Letting Agent Ripped Apart by Social Media

Letting Agent Ripped Apart by Social Media

9:30 AM, 9th December 2011, About 13 years ago

Text Size

I am writing this blog to balance out another article on this website and to raise a question about whether it is reasonable for a business to be exposed to a trial by social media.

Is it even possible that a group formed on Facebook could muster up enough support to potentially bring an established business to its knees without a fair trial? Until this week I would have thought not but I have evidence that it is happening right now.

Now I’m not taking sides here, nor do I want to be a judge or a jury in a case that doesn’t effect me or my business. However, I am aware of a scenario whereby one persons word against another has been escalated to a point that could result in the collapse of an established business.

Is it right that media attention mustered up by a small group of disgruntled students and their parents could result in the suspension of a letting agent from a variety of trade organisations without a case ever going close to a court room?

The problems started when letting agent Campbells Property made a financial claim against a guarantor of a student who had allegedly soiled a mattress. The student denies the allegations and the guarantor refuses to pay the disputed damage claim.

I have spoken to a Director at Campbells who has confirmed their policy is not to take damage deposits. Instead they charge a none refundable letting fee of £220 per student and take guarantees from parents or an alternative guarantor to pay for any damages and any necessary cleaning to put the property back into a lettable condition at the end of the tenancy. Victoria campbell, a Director of the firm, told me “these terms of business are willingly entered into by around 1,500 tenants and guarantors every year with Campbells”.

The disputed bill for the soiled mattress has escalated to the point where a facebook page has been created to solicit more complaints against the letting agent. People thought to be posting in defence of the agent have been blocked from posting and had their posts removed. A completely independent letting agent was blocked mistakenly and reported this on Property118.com. He was commenting completely independently without taking sides and made this point on property118.com. He very quickly received a public apology (also on Property118.com) from the creator of the facebook thread.

To my knowledge the number of complaints equates to less that 1% of all tenants that let throughCampbellslast year. Despite this, the agents business model has been criticised to a point that the owners don’t know which way to turn.

The letting agent has been suspended from two organisations they subscribe to and now need to account for these complaints during their busiest season for letting. Note that first year students often seek accommodation 10 months in advance to secure a roof over their heads for their second and third years in university education. Some universities only allow agents that have valid accreditation to advertise to their students. Suspended agents are not allowed to advertise and their suspension is publicly displayed.

In the meantime, whilst their cases are being prepared and heard by the trade associations, the agent feels aggrieved that the reputation of their business has been besmirched to the extent that they will find it far more difficult to attract students and fill their properties in the coming year. Even if the trade organisations to which they subscribe find in their favour on every one of the complaints levied against them they stand to lose a significant amount of income and reputation whilst the case is under investigation and their memberships are under suspension.

Will the trade organisations take responsibility for any financial losses or defamation?

Is it right that a letting agent can be held to ransom by an aggrieved client in this way?

Will the trade associations risk finding in favour of their member with such financial implications as a potential court case against them by the agent on the grounds of lost income resulting in defamation of innuendo during their suspension?

From my very limited understanding of the cases in point, the agents procedures may be flawed. If I am right, they would be unlikely to be awarded the right to retain deposit moneys if they had taken them and the complaints had gone to arbitration. On this basis, I also doubt that the agents procedures would hold up to a small claims court hearing for the financial claims levied.

My understanding of the agents procedures in this case is that detailed inventories are completed, together with photographic evidence, at the commencement of each tenancy and are signed for. Inventories are also completed at the end of the tenancy and further photographic evidence is also collected. The possible flaw I can see in this procedure is that the end of tenancy the inventory is very rarely signed for as they are completed after the tenant has vacated. Therefore, it’s easy for disputes to arise and if there are two sets of photographs, one from the agent, the other from the tenants, which is to be believed?

In most cases it’s easy for landlords to demonstrate with a good inventory and photographic or video evidence when a property has been damaged, regardless of whether the tenant signs the checkout inventory or not. This is because most properties and their contents are very different. However, when there are several identical rooms within properties and the disputed damages relate to a carpet stain, a soiled mattress or a damaged piece of furniture, how can a decision as to whether the damaged item was actually the one in the room that’s subject to a damage claim? Who’s to say that mattresses were not switched between rooms by tenants or the agent? Who’s to say that either set of pictures taken even relate to the same room?

I have asked myself whether I would have joined the trade associations at all and put my business at risk in this way if I were a student landlord. However, if the best way to advertise to students was to be a member of the trade associations what choice would there be?

I would be very interested to hear what Inventory Clerks, Letting Agents and other student landlords feel about this case.

 


Share This Article


Comments

12:01 PM, 12th December 2011, About 13 years ago

As the second member of the Facebook group I would like to state what my intentions were...we created the group when we were faced with charges for damage that had been in the house when we arrived. (These charges have been removed). Our intention was simply to share information between our housemates and other Birmingham students to see what was the best way to proceed. I personally have never wished to criticises Campbell Property as a company, simply find a way of resolving our issues. We have tried our upmost to delete any comments we feel are unfair to Campbell or are not useful to other members, for example posts naming and criticising members of staff have been deleted. You will also see many posts from myself and Scott asking people to post useful comments and info, not to slate the company.
I apologise if comments from neutral parites, or even those opposing us were deleted. I was not aware of this and do not understand the need-surly we are all adults and can take the criticism/advice others are trying to give us?
The main point of me saying this is to apologise for any comments that are petty, unhelpful, slanderous or unresearched on the group. This was never our intention. We didn't want to bring this company 'to its knee's', simply support each other in a time of confusion.

