Bankrupt estate agent hasn't returned deposit - letter before claim

dantheman02

Hi all - I'd just like to say thanks in advance for your help.

The situation is as follows:
I occupied a property via AST for 1 year from August 2022 to August 2023.
We paid a security deposit to the tune of £2,000 that was 'protected' in an insured DPS called MyDeposits.
We moved out of the property on August 14th, 2023, as our tenancy stated. The keys were returned to concierge as nobody from our estate agents turned up to do the check out.

No correspondence from the estate agents was responded to until a phone call was answered 4 days later, informing us that on Friday August 11th, 2023, the agency had gone into administration and all staff but a few (that I was speaking to) had been let go.
I was informed that a final inventory would be taken and then we would be sent it and our deposit back in due course.

I heard nothing.
I emailed and called, then I emailed and called, then I emailed and called. The generic responses have been thrown at me and I've been told it'll be 'tomorrow', 'as soon as possible', and 'we're working on it as we speak' too many times now.
I am still yet to see an inventory report, nevermind any money back. I don't think a final check has been performed, thus leaving me in a grey area.

I contacted MyDeposits (our DPS with our certificate) and started Alternate Dispute Resolution (ADR). My agents have not responded, and thus this has hit a brick wall.

I rang the estate agents one last time and got through to someone on September 1st. I was promised again that it would be done first thing Monday (4th) morning - I got nothing.

So here we are. I am a studying Law student and aspiring Barrister, so I'm trying to do this on my own with help of colleagues, peers, and advisers. I have self represented for similar claims twice before and have a 100% success rate at present.

I would like to send a letter before claim, but before I do, do you have any tips, questions, clarifications or advice in general?

Should this be going to the estate agent or landlord? Or both?

Even if it's just a good template to use. Many thanks all

TLDR: My old landlord/estate agent hasn't returned my £2,000 deposit after going into administration and is stringing me along.

RAS

Your landlord owes you the deposit, regardless of what's happened to the estate agents. Who are they?

dantheman02

RAS said:

Your landlord owes you the deposit, regardless of what's happened to the estate agents. Who are they?

They are called Ernest Brooks International and are still operating, as far as I know.

eddddy

Your claim will be against your landlord, and not the landlord's agent. That's whoever is named as landlord on your tenancy agreement.

(Although, it is possible that the estate agent company is your landlord - for example, if they own the property or are sub-letting it.)


FWIW, if the estate agent has gone into administration, it's possible that the estate agent hasn't forwarded all your rent to the landlord. So your landlord might be angry with them as well. But that's your landlord's problem, not yours.

dimbo61

Contact Mydeposits in the morning 

FreeBear

Absolutely no point in filing a claim against a company that has gone in to administration - They don't have the money to pay their creditors, and it is highly unlikely that there would be any left to pay you if you won.

deannagone

The case should be filed against the LL, not the estate agent. The EA is simply the Agent of the LL.  It is the LL's legal responsibility to protect the deposit so any claims for non return are made against them, not the EA. 

You could also claim for non protection if the deposit wasn't protected. 

I am not sure if your colleagues have advised you of this? If not, googling might be a better aid for advice (Imean this kindly, its a specialist area of the law).

See https://www.gov.uk/tenancy-deposit-protection.

Was the deposit protected?

propertyrental

I agree your case is against the named landlord on your tenancy agreement.

However another possible tack is here:

1 Professional Bodies
Since 1st October 2014, the Enterprise and Regulatory Reform Act 2013 S83 requires letting agents in England to sign up to one of 2 schemes:

* The Property Ombudsman
* Property Redress Scheme

Additionally, check for membership of:

· Association of Residential Letting Agents
· Association Independant Inventory Clerks
- Safe Agent - Fully Endorsed

These are voluntary but are an indication of professionalism, and provide some limited additional protection.

Or less relevantly (though again an indication of professionalism):

· The NAEA
· The RICS
· The UKALA (more of a resource for letting agents than an upholder of standards)
· The Property Mark Qualifications

Note that both ARLA and the NAEA have Client Money Protection schemes in case a member agent goes bankrupt. eg
The ARLA have the ability to make discretionary grants (up to pre-set limits) if you suffer financial loss due to the bankruptcy or dishonesty of the member and/or their firm...
If in doubt you can check an agent is a genuine member on the relevant website.

Robbo66

As you have raised a dispute you will need to let it take its course, the agent will have a period to respond normally 2 Weeks and then you get you chance. The whole dispute process can take 6 weeks sometime more. If the Landlord/Agent doesn't reply the adjudicator will find in you favour and you will get your money back. Have you tried calling mydeposits for an update?

Exodi

Sorry, I'm a bit lost on the talk about court action and serving the landlord with a LBA?

The deposit is held by a recognised TDP scheme (MyDeposits - as confirmed by the OP) independent of the landlord.

You just have to continue following the dispute resolution process with them. Total waste of time to be getting worked up over court action, the landlord doesn't have the deposit. This is the reason TDP schemes exist.

Robbo66 said:

As you have raised a dispute you will need to let it take its course, the agent will have a period to respond normally 2 Weeks and then you get you chance. The whole dispute process can take 6 weeks sometime more. If the Landlord/Agent doesn't reply the adjudicator will find in you favour and you will get your money back. Have you tried calling mydeposits for an update?

EDIT: we responded at the same time with effectively the same point.

Pretty much as Robbo66 - if the LL/representative is unresponsive, the adjudicator will find in your favour by default.

theartfullodger

eddddy said:

Your claim will be against your landlord, and not the landlord's agent. That's whoever is named as landlord on your tenancy agreement.

(Although, it is possible that the estate agent company is your landlord - for example, if they own the property or are sub-letting it.)


FWIW, if the estate agent has gone into administration, it's possible that the estate agent hasn't forwarded all your rent to the landlord. So your landlord might be angry with them as well. But that's your landlord's problem, not yours.

+1. Absolutely: Pursue whoever is named as landlord on tenancy agreement (yes I know agent likely handled all the paperwork).

Could you kindly let us know is agent or owner of property is named as landlord, please??

Good luck, hope it get's sorted.

Artful: Landlord since 2000.