Guarantor liability for my daughter

jebervic

I have been asked by my daughter's landlord to be a guarantor, but I am a bit worried about the extent of my liability.

My daughter is applying to stay in house with four other university students (whom she knows from her first year) I was sent a guarantor form which I think makes me liable for the monthly rent of everyone in the house, however the landlady has assured my daughter that I am only being asked to guarantor her proportion of the rent.

The agreement reads as follows:

I guarantor to you the payment of the rent in the sum of £395 per calender month and the observation and performance of the tenant R........... Sm......... herafter referred to as the tenancy member, of the tenancy agreement upon the terms of the said Assured Shorthold Tenancy Agreement, which shall be joint and several, entered into by them for the period 1st september 2015-31st July 2016 at the total rent of £2, 095.00 per calender month.

This guarantee will continue for the whole term of the tenancy from the commencement date of the tenancy period and will extend to all acts and defaults of the tenancy member during the tenancy period. The guarantee will not be revoked or discharged by my death and will not be discharged by you neglecting or forebearing to obtain payment of the rent when the same becomes payable nor to enforce performance by the tenancy member of their obligations under the terms of The Assured Shorthold Tenancy.

If the tenancy agreement should be assigned with your consent, or by agreement between you and the tenacy member, be determined, extended or renewed, then at the end of the tenancy member's agreed period of tenancy, this guarantee shall forthwith determine.

jebervic

The first paragraph of the tenancy agreement states:

The tenant agrees to pay in advance, by standing order, into the landlords bank details of which have been provided, in the following installments namely a first payment in total of £2,095.00 to clear into the bank by ........ followed by 10 further monthly installments

Marktheshark

You are agreeing to pay £2,095.00 per month every month.
If any / either fail to pay rent.
Even if she moves out / does not like house mates / feels bullied and moves out.
Only sign if you can afford 2k a month.

jebervic

Apparently the landlady assures her that it is only her proportion of the rent, but it looks to me like "marktheshark" says that I am liable for all of it.

Marktheshark

Yes you are liable for it all, that is what Joint and several" means.
They can invoke it even if someone misses one months in full.

My advice is a studio apartment that might be a bit more rent is worth it as you are only liable for her rent not that of some layabout you dont know.
House shares are very last century now for students in Leeds, for this very reason and that they get burgled almost daily.

greenval

I think the concern is the reference to the tenants being 'Jointly and severally liable' i.e. not just individually but collectively. What happens if others leave and the Landlord comes after those remaining and or their Guarantor.

jjlandlord

The issue is that the wording is contradictory:

jebervic wrote: »

I guarantor to you the payment of the rent in the sum of £395 per calender month and the observation and performance of the tenant R........... Sm......... herafter referred to as the tenancy member, of the tenancy agreement upon the terms of the said Assured Shorthold Tenancy Agreement

It starts by saying that the guarantee is only up to £395 pcm but continues to say that it also covers the liability of one joint-tenant, which is for the whole of the £2,095 pcm.

Clearly badly drafted.

Marktheshark

Deliberately drafted, clever as well.

ViolaLass

You guarantee her "observation and performance"? What does that mean?

misspickle_2

Marktheshark wrote: »

Deliberately drafted, clever as well.

I agree. Very deliberately badly drafted.
Don't sign it.
Send it back unsigned and tell her to redraft it.
She's trying it on.
Doesn't matter how convincing she is when she talks to your daughter because it means squat.
Its what on paper that matters.

Marktheshark

Nothing prevents it rolling on as well if one decides to become a drop out bum and stay on, the listed period is initial only, so unless all 4 leave on time, you could end up paying someone's rent at £2k a month, luckily it expires when you die.