Flatmate moving out, leaving utility arrears.

ianders

Not me, but a family member moved into a 2 bed flat with a friend who had already been there for a while. All the utilities/phone/broadband etc... were in his name. He is now moving back with his parents and we've just found out he's not been paying the bills. Electricity is now at over £400 and gas over £200.

Will she be able to either take out a new contract with the existing suppliers or switch to new ones starting at the meter readings when he moves out or will the existing bills have to be cleared beforehand?

This is a rented HMO. Don't think there is a proper contract in place with landlord either. She is not named on any tenancy so that's the next thing to get sorted.

thelem

If it's an HMO surely there are more than two parties involved?

It's my understanding that utility companies can only force the named bill holders to pay outstanding bills, although your family member has a moral obligation to pay her share (assuming she hasn't already paid that to the friend). Certainly a new tenant wouldn't be liable for a previous tenant's usage.

ianders

The tenancy agreement (if one exists) is in the one name only. When my sister moved in, the landlord agreed verbally that this was ok but she has never signed anything. She has paid half of all bills she was aware of. She has also had to cover the full amount of rent quite a few times so she is owed money by the flatmate.

Ideally, I'd hope she'd be able to give the utility companies the address of the flatmates parents address so they can chase him directly, say she's a new tenant and take over from there?

Werdnal

Who does the friend pay her rent to:

If its direct to the Landlord would make her a tenant and tenancy agreement does not need to be written down, as verbal agreements can be equally binding.

If she pays the flatmate, who then passes rent to the landlord, she is in fact a lodger, and has no security of tenure or automatic right to remain there if the "tenant" is leaving.

Either way, she currently has no responsibility for the utility bills which are in the tenant's name, although should have paid her share even if she is a lodger.

The covering of the whole amount of rent is a separate issue and if the departing tenant owes her money, this has no bearing on the utilities


If this is an HMO (how many people live there?), do you know if LL is complying with all the rules and regs, as he may need a license from the council, and H&S and fire regs are more stringent in HMO properties. If the LL is allowing people to come and go without proper agreements and formal tenancies, he may be dodging the rules to hide the fact that the property should comply with the rules.

ianders

Normally she would pass money to flatmate who'd pay landlord direct but more recently she's paid direct to Landlord as he's not had the money.

Only 2 people there. As they're not related and both are students I thought this automatically meant it was HMO?

I've asked sis to scan a copy of the agreement her flatmate has signed and email it over to me so I can take a look.

Smith_007

ianders wrote: »

All the utilities/phone/broadband etc... were in his name. He is now moving back with his parents and we've just found out he's not been paying the bills. Electricity is now at over £400 and gas over £200.

Looks like matey boy is in deep faeces. :eek:
The bills are in HIS name. HE is solely responsible and it is only him who has a contract with the utility companies. (HMO or not).

He can try taking the others to the small claims court to get them to pay there share, but might have a hard time doing this. Similarly, the landlord will not be very forthcoming. I get the impression this HMO isn't properly registered. Ultimately, HE is the named person who needs to pay.

Your friend is nothing to do with the HIS debt and should be able to take out a new contract with the existing (or alternative) suppliers. However, if he doesn’t want other tenants racking up bills in his name, I suggest he avoid this particular set up :cool:

EDIT: It's a two bed flat? This isn't a HMO then.

Werdnal

ianders wrote: »

Normally she would pass money to flatmate who'd pay landlord direct but more recently she's paid direct to Landlord as he's not had the money.

Only 2 people there. As they're not related and both are students I thought this automatically meant it was HMO?

I've asked sis to scan a copy of the agreement her flatmate has signed and email it over to me so I can take a look.

HMO is more than 2 unrelated tenants, so you can dismiss any concerns over that.

Does the LL know the named tenant is leaving, as if they are the only one formally named on the agreement, and they cannot just decide to leave without giving formal and valid notice.

The LL can then "assign" the tenancy to your sister, or grant her a completely new tenancy in her name only, but if the "tenant" is leaving and there is no transfer to your sister, the tenancy ends. This is getting really messy and your sister needs to find out what is actually going on, as she may not have any right to remain there, and the LL has to approve her as a tenant and grant her a formal tenancy for her own security.

Did the tenant pay a deposit? Is it protected in a scheme? Did your sister pay a deposit and is that protected?

ianders

Thanks for all the replies.

She's going to phone the landlord tonight and see where things stand.
I get the impression the landlord doesn't really care as long as he gets the rent. He has been good though, replaced a washing machine when it broke.

Werdnal

ianders wrote: »

Thanks for all the replies.

She's going to phone the landlord tonight and see where things stand.
I get the impression the landlord doesn't really care as long as he gets the rent.

Doesn't bode well, he may not care about illegal eviction of he decides he no longer want your sister to stay and she hasn't got a tenancy agreement to prove her status as a tenant.

G_M

She should talk to landlord. Amicably.

* ask to take over the tenancy(assuming she wants to- can she afford the full rent? If not,will she be allowed to get a lodger?)
* Either the LL can 'assign' the existing tenancy to her,or better, end the current tenancy (written agreement between LL and current tenant) and then grant her a new one.
* she then rings all utilities, gives them meter readings, tells them she is new tenant, and asks for new account in her name. The previous account is not her concern. The utilities will have to chase her ex.

NB- if the current tenant paida deposit,on NO ACCOUNT, should she agree to refund this direct. The landlord may suggest "Oh it's easier if I keep the existing deposit and you just pay the departing tenant his deposit". DO NOT AGREE.

The LL would then not be holding your deposit, and you wouldl ater have no right to it!