Serving a Section 8 but tenant has paid part of the rent using deposit

Serving a Section 8 but tenant has paid part of the rent using deposit

15:02 PM, 6th February 2016, About 8 years ago 22

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Not having had experience with evicting a tenant I would really appreciate some advice – Serving a Section 8 but tenant has paid part of the rent using deposit

Briefly, I have a tenant who missed his £700pm rent payment in December 2015 – when (eventually) I made contact with him, he said he was leaving the flat at the end of the month and I should take the money out of his £1,000 deposit – I told him that I would need him to sign something to that effect. He signed a note to say I could deduct money for the period 1 Dec to 1 Jan ’16 (£700).

He did not move out when he said. After a face to face meeting again, he promised to move out after a week which he didn’t. Then it was the following week etc. etc.

He paid £400 direct into our bank account in January, still promising to move out. In fact, he allowed a couple of viewings to go ahead on Saturday 23rd January so we could re-let the property – we agreed with one of the couples that they could move in on 6 Feb (today!) – the agent credit checked and referenced them etc. and we were ready to go.

On Saturday 30th January, my husband called him to check all was well and to find out what time he was leaving to arrange the key handover etc. The tenant told him he was not moving out afterall and we would have to take him to court to get him out then hung up. We have had no contact with him since then – we don’t want to be accused of harassment.

The new tenants had to be told they couldn’t move in.

On Monday we contacted Landlord Action and they were going to serve a Section 8 and a Section 21 for us. We have completed all the paperwork and given them copies of the AST, rent deposit registration (TDS).

Landlord Action have now said we should only serve a Sec 21 as he’s not 2 months in arrears – he did not pay his rent on Monday 1st February either.

I am wondering therefore how arrears are worked out – if a tenant pays only part of a monthly rent for 2 months – is he in fact 2 months in arrears or not? Do we have to wait until the arrears total £1,400 regardless of how long that takes to accumulate?

Also, would our case be stronger as he gave notice and then didn’t actually go? Landlord Action have said potentially a court could rule in his favour and we might have to pay thousands of pounds. I am sure this is their standard stuff to say but why on earth would a court rule in his favour? The flat is immaculate and we have never had any complaints from him about anything.

He signed his tenancy agreement on 1 May 2015.

The gas safety certificate is due soon too!

Help please!

Thank in advance.

Sally


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Comments

Kate Mellor

13:27 PM, 8th February 2016, About 8 years ago

I agree with the above comments regarding the deposit being considered as rent paid. Unless you have applied to the deposit scheme to have the deposit paid to you as arrears & this has been approved by the tenant and the money paid to you (which you haven't done), then the tenant is still in arrears for December 15.

Additionally, it is my understanding that a section 21 (or accelerated possession order) has a tick box which allows you to select whether you are seeking to reclaim rent arrears and costs from the tenant(?), so is it necessary to serve both? - worth checking.

If the deposit is protected and the notice served correctly I can see no reason why a judge would find in the tenants favour on a section 21 notice. I therefore agree that you should certainly go over the head of the person who's been dealing with this and speak to someone more senior.

Sorry you're having such a bad time with your tenant - especially losing a new tenant into the bargain...best of luck.

Sally Tattersall

13:45 PM, 8th February 2016, About 8 years ago

Reply to the comment left by "Mark Alexander" at "08/02/2016 - 10:21":

Hello Mark, I have been in touch with the paralegal dealing with the case and have asked that Paul contacts me. She has not responded yet!

Thank you everyone for your help -

Landlord Action are placing a huge emphasis on whether or not the deposit has been dealt with properly!

The money is there and we have a TDS certificate and also gave him the paperwork that goes with it - prescribed information etc.

I don't know what else we could have done really.

Sally Tattersall

14:26 PM, 8th February 2016, About 8 years ago

Reply to the comment left by "Kate Mellor" at "08/02/2016 - 13:27":

Thank you Kate - it really is a horrid situation to be in especially as he was the first tenant there after a complete refurb with everything brand new and of good quality. Just hope he doesn't trash it.

TheMaluka

10:20 AM, 13th February 2016, About 8 years ago

Reply to the comment left by "Mark Alexander" at "07/02/2016 - 22:10":

Distress for Rent Act 1737, section 18, (Double rent)
18 Tenants holding after the time they notify for quitting, to pay double rent. And whereas great inconveniences have happened and may happen to landlords whose tenants have power to determine their leases, by giving notice to quit the premisses by them holden, and yet refusing to deliver up the possession when the landlord hath agreed with another tenant for the same: from and after the said twenty fourth day of June one thousand seven hundred and thirty eight, in case any tenant or tenants shall give notice of his, her, or their intention to quit the premisses by him, her, or them holden, at a time mentioned in such notice, and shall not accordingly deliver up the possession thereof at the time in such notice contained, that then the said tenant or tenants, his, her, or their executors or administrators, shall from thenceforward pay to the landlord or landlords, lessor or lessors, double the rent or sum which he, she, or they should otherwise have paid, to be levied, sued for, and recovered at the same times and in the same manner as the single rent or sum, before the giving such notice, could be levied, sued for, or recovered; and such double rent or sum shall continue to be paid during all the time such tenant or tenants shall continue in possession as aforesaid.

That said (in 1737) since you cannot get any rent you are unlikely to get double rent. It does however accelerate the 'Two months in arrears' situation and allow a section 8.

Michael Barnes

11:41 AM, 13th February 2016, About 8 years ago

Reply to the comment left by "David Price" at "13/02/2016 - 10:20":

Does the double rent due count toward being 2 months in arrears?

I had always assumed not.

TheMaluka

12:23 PM, 13th February 2016, About 8 years ago

Reply to the comment left by "Michael Barnes" at "13/02/2016 - 11:41":

This is a little problematical as the Distress for Rent Act 1737 predates section 8 and obviously does not take it into account. It needs a test case, any volunteers?

Romain Garcin

12:53 PM, 13th February 2016, About 8 years ago

The Distress for Rent Act and section 8 cannot apply at the same time so there is no question as to whether 'double rent' might count towards rent arrears.

Section 8 applies when there is a tenancy.

The Distress for Rent Act applies after a tenant's notice to quit has taken effect, i.e. when there is no longer any tenancy.

Mark Alexander - Founder of Property118

13:17 PM, 13th February 2016, About 8 years ago

Reply to the comment left by "Romain Garcin" at "13/02/2016 - 12:53":

Thanks for joining this thread Romain.

Please explain (again!) how mesne profits works.

I know you've done so before but I consider you to be an expert of such matters and the explanation really ought to be on this thread too.

Thanks in advance 🙂
.

Romain Garcin

15:32 PM, 13th February 2016, About 8 years ago

Reply to the comment left by "Mark Alexander" at "13/02/2016 - 13:17":

Hi Mark,

Well, essentially mesne profits are the compensation the landlord is entitled to from an unauthorised occupier.

For residential landlords this applies mostly whenever the tenant does not vacate after the end of the tenancy, i.e. after the expiry of a notice to quit given by the tenant.
In such cases the value is equal to the rent previously payable. The Distress for Rent Act even allows the landlord to claim twice the previous rent as a deterrent.

TheMaluka

17:38 PM, 13th February 2016, About 8 years ago

Reply to the comment left by "Romain Garcin" at "13/02/2016 - 12:53":

An interesting point Romain. If a tenant gives notice and then stays is he a squatter since he no longer has a tenancy? And if so is he now committing a criminal offence?

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