Late tenancy deposit protection fines

by Readers Question

8:54 AM, 11th February 2014
About 7 years ago

Late tenancy deposit protection fines

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Late tenancy deposit protection fines

I spoke to someone on the NLA helpline this morning who told me that the law is unambiguous – landlords registering deposits later than one month after receipt are liable to be sued for three times the deposit amount.

Looking online, I am unable to find definitive reference to this, and, most importantly, how are courts tending to implement this?

Are landlords being being subjected to these levels of punitive damages?

Can anyone help me with this? Late tenancy deposit protection fines

I am interested to know primarily how this is working out in practice. I would imagine that if it were the case that tenants absolutely have the right to 3X the deposit amount in the case of late registration, there would surely be an epidemic of lawsuits going on right now?

Do you have any direct, recent experience of how this is being implemented or have no cases yet come to court under the new rules yet?

Thanks in advance.

Eric

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Comments

Hazel de Kloe

10:46 AM, 8th October 2015
About 6 years ago

Hi Laura

Sounds like a bit of a nightmare situation! Glad to hear you have realised your mistake and that you appreciate that your ignorance is no excuse in the eyes of the law, however, it does seem that this is a totally over the top reaction from your previous tenants. They are clearly taking advantage of the law in this instance.

My understanding is that you can be fined a maximum of 3 x the initial deposit, I have never heard of it being 3 x the original and then 3 x again for when the tenancy is renewed, although I stand to be corrected. Also, the fact that your old tenants have been behaving in the manner you say would, in my opinion, be considered harassment and therefore would not look good for them in a court of law. Do you have evidence of the mess and damage they caused originally?

My suggestion is to seek legal advice yourselves ASAP. I would take photographs of the rubbish they have tipped and keep the text messages they have sent and document when they drove past and what was said. The fact that you did treat the deposit as fairly and to the best of your knowledge at the time may potentially help your case. Remember, it will cost them or their solicitor time, effort and money to take you to court, so you may find that a solicitor working for you would suggest a counter offer more to the level at which you could expect to pay in court.

Just a few ideas...hope they help and that you are able to get the situation sorted out ASAP. 🙂

All the best,
Hazel

Cheryl Landlord

17:55 PM, 30th June 2016
About 5 years ago

Hi,
I am an accidental Landlord, and I admit have handled the deposit situation badly. Stupidly unaware of the DPS, it was not protected 7 years ago when a tenancy started. This year my tenant asked me for details of the scheme which obviously made me aware and I protected it in the DPS straight away, passing relevant information to her. Tenant now having left is threatening to sue me for not protecting the deposit originally. Do I read an original posters post correct in that this would have had to have been done within six years after 31 days of tenancy starting date?
Tenant has since left the property with no notice with a letter instructing me to use the deposit to cover the last months rent. On applying to the DPS to do this she is now backtracking and threatening action to sue me 3 x the deposit. Any advice gratefully received.

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