers to your probs or mine but i hope someone else does !! It has made me reconsider keeping the flat longterm

[poiuyrew]

Lapso...

Interesting to hear someone else has the same concerns.

I think it was very reasonable of you to contribute to the carpets as it would seem that was 100% your tenant's liability and, really, they should have paid.

It is a particularly annoying situation for me as the boot has been on the other foot a few times in the past when I have suffered from floods in rented properties I've lived in – both floods from flats above and, in one case, a foot of sewage from a backed-up main drain!

I have NEVER successfully managed to claim a penny for damage to my contents. Perhaps I didn't push hard enough but in the end I figured the best thing to do was to insure my contents myself.

In fact most leases I've seen 'strongly advise' you to insure your own contents and stress that these will not be covered by your landlord's insurance.

Would be good to know the bottom line though.

[GPEL]

Is this not covered by your own landlords building insurance, which is there to compensate for remedial work? Check the terms & conditions as it was a building related problem that had the knock-on effect, including to an individuals possessions. Failing that, make what you consider to be a reasonable offer of compensation and advise them that if they do not find this acceptable then they should contact Citizens Advice. Don't forget to include a statement that any payment in no way means that liability is accepted. There is a legal phrase that covers this.

[poiuyrew]

That's a good point GPEL. The freeholders obviously organize the building insurance, the only issue might be whether this covers property rented on an AST basis.

Will check it out. Thanks.

I still wonder what the actual position regarding legal liability is?

Is this not covered by your own landlords building insurance, which is there to compensate for remedial work? Check the terms & conditions as it was a building related problem that had the knock-on effect, including to an individuals possessions. Failing that, make what you consider to be a reasonable offer of compensation and advise them that if they do not find this acceptable then they should contact Citizens Advice. Don't forget to include a statement that any payment in no way means that liability is accepted. There is a legal phrase that covers this.