Guarantor Debt

Flopfluppet

Yes, but the point is, as you say, 'appears' to be. The school gate solicitor says it is legally binding hence my question above. My question is not can the guarantor dictate what the LL does with the tenant but is a court likely to rule that SS has to pay the shortfall in rent indefinitely.  
I've been very appreciative of all the help here and said as much. Buy now I'm genuinely interested in how matters like this could end up, in part because we're soon to be LL ourselves and this is very helpful information. 

user1977

Flopfluppet said:

The school gate solicitor says it is legally binding 

Having been told that it was signed online by the wife?

propertyrental

user1977 said:

Flopfluppet said:

Property rental, I'm guessing from your user name that you are experienced in the rental area? Can I ask, do you think if there was no way out of the agreement for him and it goes to court, would the judge (even if he rules that SS needs to pay costs/arrears) be likely to rule that LL must now start the eviction process because the advise from school gate solicitor was that LL cannot be made to evict tenant. His advice was "you're going to have a massive expense: arrears, costs and then some and could be paying his rent indefinitely ". Surely not?k

But yes, if it had been a valid guarantee, as discussed above the guarantor can't dictate what the landlord does with the tenant.

and nor can the judge.

Though if the LL applied to the court (via S8) to have the T evicted, then yes then judge could evict.

eddddy

Flopfluppet said:

My question is not can the guarantor dictate what the LL does with the tenant but is a court likely to rule that SS has to pay the shortfall in rent indefinitely.

That sounds like it would require a court order or injunction.

It's more likely that the LL would just make a court claim for unpaid rent up to the current date.

Then another 6 months of arrears might run-up, so the LL might make another court claim in 6 months time. Then another court claim after another 6 months of arrears, etc.


TBH, causing the LL lots of hassle (e.g. having to keep making court claims) might be a way of wearing the LL down - so that they decide it's easier to just evict the tenant.

But on the other hand, if the LL evicts, they will probably have a void period; they might have to pay a tenant finding fee; they might have to redecorate the flat; etc - which might cost them a thousand or two. So making repeated court claims might still be preferable. 

 

sheramber

Flopfluppet said:

gt568 said:

Why didn't he just send the letter as advised himself?

Apparently today he was told via a woman his wife knows at the school gate who is married to a solicitor that he has effectively signed a never ending contract and needs to take proper legal advice.

Has her solicitor husband  read the guarantee agreement to know it is correct and enforceable?

Or, is that her unofficial opinion.?

The best bit of advice is to get proper legal advice, not advice at the school gates.

user1977

sheramber said:

Flopfluppet said:

gt568 said:

Why didn't he just send the letter as advised himself?

Apparently today he was told via a woman his wife knows at the school gate who is married to a solicitor that he has effectively signed a never ending contract and needs to take proper legal advice.Has her solicitor husband read the guarantee agreement to know if it correct and enforceable?

the best bit of advice is to get proper legal advice, nit advice at teh school gates.

School gates is the best place for nit advice.

sheramber

user1977 said:

sheramber said:

Flopfluppet said:

gt568 said:

Why didn't he just send the letter as advised himself?

Apparently today he was told via a woman his wife knows at the school gate who is married to a solicitor that he has effectively signed a never ending contract and needs to take proper legal advice.Has her solicitor husband read the guarantee agreement to know if it correct and enforceable?

the best bit of advice is to get proper legal advice, nit advice at teh school gates.

School gates is the best place for nit advice.

Very true!

Flopfluppet

I believe this solicitor has looked over things but clearly the best advise will be from the solicitor he is now paying.
It seems to me if there is no get out for him, his solicitor needs to advise him of as many scenarios as possible and work out which would cost him the least money.
Maybe, admitting that the document was signed by his wife and accepting it was fraud may be the cheaper option - assuming that in doing so it would invalidate the agreement and mean he is not liable for any costs.

propertyrental

are nits as hard to get rid of as tenants?

eddddy

Flopfluppet said:

Maybe, admitting that the document was signed by his wife and accepting it was fraud may be the cheaper option - assuming that in doing so it would invalidate the agreement and mean he is not liable for any costs.

I think that would be throwing the wife under the bus.

If it really was 'fraud' - i.e. the wife did it with dishonest intent - it would be a criminal offence.

If the wife did it innocently - e.g. wrongly believing that she was doing what her husband would want her to do - it might not be a  criminal offence, but I suspect the LL would persue her for his resulting losses, as a result of negligence, misrepresentation, etc.

So it would simply be that the wife has to pay the LL instead of the husband.



(And if she signed it with her husband's consent, but now claims she signed it without his consent - she would be committing fraud as well. i.e. a criminal offence.

And if the husband lies about giving / not giving his wife consent, he would potentially be committing fraud as well.)