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Tenancy check out fee payment promptly required 2.5 months before end of agreement.

2

Comments

  • thequant
    thequant Posts: 1,220 Forumite
    Thank you thequant. Your answer is brilliant and I will quote it in an email reply to the lettings agency. Where can I read about the issue of "consideration"? I would like to know more about it.


    "consideration" is a legal term, essentially it means in English law a contract is not binding unless there is consideration from parties.


    A contract or part of a contract can't be enforced until one party executes the consideration in question and the other party has failed to execute theirs.


    http://en.wikipedia.org/wiki/Consideration_in_English_law
  • thequant wrote: »
    "consideration" is a legal term, essentially it means in English law a contract is not binding unless there is consideration from parties.

    thequant, your interpretation of 'consideration' is that I don't have to pay them until they actually do the check-out. By it also can be interpreted that they won't do the checkout until I pay the invoice. I'm looking for a document that clearly says that I don't have to pay the invoice util they provide the service.
  • jjlandlord
    jjlandlord Posts: 5,099 Forumite
    edited 15 June 2014 at 8:57PM
    Just tell them that the renewal fee will be paid when and if you renew, and that the check out fee will be paid when the check out is carried out.
    Especially, from what you quoted, the check out fee is in any case not due until the "conclusion of the tenancy agreement", which arguably means when the tenant actually moves out.

    It's not because they want you to pay up now that you should just nod and do it. Just say no.
  • thequant
    thequant Posts: 1,220 Forumite
    thequant, your interpretation of 'consideration' is that I don't have to pay them until they actually do the check-out. By it also can be interpreted that they won't do the checkout until I pay the invoice. I'm looking for a document that clearly says that I don't have to pay the invoice util they provide the service.


    That's correct.


    However I'm talking about enforceability, i.e. you can't enforce a contract until you have fulfilled your part of it.


    Anyway, this is all moot point now, it say's conclusion of the tenancy. You cant get more clear cut than that, that the LL doesn't have a leg to stand on demanding the monies at this stage.
  • Next question. Second invoice from the agency is for renewing the agreement. What if now I tell that I don't want to deal with the them anymore and I don't want to renew the tenancy. Can they require payment of the invoice for the renewal?
  • thequant
    thequant Posts: 1,220 Forumite
    Next question. Second invoice from the agency is for renewing the agreement. What if now I tell that I don't want to deal with the them anymore and I don't want to renew the tenancy. Can they require payment of the invoice for the renewal?


    If you don't want to stay in the property then there is nothing they can do to make you pay for the renewal.


    However if you do want to stay, considering that the new tenancy will be different to the old one (because if will be in just your name) and hence constitutes a new agreement I cant see you avoiding paying this.
  • BobQ
    BobQ Posts: 11,181 Forumite
    Ninth Anniversary 10,000 Posts Name Dropper Combo Breaker
    edited 16 June 2014 at 7:05PM
    Thank you thequant. Your answer is brilliant and I will quote it in an email reply to the lettings agency. Where can I read about the issue of "consideration"? I would like to know more about it.

    This is not the issue. You already have a contract (the letting agreement) for which you have been given a service (use of the flat) and there is a consideration from both parties (the service and your rent). The issue is whether the contract specifies an agreement to pay the fee at that time and whether it is legal and reasonable.
    Few people are capable of expressing with equanimity opinions which differ from the prejudices of their social environment. Most people are incapable of forming such opinions.
  • BobQ
    BobQ Posts: 11,181 Forumite
    Ninth Anniversary 10,000 Posts Name Dropper Combo Breaker
    jjlandlord wrote: »
    Just tell them that the renewal fee will be paid when and if you renew, and that the check out fee will be paid when the check out is carried out.
    Especially, from what you quoted, the check out fee is in any case not due until the "conclusion of the tenancy agreement", which arguably means when the tenant actually moves out.

    It's not because they want you to pay up now that you should just nod and do it. Just say no.

    I agree, from your quote from the contract, this is unambiguous.
    Few people are capable of expressing with equanimity opinions which differ from the prejudices of their social environment. Most people are incapable of forming such opinions.
  • BobQ
    BobQ Posts: 11,181 Forumite
    Ninth Anniversary 10,000 Posts Name Dropper Combo Breaker
    Next question. Second invoice from the agency is for renewing the agreement. What if now I tell that I don't want to deal with the them anymore and I don't want to renew the tenancy. Can they require payment of the invoice for the renewal?

    OP, If you wish you can tell them this (that you do not want to renew the tenancy) and move out in August. Its not up to you whether you deal with them. They are either the LL or they are the landlord's agent. (Its like saying you want to buy a car but will not deal with the owner of the car).

    Assuming that you are up to date with the rent, they will then serve a Section 21 notice on both of you seeking possession of the property at the end of the tenancy. This notice is only valid when it is received by you and must give you a minimum 2months notice. In most cases this is a technicality because, if you comply with your tenancy agreement, you will vacate the property on or before the date. If you do not, the S21 makes it possible to apply to a court to evict you.

    Whether they issue a S21 or not, you are not obliged to pay a renewal fee at any time. Equally the landlord is not obliged to renew your tenancy agreement just because you want it.

    As I understand it you have told the LA that you alone want to stay. As far as the LA is concerned this means you want to end the existing tenancy agreement (check out fee) and take out a new tenancy agreement (which it appears to call a renewal fee). So you and your friend get your deposit back and that tenancy ends and you then pay a new deposit and sign a new tenancy agreement. You get continuity of occupation and do not have to move your stuff out. But the agent needs to check you out as a tenant (eg can you afford the rent on your own). This takes time so I can see why LA might want to collect some money before the day

    If you decide not to renew, you will presumably go to another agent, find a place, and make arrangements to move. Do you expect to do this the day before without any outlay. The LA will want a holding deposit. and need time to check you out. So you will be paying that agent in advance too?

    Do you really want to stay? Can you really afford to stay? Either way tell the LA what you want to do. If necessary say that this has been an expensive month for you and that you want to sign up in a month's time. If you mess them around they will probably serve the S21 and evict you if you do not leave. Alternatively, tell them you are leaving and start looking for somewhere else.
    Few people are capable of expressing with equanimity opinions which differ from the prejudices of their social environment. Most people are incapable of forming such opinions.
  • Thank you for the support BobQ. Really smart replies.

    Feeling that I'm being unfair and not willing to sign new agreement so soon, I've made my mind and I'm moving out. This is an email that I've sent to LA yesterday:
    Dear Jasmina,

    I didn't receive a reply to my previous email, but as I see you require me to act quickly with signing the new agreement. I'm not financially ready to pay any fees/deposit at the moment. I've thought this is going to happen in August. I wasn't informed that I will have to do any payments promptly. As a result the only thing I can do is to inform you that:

    I won't renew the tenancy and I will make the property vacant on the 28th of August. This is final and definite decision.

    I'm sorry for confusion caused. I hope you understand my situation. As I understand no admin work has been started on the renewal process and the invoice for renewal will be voided and I will get invoiced for a check out fee instead.

    Thank you and have a good day.

    Do you think that they will revoke the invoice for a renewal fee?
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