Mortitia Posted August 30, 2012 Report Share Posted August 30, 2012 This is following on from LAW's earlier comment on agents not knowing what to do regarding late protection of deposits........... Recently a neighbour at one of my lets asked me to take on management of her let as gobby Scouser tenant was constantly calling and emailing her with stupid niggles. The AST was laughable and just 1 page long which had been adapted from a flat share agreement. I soon realised that this woman's deposit was not protected so issued her my standard AST to sign and promptly set up account for LL with DPS and LL paid cash in. Full prescribed info was sent to the tenant with proof of posting. Tenant emailed me constantly for 3 weeks asking for interpretation of the clauses in the AST and wanting dispensation for most things. I would not give in. She would not sign and gave notice. In the last month she did not pay any rent - rent debt is £600 and deposit £500. Tenant left and is refusing to sanction deposit return to LL saying 'I don't know what I shall do' and hinting at falsified documents. LL has emailed all this to DPS but we have had not reply. What should we expect and what should we have done? Link to comment Share on other sites More sharing options...
LLAW96 Posted August 30, 2012 Report Share Posted August 30, 2012 In effect you had 30 days from 6 April 2012 to protect the deposit (for existing tenancies), if you did not comply with this provision then you fall foul of the amendments made by s.184 Localism Act 2011. It matters not if the tenant has moved out or is still in place you face a potential penalty of up to 3 times of the deposit paid. In this case you seem to have tried to circumvent s184 by issuing a new agreement, although the DPS took the deposit I doubt that they were made aware of the original agreement . In this case and provided that the deposit was paid in after 6 May 2012 your client would be liable to pay a penalty. As the court now has a discertion as to the level of penalty it could be argued that it should be no more than £500.00. Alternatively do nothing give the tenant the deposit back and hope they go away. Link to comment Share on other sites More sharing options...
Guest tenants_from_hell Posted August 30, 2012 Report Share Posted August 30, 2012 In effect you had 30 days from 6 April 2012 to protect the deposit (for existing tenancies), if you did not comply with this provision then you fall foul of the amendments made by s.184 Localism Act 2011. It matters not if the tenant has moved out or is still in place you face a potential penalty of up to 3 times of the deposit paid. In this case you seem to have tried to circumvent s184 by issuing a new agreement, although the DPS took the deposit I doubt that they were made aware of the original agreement . In this case and provided that the deposit was paid in after 6 May 2012 your client would be liable to pay a penalty. As the court now has a discertion as to the level of penalty it could be argued that it should be no more than £500.00. Alternatively do nothing give the tenant the deposit back and hope they go away. See this is exactly what I mean, another victory to a scrounging tenant! Link to comment Share on other sites More sharing options...
Guest tenants_from_hell Posted August 30, 2012 Report Share Posted August 30, 2012 In effect you had 30 days from 6 April 2012 to protect the deposit (for existing tenancies), if you did not comply with this provision then you fall foul of the amendments made by s.184 Localism Act 2011. It matters not if the tenant has moved out or is still in place you face a potential penalty of up to 3 times of the deposit paid. In this case you seem to have tried to circumvent s184 by issuing a new agreement, although the DPS took the deposit I doubt that they were made aware of the original agreement . In this case and provided that the deposit was paid in after 6 May 2012 your client would be liable to pay a penalty. As the court now has a discertion as to the level of penalty it could be argued that it should be no more than £500.00. Alternatively do nothing give the tenant the deposit back and hope they go away. See this is exactly what I mean, another victory to a scrounging tenant! Link to comment Share on other sites More sharing options...
Mortitia Posted August 30, 2012 Author Report Share Posted August 30, 2012 LAW - tenant does not seem to want deposit back as she realises it could pay off her rent debt but also refuses to acknowledge DPS at all. I only took case on in July 2012. Still waiting for reply from DPS. So could they bring a court action against the LL? Tenant is unlikely to as this does not come under small claims and she will not want to fund a case. Mortitia Link to comment Share on other sites More sharing options...
LLAW96 Posted August 30, 2012 Report Share Posted August 30, 2012 Well actually deposit disputes should be allocated to the Fast Track of the county court and not small claims, not a lot of people know that. Yes she could bring a claim. Link to comment Share on other sites More sharing options...
Mortitia Posted August 30, 2012 Author Report Share Posted August 30, 2012 Thanks for that LAW . Well,why don't a lot of people know that?! I get so cross at all this secret squirrel behaviour by the Courts. I am expecting DPS to ask for a court order via MCOL for deposit to be released and this may make tenant act. DPS have been sitting on this just over a week now. Mortitia Link to comment Share on other sites More sharing options...
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