Bankrupt landlord-legal obligation to pay rent to receivers??

BH1976

Hi, we've just been advised that our landlord has had the house we are currently renting repossessed. We have now received a letter from a firm of auctioneers who have been appointed by the official receiver to collect rent from us. Having phoned them they stated it appears our deposit has been paid over to the receivers (as the landlord failed to pay into a protection scheme) and we will probably not get it back. They also stated our tenancy contract is effectively void as it was signed with the landlord who no longer owns the property. Do we now have a legal obligation to pay the rent to the receiver? (we expect to be moving out in the next couple of months)- our concern is we do not have a signed tenancy agreement with the receivers and expect that they will not undertake repairs to the property (we currently have several issues with leaking roof etc).

Guest101

BH1976 wrote: »

Hi, we've just been advised that our landlord has had the house we are currently renting repossessed. We have now received a letter from a firm of auctioneers who have been appointed by the official receiver to collect rent from us. Having phoned them they stated it appears our deposit has been paid over to the receivers (as the landlord failed to pay into a protection scheme) and we will probably not get it back. - Well you can then sue your new landlord for failing to protect the deposit. They also stated our tenancy contract is effectively void - nope, it just carries on until you are evicted as it was signed with the landlord who no longer owns the property. Do we now have a legal obligation to pay the rent to the receiver? - yes. Just like you would any landlord. (we expect to be moving out in the next couple of months)- our concern is we do not have a signed tenancy agreement with the receivers - nor do you require one. your old tenancy is still valid. and expect that they will not undertake repairs to the property - in the next two months? I'd say you are correct (we currently have several issues with leaking roof etc).

Contact the receiver and ask for an address where to serve notice

Pixie5740

What was it (exactly) that you were told (verbatim please). A tenancy does not end or become void just because there is a change of landlord or because your landlord goes bankrupt. It depends whether your tenancy is binding on the mortgage lender i.e. did your landlord have permission to let the property.

http://england.shelter.org.uk/get_advice/repossession/about_repossession/repossession_by_a_landlords_lender

BH1976

Thanks for your replies. As far as I'm aware the tenancy is binding, my girlfriend made the call to the receiver so I can't quote them verbatim but my understanding is they've agreed to let us stay until the end of the contract (next July). However we only moved in a couple of months ago and are now facing the costs of moving again plus the problem of trying to get the deposit back (which was actually paid to the landlords mother rather than directly- naive of us in hindsight!) - we're not trying to dodge paying rent if it's an absolute must, however we feel like we're simply helping pay off the landlords debts now held with the receiver, rather than getting the full benefit of a tenancy agreement (i.e. Repairs being done etc) and are out of pocket by having become involved in this whole mess. What action can the receiver take against us if we don't pay them?

Guest101

BH1976 wrote: »

Thanks for your replies. As far as I'm aware the tenancy is binding, my girlfriend made the call to the receiver so I can't quote them verbatim but my understanding is they've agreed to let us stay until the end of the contract (next July). - so what has the next two months got to do with it? However we only moved in a couple of months ago and are now facing the costs of moving again plus the problem of trying to get the deposit back (which was actually paid to the landlords mother rather than directly- naive of us in hindsight!) - It doesn't matter who it was paid to, as long as it was agreed to be paid that way. (in fact you could sue his mother if you wish) - we're not trying to dodge paying rent if it's an absolute must, however we feel like we're simply helping pay off the landlords debts now - it doesn't matter what you feel held with the receiver, rather than getting the full benefit of a tenancy agreement (i.e. Repairs being done etc) - that's a good one and are out of pocket by having become involved in this whole mess. - in what way are you 'out of pocket' What action can the receiver take against us if we don't pay them?

Evict you, same as any other landlord, and sue you for unpaid rent.

BH1976

We've found alternative accommodation which we expect to be able to move into in 2/3 months time (it's currently being renovated). Plus we are getting married early next year so could do with resolving our housing issues asap rather than having it hanging over us when we have better things to deal with! We're out of pocket as we're facing removal costs etc for the second time in a few months through no fault of our own, plus the deposit if we can't get it back. As I say, we'll pay up if we have too, I'm just trying to get a better understanding of our obligations/rights and those of the receivers.

Guest101

BH1976 wrote: »

We've found alternative accommodation which we expect to be able to move into in 2/3 months time (it's currently being renovated). - So you're going to pay rent on two properties? Plus we are getting married early next year so could do with resolving our housing issues asap rather than having it hanging over us when we have better things to deal with! - I don't see the issue, you have a contract until July next year. The same as you would if the house wasn't repossessed We're out of pocket as we're facing removal costs etc for the second time in a few months through no fault of our own - You aren't. You're choosing to move. , plus the deposit if we can't get it back. - You can. As already explained. As I say, we'll pay up if we have too, I'm just trying to get a better understanding of our obligations/rights and those of the receivers.

I don't see the issue, it's a change of landlord, nothing else. No different to him selling the property

Miss_Samantha

A (LPA) receiver isn't a change of landlord.

molerat

The OR is now your landlord and has all the rights and responsibilities the same as any other landlord. Ask them where your deposit is protected and ask for the address for serving notices.
https://www.insolvencydirect.bis.gov.uk/technicalmanual/Ch25-36/Chapter31/part11/Part%202/Part%202.htm

BH1976

No, we're not paying rent on two properties?? We're trying to move out of the current place asap but it will most likely take a few months, as I said I'm just trying to fully understand our position right now. The issue is the house is in need of repairs (as I already said, there is a leaking roof which is a big concern now that the weather is turning for the worse). If it was simply a change of landlord we could stay and ask for the work needed on the property etc to be done. As it is, I highly doubt the receivers will do anything, their only concern really is selling the house to recoup the landlords debts. Would you be happy paying full rent, knowing any issues with the property would not be dealt with?

Guest101

BH1976 wrote: »

No, we're not paying rent on two properties?? - Oh there's a break clause? We're trying to move out of the current place asap but it will most likely take a few months - Right but you didn't mention a break clause. If there isn't one, you are liable for rent until July. , as I said I'm just trying to fully understand our position right now. The issue is the house is in need of repairs (as I already said, there is a leaking roof which is a big concern now that the weather is turning for the worse). - You've reported this in writing? If it was simply a change of landlord we could stay and ask for the work needed on the property etc to be done. - You can stay and ask for it to be done. As it is, I highly doubt the receivers will do anything - It's also unlikely your old landlord would. , their only concern really is selling the house to recoup the landlords debts. - well to be fair it's not their only concern. The property is bringing in money, they can market it for sale whilst you live there. Would you be happy paying full rent, knowing any issues with the property would not be dealt with?

Happy? Legal obligations aren't about you being happy i'm afraid.