Terminating contract with management company - Help with wording and the deposit.

tasticz

Hi All,

We are now looking to go self-manage and to terminate the contract with the management company. We have been with them for 2 years now but since we manage all repairs, documentations, etc. ourselves so feel there is no need for management company. Property is up to date with all required licences (gas/electricity and additional council licence).

The termination contract between us and the agent says the following:



I am confused as to whether the notice period is 1 month or 2 month because it says two months written notice in first sentence and then one month written notice half way into the paragraph. 


2) the management company currently has the deposit protected in deposit protection scheme, once this contract comes to an end, Is the management company supposed to return the deposit to the tenant and the tenant needs to give to us or does the management company need to pass the deposit directly to us to deposit in the deposit protection scheme?

Thanks in advance

K_S

@tasticz For point 2, from memory, the deposit can be passed directly from the deposit scheme used by the agent to one chosen by you. That way the deposit continues to be protected throughout.

The most straightforward way might be to stick to the same scheme used by the agent. That way they'll create a landlord account in your name and register the tenancy deposit details against it. 

canaldumidi

Yes It's confusing and poorly written. The use of the phrase "on any individual property' makes me wonder if there is a general contract between LL/Manco to manage a portfolio of properties (requiring 2 months notice), and then the option to remove one property from management (1 moths notice). Very unusual.

There is a general rule in law that where a contract is ambiguous (as here?) then it is interpreted by courts to the benefit of the party who did not draft it. Since I assume the Manco drafted it, the shorter notice period could be relied on - though you might have to argue the point with them!

See also:

Post 9: Letting agents: how should a landlord select or sack?

tasticz

thanks definitely confusing!