Tenant signs lease then changes mind and situation turns ugly!

by Readers Question

10:57 AM, 18th August 2015
About 5 years ago

Tenant signs lease then changes mind and situation turns ugly!

Make Text Bigger
Tenant signs lease then changes mind and situation turns ugly!

I have an ugly situation on my hands here despite my many years experience in lettings.
Our new tenants (& guarantor) signed an AST last month. After they signed and returned it, a full week later I was informed that they had changed their mind. They had made a partial payment (not even close to what was due) and have been insisting they want this returned.ugly

Now, being a reasonable person I said I would not hold them to the 6 month contract but re-advertise, and then they could pay a daily rent up until a new tenant came in, which happily, happened very quickly.

Despite weeks of negotiation the previous tenant is not in agreement and insists they want all their money back and refuse to pay any rent even though they signed the contract.

They are calling the part payment their deposit. I have tonnes of email correspondence demonstrating our weeks of negotiation, as I was hoping it would all be resolved amicably. As it hasn’t been resolved I took the precaution of sending this small payment to the custodial scheme, but they’ve now realised its four days past the 30 day allocated time to register and want to take me to court.

I have said that’s fine but of course, I’ll be issuing a counterclaim for breach of contract and rent owed. Will the judge automatically make me pay them x3 of this money? I have heard judges look at cases individually and clearly this is not a black and white case!

Any feedback would be appreciated!

Jo


Share this article

Twitter Facebook LinkedIn

Comments

H B

10:42 AM, 30th August 2015
About 5 years ago

Hold your nerve. They signed a contract.

Tell them to stop or you will come after them for all losses incurred by you, including unpaid rent to date. I am sure you can demonstrate losses in the first month at least equal to what was lost.

If this goes to a small claims court, you will almost certainly win. The deposit thing may make it a bit tricky - by placing it with the deposit protection scheme, your position might be weaker, but you could always submit a counter claim.

1 2 3

Leave Comments

Please Log-In OR Become a member to reply to comments or subscribe to new comment notifications.

Forgotten your password?

OR

BECOME A MEMBER

Can I purchase a freehold title AFTER freehold enfranchisement has taken place?

The Landlords Union

Become a Member, it's FREE

Our mission is to facilitate the sharing of best practice amongst UK landlords, tenants and letting agents

Learn More