Deposit crisis - help!

dawyldthing

I think there panicking as they've put the money in the deposit scheme without actually receiving it from yourselves. Just put it to them straight - you really can't afford it but can pay X over 6 weeks until they have it. Court costs and takes time. I wouldn't be worrying, there just playing hard ball

G_M

Have I missed something here? I'm still unclear what kind of contract exists.

* Do you have an Assured Shorthold Tenancy?
* What (if any) are the fixed terms?
* is it a sole tenancy in your name, or a joint tenancy in the names of all the occupants of the property?
* have the housemates paid a deposit? Are their deposits protected?


Please note that a letting agent cannot take legal action against tenants. Only the landlord (or a solicitor acting for the landlord) can do that.

If legal action is based on S8 ground 12 (breach of contract), that is a discretionary ground and it is highly unlikely that a court would use their discretion to evict a tenant on the basis of non-payment of a deposit. Especially where rent has been regularly paid on time, However it is possible.

muz3562

Just out of interest have you paid any money towards the deposit to the agent already ?



I would advise getting together a copy of all emails when you tried to contact them to arrange payment of the deposit . Including all emails when you have presented them with the plan to pay it in 6 weeks .



You also need to be clear that you stick to the 6 week timetable . In the unlikely event that the matter does end up in court if you can display that you have been perfectly reasonable by setting a schedule to put right the breach of contract and have stuck to it the court is more likely to view this favourably .



Personally I like to get quite blunt and forceful with people in these situations but that would be because I dont take too kindly to empty legal threats . I would send an email and letter to the agent making it abundantly clear that the payment schedule is 6 weeks and I wish to hear nothing further on the matter . I would then request details to make these payments and make sure they are clear that unless these are provided it would be wholly unreasonable for them to make any allegation that I am in breach of contract when they are not affording me the opportunity to comply with the contract .



I would not worry too much about legal threats from the agent . They dont have the power to initiate legal proceedings to evict you that decision rests with the landlord . Even if they did get the landlord to agree it is only going to be for breach of contract which is a discretionary ground so there is no guarantee the court would make an order for you to be evicted . The county court costs to begin these proceedings are £335 alone . By the sounds of it the agent is not that bright so if they did try and initiate these proceedings without legal advice they would probably screw it up . If they decided to instruct a solicitor then the costs are going to grow very quickly and without a guarantee that the court would even evict you . If they did initiate court proceedings they might also find that it takes longer than 6 weeks to get to a hearing in which time you would no longer be in breach of contract .



Have you ever met or spoken to the landlord ? If so and they seemed friendly and approachable it might be worthwhile having a chat about it with them . They might not know that the deposit has not been taken and their agent is throwing around rather vague legal threats . After all the LL is responsible for acts of their agent and so ought know what they are up to .


If I was the landlord I would make the agents themselves pay the money into the scheme and recoup it from you in instalments . After all the deposit is for the LL's protection and it is the agents fault and a major failing that it was not taken prior to moving in . I would personally look for a new agent if an agent of mine let a tenant move in without paying the deposit first .



I had an issue in the past when a tenancy renewal fee went unpaid because the agent took their time paying the cheque into the bank , in the meantime I had switched current accounts so the cheque bounced . Because it was their incompetence in taking 3 weeks to pay a cheque into the bank I informed them they would have to wait 3 weeks for payment of the renewal fee . They threatened all sorts of legal action . One quick phone call and friendly chat with the LL sorted it all out and the owner of the letting agency had his wings clipped . Prior to this I had rented the house for 3 years , paid every single rent payment on time and caused no other issue .

diggingdude

Cant see them evicting if lease ends September and you are making efforts to pay deposit, are you planning on staying past this?

relentless20

Thanks everyone - these responses are really helpful! I actually got a good night's sleep last night after worrying about it all day. It definitely makes the situation clearer from a legal standpoint. I'm not sure I want to stay past September as I have other plans and it seems unlikely now anyway. That's ok. The next time the agency email me, I'm going to send a strongly worded email. However, they still haven't responded to my email asking what legal action they will take, exactly.

nicmyles

I would echo others who have said if you have any way of contacting the landlord to explain all of this simply, briefly and reassuringly, then do so.

The agent will probably lie to them about what has happened (or may have already), which may make them more likely to try to evict you than if they understood the reality of the situation.

relentless20

This is my draft email to the agency:
Dear...

As you mentioned breach of contract in a previous email, then I assume the legal action you intend to take is by asking the landlord to issue us with a section 8 on grounds 12 (breach of contract). You cannot simply 'ask someone to move out' as you wrote in your previous email. There is a procedure to follow and this is a Section 8 notice, as I'm sure you're aware.

A Section 8 notice gives us 14 days before you take any action, and then it's another 4-6 weeks before we appear in front of the judge, which will cost the landlord £335 plus legal fees if they choose to instruct a solicitor. As Section 8 Ground 12 is a discretionary ground, it's unlikely that any judge will award possession for non-payment of a deposit, especially given:

a) the number of times I attempted to get in touch with you regarding other matters which went completely ignored and would have afforded us an opportunity to discuss this;

b) instead of responding to my initial email on this matter on May 18, you visited the house and informed my housemate that she was at risk of eviction;

c) instead of communicating with me on this issue you have chosen instead to communicate with my housemates individually, of which I had no knowledge and has added to considerable confusion.

d) I have asked you on two separate occasions to outline the legal action you are planning to take and you have not said anything more than 'legal action'. I have a right to know what legal action you are planning to take and you have not provided this.