13:24 PM, 12th December 2011, About 13 years ago

From the creator-
I am not too sure what to make of this...I would like to know where you have got this information though because I can tell you for a fact that half of it is very far from the truth.

I have picked out several quotes where it is incorrect:

1) "The disputed bill for the soiled mattress has escalated to the point where a Facebook page has been created to solicit more complaints against the letting agent" - That is not why the group was made, as I am not even aware of this 'soiled mattress'. It was created due to a lot of unhappy customers wanting to discuss their potential options.

2) "People thought to be posting in defence of the agent have been blocked from posting and had their posts removed" - I don't even know where this has come from, if you had actually read/ visited the group before this article you would have read the part in the information section that says..

"For anyone who feels they have been treated unfairly by Campbell Property.

Hello All, Just a note to say. This group is not intended for slanderous reasons and anyone writing comments that can cause problems will be removed. The intention of this group is for everyone to say what their experience is been and why they are dissatisfied. Please do not target individuals in the company or say "I am going to tell everyone not to use them". This is only because if Campbell sees this, myself or anyone could end up being sued. Please continue to post what has happened. ....Also note I have confirmed with legal advice that if you are going to make a stand (Which I encourage you do), as far as they can go is for them to take you to court to pay what you owe.

Thank you."

13:25 PM, 12th December 2011, About 13 years ago

So for you to say that people posting positive things have been removed or that if we don't like what they are saying, they are simply blocked/ removed, is outrageous. It is in fact the opposite. The group is there for everyone to state factual things about their experiences, anyone who is bad mouthing them is warned and then removed as we aren't out there is bad ruin Campbell Property, more to make sure that they are not unjustly charging students whatever they like to complete jobs.

13:26 PM, 12th December 2011, About 13 years ago

For all the commenter’s above who have read this article and got the wrong end of the stick, please visit the group and read what the students are putting and views some of their concerns. This is not a group of 'Disgruntled students" who are lashing out and trying to destroy a company, it is in fact a group of students who are sharing their experiences in the view that Campbell Property are treating everyone unfairly.

I did not create this group to bring an "established business to its knees without a fair trial", that is not our intentions nor will it ever be. In Victoria's statement she says "We do, to my continued frustration, make mistakes!" - Victoria it is not that we feel you have 'made mistakes' more that feel that the charges and things that we are being charged for are A) Unreasonable and B) Unjustly high charges. I must stress that we are not intending to slate the company in anyway which is why all the above has been implemented. Everytime anyone posts I read the post and make sure it is not slanderous, we make sure every quote is fair and factual and anytime anyone joins with intentions other than to provide that factual information they are removed. With regards to the other letting agents being removed, we removed them if they start to 'advertise' and promote their own agenda as we don't feel it fair on Campbell Property to allow other Letting Agents to try and advertise on Campbell's downfalls.

Please feel free to visit the group.

Thank you,

Scott

15:40 PM, 12th December 2011, About 13 years ago

what an emotive subject, there are some reputable review sites for letting agents that are independent, for agents to have reviews posted, cant speak for all sites however all reviews posted on agent-tracker.co.uk are verified first and give agents the opportunity to answer.

Mark Alexander - Founder of Property118

16:14 PM, 12th December 2011, About 13 years ago

Thanks for commenting Amanda, I have just published this related article which question the defamation issues that can arise from review based websites http://www.property118.com/index.php/is-the-property-industry-at-risk-of-defamation/21933/

Mark Reynolds

16:36 PM, 12th December 2011, About 13 years ago

Hi Jessica - we were posting on the group in an effort to get some clarity on the issues as well as giving a view. After we posted about what we do for the fee's we charge we are no longer able to get into the group? For info we were posting under carolepierce

Personally I am not interested in supporting either side - more we wanted to get an objective view

Regards

Mark 🙂

16:41 PM, 12th December 2011, About 13 years ago

I WILL LEAVE A FINISHING COMMENT HERE, IT'S MONDAY, I'M QUITE SURE VICTORIA CAMPBELL HAS E-MAIL I'M SURE SHE WOULD BEING A BUSINESS WOMAN HAVE BEEN INTERESTED IN THE COMMENTS ON THIS PAGE? I ASKED FOR A FACE TO FACE MEETING TO SORT OUT OUR QUERIES REGARDING KATIE'S CHARGES, WOULD YOU NOT IF IT WAS YOUR BUSINESS POST A RESPONSE TO SAY YES I WOULD BE HAPPY TO SPEAK WITH YOU AND KATIE TO SORT OUT THESE PROBLEMS???? WELL I THINK ANYONE WATCHING THIS STORY UNFOLD WILL SEE WHAT BOTH STUDENT AND GUARANTOR ARE UP AGAINST? ....................... AND STILL WAITING......................................

16:41 PM, 12th December 2011, About 13 years ago

I would like to back Scott up on one point here - the agent which was posting in the group had their posts removed as they were offering little in my opinion, just advertising their own company.
The page admin was quite right in removing the posts from this agent, who seemed keen on capitalising on Campbell's mistakes and taking their customers....although it wouldn't exactly pain me to see this happening, this isn't what the group is about.

16:46 PM, 12th December 2011, About 13 years ago

Hi, this is actually just a comment from Scott that I have posted on here on his behalf, I will have to ask him about this issue as I personally have not blocked anyone from using the group. Please bear with me-I'm sure he will have a response.

1 2 3 4 5 6 7 8 9 10 11
Landlord Tax Planning Book Now