Help!! Landlord Estate Agents Commission fees

mije1983

Alter_ego wrote: »

Perhaps terminate the tenancy, then go onto rolling would do it? Or a new tenancy with (slightly) different terms?

It would be good to know if there are any other clauses that relate to this. I'm not so sure that the OP wouldn't be liable even with a new agreement due to ...

for the entire period during which a Tenant remains in occupation of the Property including an initial term or any extension or renewal of each Tenancy

I would view it that the use of the word 'including' doesn't mean that it is restricted to those 3, and that if the tenant is still in the property then the money is owed to the LA.

Now if it has said 'during' rather than 'including', it could be argued that a new agreement would absolve the OP.

Thrugelmir

shari123 wrote: »

Does this sound right to anyone?

Yes. For the simple reason that everybody would use agents to find suitable tenants then sack them at the first available opportunity. The fact that your tenants have stayed may in part be down to the professional nature of your agents in vetting prospective tenants.

shari123

Hi thanks every one for your input.
The tenants have stayed because they love the house and the schools around the area are good. We as landlords have been pretty decent and been very responsive to emergencies, repairs etc. nothing to do with the Letting agents, they have done zilch. We finished our agreed contract of 3 years and we want out, surely we should have the flexibility to end the contract if we so wish.

Out,_Vile_Jelly

I suggest joining a Landlords Association and obtaining specific professional advice.

rtho782

The Commission is calculated as a percentage of the rent for the entire period during which a Tenant remains in occupation of the Property including an initial term or any extension or renewal of each Tenancy.

Perhaps you could argue that doesn't apply if you let them go onto a rolling tenancy, as that is not an initial term, extension, or renewal.

MobileSaver

shari123 wrote: »

The Commission is calculated as a percentage of the rent for the entire period during which a Tenant remains in occupation of the Property including an initial term or any extension or renewal of each Tenancy.

rtho782 wrote: »

Perhaps you could argue that doesn't apply if you let them go onto a rolling tenancy, as that is not an initial term, extension, or renewal.

Unfortunately for the OP, that would be a flawed argument as the clause only says "including" those things which means other situations (such as a rolling tenancy) would also trigger commission being due.

However the High Court has already ruled that such clauses are unfair and thus unenforceable where the agent "plays no part in persuading the tenant to stay, and does not collect the rent or manage the property."

Foxton's use of unfair terms

Of course, only the OP here has seen the full contract they signed but nevertheless I would point the agent in the direction of the ruling and advise them that you will not be paying any further commission but if they believe the High Court ruling does not apply to them then please advise why...