Agency Dispute

DVaughan

Hoping someone will provide some expert advice on this....

Basically I moved out of rented accomodation on the 1st February (Contract terminated on 3rd Feb) after my Landlord was repossessed and am now having trouble getting a total of £1300 back from the Lettings Agency. This is effectively in two parts

i) The deposit (£650) which I understand the Agency is not liable for

ii) An additional amount of £650 (Rental Fee in advance) which was credited to the Agency in error by direct debit on the 2nd February.

The Agency have consistently avoided committing to a payment date of both these amounts culminating in today when I was basically told that they could not credit me with these funds until they had received funds due to the Landlord from some of his other tenants. I am angry at this delay as in my view they made an error (or say they did) in transferring this second £650 to the Landlord on the 11th February despite telling me twice (when I called to inform them of the situation) on the 3rd and 4th Feb that this amount had been picked up and would be returned to me forthwith. Needless to say I was surprised when I called them on the 17th to be told that it had been passed on to the Landlord!

Can anyone explain my legal position and if it is worth pursuing the mattter legally....or should I just wait for the Agency to pay up... The upshot of this is in the last conversation (today) I was told "You will get your money when we have it....and if you have a problem pursue it legally" and basically hung up on...

Planner

DVaughan wrote: »

Hoping someone will provide some expert advice on this....

Basically I moved out of rented accomodation on the 1st February (Contract terminated on 3rd Feb) after my Landlord was repossessed and am now having trouble getting a total of £1300 back from the Lettings Agency. This is effectively in two parts

i) The deposit (£650) which I understand the Agency is not liable for

ii) An additional amount of £650 (Rental Fee in advance) which was credited to the Agency in error by direct debit on the 2nd February.

The Agency have consistently avoided committing to a payment date of both these amounts culminating in today when I was basically told that they could not credit me with these funds until they had received funds due to the Landlord from some of his other tenants. I am angry at this delay as in my view they made an error (or say they did) in transferring this second £650 to the Landlord on the 11th February despite telling me twice (when I called to inform them of the situation) on the 3rd and 4th Feb that this amount had been picked up and would be returned to me forthwith. Needless to say I was surprised when I called them on the 17th to be told that it had been passed on to the Landlord!

Can anyone explain my legal position and if it is worth pursuing the mattter legally....or should I just wait for the Agency to pay up... The upshot of this is in the last conversation (today) I was told "You will get your money when we have it....and if you have a problem pursue it legally" and basically hung up on...

If the rent in advance was paid by direct debit (are you sure you mean direct debit and not standing order?) then you can claim it back through your bank under the direct debit guarantee.

DVaughan

Apologies this was a Standing Order...

Troubled_Joe

So just to confirm....you didn't cancel the standing order and paid it to them when it was not due?

If this is the case then you are able to make a claim for return of a payment made under a mistake of fact (after having sent a letter before action).

What they did with the money afterwards is irrelevant (although they could claim under the same principle against the landlord).

DVaughan

Thanks - that is correct...

I guess my question would be if I take the step of sending a Letter Before Action now would this make them more likely to be deliberately obstructive and withhold any funds they do receive...?

On principle I would prefer to take this route but feel it may end up slowing the process of getting my money back (which I need asap)....

Troubled_Joe

It should make no difference whether they receive the funds from the landlord or not and looking at what little info I have on his financial position they may not be likely to get it back at all.

It's difficult to predict their reaction to a LBA. They may get worried and pay up but they could just as easily react as you suggest which would force your hand somewhat in having to issue proceedings.

tbs624

Was the deposit paid after 6 April 1007 and if so, has it been protected under one of the three tenancy deposit schemes (assuming Eng/wales)?

Have you been given the scheme's prescribed information?
Whose name is on the tenancy agreement- the LLs or the LAs?
Do you have the LLs contact address?

DVaughan wrote: »

...The deposit (£650) which I understand the Agency is not liable for ...

Have a look at this case - different circumstances ( tenants after 3x penalty pay out for late scheme-registration) but an *LA* taken to court.

DVaughan wrote: »

.ii) An additional amount of £650 (Rental Fee in advance) which was credited to the Agency in error by direct debit on the 2nd February.

It is irrelevant what the LA's cashflow situation is - if they were notified that they had received this amount in error then they are responsible for returning it to you asap.

Do everything in writing from now on, keeping copies. Write to the LA, with a copy sent to the LL, formally requesting the return of both amounts within 7/10 working days, and listing out your attempts at resolve to date ( keep only to the facts, no "I am angry that......"). State clearly that it is an LBA and that you will also seek your courts fees plus interest on the amount owed if you have to proceed to court. You can also copy your letters to the local trading standards office and to the private sector rentals team at the local council.If the LA/LL phones, you then write back confirming your understanding of the content of the phone call and, again, keep a copy.

Check whether this LA is signed up to ARLA, OEA or NALs schemes and, if they are, check through the appropriate code of conduct and follow it up with the relevant "body"

DVaughan

Thanks for these extremely helpful responses....

"It should make no difference whether they receive the funds from the landlord or not and looking at what little info I have on his financial position they may not be likely to get it back at all."

This is my concern as well - and what exacerbates it is that in a previous conversation I was requested to carry out all further disputes with their solicitor in Liverpool (who I am told is apparently is also the Landlords Solicitor!?")

"Have you been given the scheme's prescribed information?
Whose name is on the tenancy agreement- the LLs or the LAs?
Do you have the LLs contact address?"

The deposit is covered by the scheme (Thankfully!) ....The agency did give me the Landlords address (that was their first and only response to all my initial complaints) but unsurprisingly he has proved to be uncontactable.

"Do everything in writing from now on, keeping copies. Write to the LA, with a copy sent to the LL, formally requesting the return of both amounts within 7/10 working days, and listing out your attempts at resolve to date ( keep only to the facts, no "I am angry that......"). State clearly that it is an LBA and that you will also seek your courts fees plus interest on the amount owed if you have to proceed to court. You can also copy your letters to the local trading standards office and to the private sector rentals team at the local council.If the LA/LL phones, you then write back confirming your understanding of the content of the phone call and, again, keep a copy. "

This is great advice - thanks...! - I have comprehensive records of all phonecalls and correspondence and will hit them with this....

"Check whether this LA is signed up to ARLA, OEA or NALs schemes and, if they are, check through the appropriate code of conduct and follow it up with the relevant "body" "

How do I find this information out? I have checked their website and none of these bodies are mentioned....

tbs624

DVaughan wrote: »

The deposit is covered by the scheme (Thankfully!) ....The agency did give me the Landlords address (that was their first and only response to all my initial complaints) but unsurprisingly he has proved to be uncontactable.

Okay, if your deposit has been scheme-registered, contact the scheme administrators straight away and explain the situation. If you don't have the details ( they should have been passed to you by the LA/LL) you can find them here

DVaughan wrote: »

"Check whether this LA is signed up to ARLA, OEA or NALs schemes and, if they are, check through the appropriate code of conduct and follow it up with the relevant "body" "

How do I find this information out? I have checked their website and none of these bodies are mentioned....

via the "search member" facility on the websites for ARLA, NALs , NAEA, OEA etc, although if they aren't trumpeting their membership on their office winodws and on their letterheads etc it unlikely that they will be members.

When you have finally got your funds back, you may like to post your thoughts at www.allagents.co.uk