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13:25 PM, 14th August 2018, About 6 years ago 40
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One of my long term tenants left a property on 26th January 2018, but advised his electricity supplier that he left on 1st January and provided a fraudulent reading. The first I knew of this was in March when EON charged me £126 for the ‘unoccupied’ period from January 1st to 25th.
When I queried this (short version) I was advised that only a ‘check-out’ document signed by the tenant would be acceptable as evidence that the 26th date was correct. We had no such document as the tenant left a few hours earlier than expected and clearly did so as he know he had lied to EON. We have no other similar differences of dates with other utility suppliers or the council ref council tax who would be on this straightaway if it were true.
We provided 4 witness statements from people who knew the date the tenant left. One from a person who helped him to move, one from the new tenant who had visited the property on occasions before the 26th. Also, it would have been impossible to use £126 of electricity in 25 days even if occupied which it would not have been. We offered to get the statements provided as Statutory Declarations or Sworn Affidavits but EON were adamant that only the ‘check-out’ document would be acceptable to them.
I appealed internally but all EON managers declined to change their position.
I then appealed to the Ombudsman. Bottom line (short story) – they supported EON and said that they were within their rights to decline any other evidence and I had to pay the money. They said that this was in effect a third party dispute between me and the former tenant, which of course in law it is not.
What is very disturbing is that none of the EON people or the Ombudsman were familiar with the terms AST, Statutory Declarations and Sworn Affidavits! How can they therefore make informed and unbiased decisions?
The other galling thing is that the former tenant changed to EON as supplier, I have never had dealings with them, yet they charge me money (I do know that they have a right to do so for void periods) as they say I am responsible for payment, yet when I argue the facts about usage etc they state that they cannot discuss anything as their customer is the tenant and covered by data protection!
Am I cracking up? Am I right in thinking that the world has gone mad? Are the lunatics actually running the asylum?
The serious aspect is that the Ombudsman Service by their ruling are stating that any tenant can lie about moving dates and they will accept this evidence in ‘good faith’ and that the landlord has to pay for any shortfall!
Personally I do believe that this principle has to be challenged but as the Ombudsman person said, their decision is final and cannot be appealed!
Is their anywhere to go with this? It does seem to be an issue that has great implications for all landlords. And with this ruling, I do believe that the Ombudsman Service is indeed not ‘fit for purpose’.
Colin
I have had contact from an Energy Ombudsman Spokesman who responded to this readers question as below:
“Disputed liability between landlords and tenants is an issue that crops up frequently here at the Energy Ombudsman.
“Our view is that the landlord or owner of the property is responsible for any gas and electricity charges, unless they can demonstrate that a tenant was responsible for the disputed period.
“In the absence of appropriate information to demonstrate that responsibility lies elsewhere, it is reasonable for the energy supplier to seek payment from the landlord.
“Landlords are running a business and, as such, have a greater responsibility than tenants to ensure they obtain and retain relevant documentation and evidence, especially as these problems can arise several months after a tenant has moved out.
“Without access to the precise details of Colin’s case, it isn’t possible to comment further. In answer to Colin’s question about escalation, our website https://www.ombudsman-services.org/ contains information on our service standards and complaints procedure for anyone who is unhappy with our service.”
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TheMaluka
11:09 AM, 16th August 2018, About 6 years ago
Reply to the comment left by Colin Massey at 16/08/2018 - 10:24I have a secure building and nobody comes in without my permission. If by chance they do get in then cctv catches them and they are quickly evicted. No energy supplier is permitted to change the meter. There is more than one way to enforce an AST clause.
I had be been caught a few times and it is not going to happen again.
Most of my tenants prefer a prepayment meter.
Colin Massey
11:36 AM, 16th August 2018, About 6 years ago
Reply to the comment left by David Price at 16/08/2018 - 11:09
Good for you David!! I like your strategy!
Freda Blogs
16:56 PM, 16th August 2018, About 6 years ago
Thankfully I have never had this problem (yet), but it seems wrong as a matter of principle that a LL should be made to pay a debt on a contract which he is not party to. How can this be enforceable? It is ludicrous that a Utility Co will not supply relevant details, allegedly because of data protection, so how can the LL verify facts and accept charges (irrespective he has no liability for them)?
If tested in court I suspect a judge could not find for the Utility co, on the basis of the contract alone - one person cannot bind another. Add the weight of Colin's witness statements and it is difficult to see how the Utility Co could succeed.
As for the Ombudsman’s comment, words fail me.