Essentially you're asking the landlord to evict tenants because you failed to collect a deposit before letting someone move in and also failed to collect the deposit in the 2.5 months following move-in. This is a major failing on your part, regardless of whether the issues with the previous tenant's deposit were unresolved. I would be very surprised if the landlord is willing to incur costs of going to court and the cost of the house being unoccupied over this failing.

Due to overseas travel and changes in my salary dates, I have looked closely at my financial statements and I will be able to pay this deposit on July 6 when I return from overseas. It's likely that issuing a Section 8 notice and awaiting a court date will take several weeks, at which point I will no longer be in breach of contract and the landlords will have incurred unnecessary fees.

The decision to begin eviction proceedings against tenants can only be made by the landlord and not the agent, and so I assume the landlords are aware of the situation. Therefore I am copying this letter to them via post.

I hope we can resolve this amicably by allowing me to make payment on the date specified. Unless you are serving a Section 8 notice to all tenants, I wish to hear nothing further on the matter.

Kind regards
Relentless20

muz3562

relentless20 wrote: »

This is my draft email to the agency:
Dear...

As you mentioned breach of contract in a previous email, then I assume the legal action you intend to take is by asking the landlord to issue us with a section 8 on grounds 12 (breach of contract). You cannot simply 'ask someone to move out' as you wrote in your previous email. There is a procedure to follow and this is a Section 8 notice, as I'm sure you're aware.

A Section 8 notice gives us 14 days before you take any action, and then it's another 4-6 weeks before we appear in front of the judge, which will cost the landlord £335 plus legal fees if they choose to instruct a solicitor. As Section 8 Ground 12 is a discretionary ground, it's unlikely that any judge will award possession for non-payment of a deposit, especially given:

a) the number of times I attempted to get in touch with you regarding other matters which went completely ignored and would have afforded us an opportunity to discuss this;

b) instead of responding to my initial email on this matter on May 18, you visited the house and informed my housemate that she was at risk of eviction;

c) instead of communicating with me on this issue you have chosen instead to communicate with my housemates individually, of which I had no knowledge and has added to considerable confusion.

d) I have asked you on two separate occasions to outline the legal action you are planning to take and you have not said anything more than 'legal action'. I have a right to know what legal action you are planning to take and you have not provided this.

Essentially you're asking the landlord to evict tenants because you failed to collect a deposit before letting someone move in and also failed to collect the deposit in the 2.5 months following move-in. This is a major failing on your part, regardless of whether the issues with the previous tenant's deposit were unresolved. I would be very surprised if the landlord is willing to incur costs of going to court and the cost of the house being unoccupied over this failing.

Due to overseas travel and changes in my salary dates, I have looked closely at my financial statements and I will be able to pay this deposit on July 6 when I return from overseas. It's likely that issuing a Section 8 notice and awaiting a court date will take several weeks, at which point I will no longer be in breach of contract and the landlords will have incurred unnecessary fees.

The decision to begin eviction proceedings against tenants can only be made by the landlord and not the agent, and so I assume the landlords are aware of the situation. Therefore I am copying this letter to them via post.

I hope we can resolve this amicably by allowing me to make payment on the date specified. Unless you are serving a Section 8 notice to all tenants, I wish to hear nothing further on the matter.

Kind regards
Relentless20

Personally I would not bother going through the fact that they wont issue section 8 notice of go to court . They already know this , you already know this , the landlord may well already know this . Ultimately it does not need saying . Keep it short and sweet . Outline what you are no proposing as the resolution and keep to it .



Dear...

As you mentioned breach of contract in a previous email, then I assume the legal action you intend to take is by asking the landlord to issue us with a section 8 on grounds 12 (breach of contract). You cannot simply 'ask someone to move out' as you wrote in your previous email. There is a procedure to follow and this is a Section 8 notice, as I'm sure you're aware.

Essentially you're asking the landlord to evict tenants because you failed to collect a deposit before letting someone move in and also failed to collect the deposit in the 2.5 months following move-in. This is a major failing on your part, regardless of whether the issues with the previous tenant's deposit were unresolved. I would be very surprised if the landlord is willing to incur costs of going to court and the cost of the house being unoccupied over this failing.

Due to overseas travel and changes in my salary dates, I have looked closely at my financial statements and I will be able to pay this deposit on July 6 when I return from overseas. I feel in light of the circumstances I have been perfectly reasonable in attempting to put right the situation with the unpaid deposit as promptly as I could .

The decision to begin legal proceedings against tenants can only be made by the landlord and not the agent, and so I assume the landlords are aware of the situation. Therefore I am copying this letter to them via post.

I hope we can resolve this amicably by allowing me to make payment on the date specified. Unless you are serving a Section 8 notice to all tenants, I wish to hear nothing further on the matter.

Kind regards

relentless20

Great point. Thanks! (I'm not confident they DO know that if I'm being perfectly honest, but the shorter version makes much more sense.)

need_an_answer

I would be tempted to not tell them of overseas travel in case they feel they have more leverage over the remaining housemate in your absence

It s none of their business either!

"due to personal circumstances and a change in salary date......pay this deposit on 6th July.