My rights to my deposit

Splodges

Hi so the situation is (I'm in England by the way): I moved into a houseshare taking over someone else in the tenancy agreement 4 months in out of 12. At the end of the tenancy contract I gave my one months notice to move out (on the date our contract ended). The 2 remaining housemates on the tenancy wished to continue living in the property so found someone to replace me. The estate agent emailed me over an e-document to sign to say I was moving out and someone else was replacing me. The other 2 housemates have not signed this but I have. I went to drop my keys off today and enquired about my deposit. They said they cannot release it until this new guy has moved in and paid his, they told me I would have to get the deposit money off him which doesn't sound correct. I don't know him and the other 2 housemates I only know from living with them. The new guy hasn't made contact and they don't know if or when he is moving in. The estate agents are telling the 2 current housemates they are liable for my share of the rent and I can't have my deposit until someone else has moved in. I feel like this isn't right. Our contract is over tomorrow and I'm not a tennant anymore.

I'd just like some insight into my rights or what I can do here please

G_M

Splodges wrote: »

Hi so the situation is (I'm in England by the way): I moved into a houseshare taking over someone else in the tenancy agreement 4 months in out of 12.
Presumably this was achieved by the Execution of a Deed of Assignment (from outgoing tenant's name into your name), signed by all joint tenants and the landlord/agent, and witnessed - correct?
If not, you may never have been a tenant - simply a lodger living with your house-mates who were your landlords.

At the end of the tenancy contract I gave my one months notice to move out (on the date our contract ended).
Even assuming you were a joint tenant, this has no legal meaning:
* notice is not rquired at the end of a fixed term tenancy
* notice by one of several joint tenants in a fixed term (eg to activate a BreakClause) is invalid- all joint tenants must sign.
* if all joint tenants do not vacate at the end of the fixed term, a periodic (eg rolling) tenancy commences under exactly the same terms including exactly the same joint tenants

The 2 remaining housemates on the tenancy wished to continue living in the property so found someone to replace me. The estate agent emailed me over an e-document to sign to say I was moving out and someone else was replacing me.
Presumably a Deed of Assignment? What was the wording with regard to the deposit?

The other 2 housemates have not signed this but I have.
Without their signatures (all witnessed) this is legally invalid. So you remain a joint tenant.

I went to drop my keys off today and enquired about my deposit. They said they cannot release it until this new guy has moved in and paid his, they told me I would have to get the deposit money off him which doesn't sound correct.
OK - let's assume for the sake of argument that

a) you were a joint tenant and
b) a valid Assignment was being Executed by Deed to replace you with 'this new guy', then it would be perfectly acceptable for the 'new guy' to re-imburse you your deposit, provided that was specified in the Deed.

I don't know him and the other 2 housemates I only know from living with them. The new guy hasn't made contact and they don't know if or when he is moving in.
The Deed of Assignment should have a specified date for the Assignment to take effect. Without that it is meaningless and you remain a joint tenant.

The estate agents are telling the 2 current housemates they are liable for my share of the rent
No. Until the Assignment takes effect you remain a joint tenant, with joint liability along with the other two for the rent.

and I can't have my deposit until someone else has moved in.
Likewise, Until the Assignmement takes effect you remain a tenant, and are not entitled to your deposit.

I feel like this isn't right. Our contract is over tomorrow and I'm not a tennant anymore.
Unless all joint tenants vacate tomorrow, the tenancy is not over. A periodic tenancy arises and you remain a joint tenant.
The alternative is if your name is removed via a Deed of Assignment which appears not to have happened.

I'd just like some insight into my rights or what I can do here please

Here is an example of a Deed - you could show it to your LL. You should request a specific date for its Execution.

https://housing.london.ac.uk/cms/uploads/media/Assignment_-_revised_draft__18_5_12__ver3__2___3_.pdf

An alternative is to wait for the periodic tenancy to commence tomorrow, and then serve notice to end it. In a periodic tenancy, one joint tenant can serve notice which binds all joint tenants such that the entire tenancy ends, for all, on expiry of the notice. However you would remain liable as a joint tenant until that notice period expired an the tenancy ended (and all joint tenants vacated or a replacement tenancy was entered into)

Splodges

Thank you so much for your detailed reply on this. From the sounds of things I am legally a shared tenant still then, they haven't mentioned this and were quite happy to take my keys back and didn't sound like they were expecting me to continue paying rent. So if I don't hear anything about this person taking over my room, my only option would be to serve notice myself then the other 2 housemates will have to move out at the end of that notice period? And I assume they will just keep my deposit as rent? I've cancelled my standing order already. The only other option would be just sitting and waiting for this new tennant to take over and hope I get paid back my deposit? It's £825 which is quite significant for me so I'm just trying to weigh up what the best action is.

G_M

My post outlined the strict legal position.

Unfortunately, not every landlord or agent (or tenants) knows, or follows, the strict legal process.

It is not uncommon in 'shared houses' for a less formal process to be followed, with tenants 'taking over' from each other in a casual way, either with or without the landlord/agent's involvement.

This very often works smoothly with the deposit passing between tenants and rent/other obligations simply being inherited and paid by the incoming sharer.

It is only where a problem arises (rent arrears, deposit not handed over, damage to the property etc) that suddenly the legal position can become relevant (eg with a landlord claiming for damage /rent from the ex-tenant, or the ex-tenant claiming deposit from the new tenant).

Another issue can be that as the 'new' tenant has never paid a deposit to the landlord (having paid it to the outgoing tenant instead), the LL is under no legal obligation to repay the 'new' tenant. Hence why it is important for the transfer of deposit to be dealt with by a clause in the Deed of Assignment (see my sample Deed).

In your case
* I would be pressing for an assignment date
* yes, your deposit may be set against rent until then, although
* you wrote "The estate agents are telling the 2 current housemates they are liable for my share of the rent". If they pay this, you are off the hook, though I imagine they will not be best pleased (and may refuse...)
* And if before/on the Assignment date (whether done properly via a Deed or more infomally), you get your deposit from the new tenant, well and good.
* but to cover yourself fully against any future liability, try to get a Deed Executed (which means inclusion of the word 'Deed', and then signed by all parties and witnessed. Or if this proves impossible (ie the LL/agent is reluctant, then as a minimun get a similar 'agreement' written and signed by all.)