“In the absence of appropriate information to demonstrate that responsibility lies elsewhere, it is reasonable for the energy supplier to seek payment from the landlord”
Why? It is the tenant with the contract with the Utility co, who has consumed the power and has the liability to pay, NOT the LL. Following the Ombudsman's ‘logic’, where does a LL’s responsibility begin and end, and at what max £££ sum would the Utility Co and the Ombudsman deem the LL to be liable?
Further: “Landlords are running a business and, as such, have a greater responsibility than tenants to ensure they obtain and retain relevant documentation and evidence, especially as these problems can arise several months after a tenant has moved out.”
What is the relevance of this point? The LL does not have access to the Utility Co/tenant contract. Likely the AST provides for utilities to be supplied to and paid for by the tenant, but that seems to count for nothing, and in Colin’s case, all the papers he has offered - in compliance with this sentiment – have been ignored. Massive stupidity and inconsistency by the Ombudsman in my view.
When are tenants doing to have to stand up and take responsibility for their actions? Why should LLs be made the fall guy (again)?
Bill
8:59 AM, 18th August 2018, About 6 years ago
E-on Also did this to me with a tenant reading the meter early and carrying on using electricity. Despite confirmation of the readings by the concierge and photographs, E-0n refused to back down. It was only £5, but it was the principle. I just closed out E-on accounts on all my properties as they became vacant and it must have cost them thousands in lost revenue.
TheMaluka
9:57 AM, 18th August 2018, About 6 years ago
Reply to the comment left by Bill Williams at 18/08/2018 - 08:59
I have done the same with EDF and British Gas. Eventually you run out off suppliers.
Chris @ Possession Friend
22:51 PM, 18th August 2018, About 6 years ago
David, I think we should start a file on E-on and give them the evidence via P118's Press, making the issue known to as many landlords as possible, also Which magazine etc.
If someone would collate the details, the rest as above could be taken care of. - emailing them to ;
Press@Property118.com
Tony McVey
13:40 PM, 19th August 2018, About 6 years ago
Are you quite certain that you are legally liable to pay this? Is it a contractual obligation,? Did you agree in advance either directly or indirectly? In which case a contract might arise, possibly a deemed contract. If not the obligation must arise by statute and the utility provider would be able to furnish you with the specific legal authority for their position.
Phil Landlord
8:04 AM, 20th August 2018, About 6 years ago
The moment the tenant moves out and closes their account the EON contract moves to the owner (or new occupant). Onus then falls on the owner or new tenant to contact supplier ASAP.
VITAL at that moment meter readings are provided by the new customer (landlord or new tenant) and a photo retained for good measure. Also confirm readings with previous occupant....which they may or may not acknowledge. As important as telling the council, checking the house contents and decor...part of the inventory.
Some electric meters on old dials are difficult to read and if it’s the first digit that’s wrong the bill can be hundreds of pound out, so it needs doing for fraud but also genuine misunderstandings.
Benefit of hindsight, I guess. Doesn’t mean you shouldn't feel unhappy it’s just a question of how much energy you have and in my case focusing on the positives.
In terms of EON they are pussy cats when compared with NPower...their incompetence knows no bounds.
My problem with NPower was a very different case relating to a disable tenant left with no meters due to a previous tenant....in the end I was sent £200 cheque and I sent I back because I was so annoyed at the time. I told them to deal and reimburse the new tenant which they did. She was delighted....I remained furious for months over the service.
My 20 years experience has taiught me now not to fight on principal I just haven’t the time and it’s not cost effective. I work out how much profit I made and leave the previous tenant to karma.
So if you end up paying EON it is really important to then change suppliers and if possible leave another unrelated complaint to deal with for good measure (if you have one). Complaints help change things.....slowly. And they are measured in them.
Not sure about prepay. I find them tacky, not popular in the demographic of my tenants and I found messy to take over and the pitfalls of normal meters avoidable if you do readings the day tenants leave.
Maybe smart meters will help moving forward.
If nothing else your post has ensured I never use EON. I spread the word re NPowers admin whenever I can. Their phone staff are really super but the follow through is the worst I have experienced with any company......ever.
Chris @ Possession Friend
8:56 AM, 20th August 2018, About 6 years ago
Reply to the comment left by Phil Landlord at 20/08/2018 - 08:04
Take on board he cost-effectiveness of a fight, but principle is King to me. The point applies in reverse to Eon. Is it worth them taking a civil claim out against you. ?
I'd quite fancy Colin's chances before a judge if he can produce the evidence he states. Then we publicise the hell out of the case and do irreconcilable damage to Eon 😉
Tony McVey
12:21 PM, 20th August 2018, About 6 years ago
How can the Eon contract move from one person to another? The essence of contract is agreement between the parties. How does a landlord agree to enter into the contract if he does nothing? A contract cannot be foisted onto another unless there is legislation to authorise this.