View Full Version : Tenant's died; what happens to deposit held by Agent?
joyce e
16-12-2008, 19:44 PM
the tenant has died with three months left on tenancy, letting agent refusing to return deposit and part of rent (benefit money) wants us to return moneys to the family.What course of action and what legislation can I quote.
jeffrey
16-12-2008, 19:58 PM
the tenant has died with three months left on tenancy, letting agent refusing to return deposit and part of rent (benefit money) wants us to return moneys to the family.What course of action and what legislation can I quote.
1. Was the Deceased the sole T? If not, most of this reply will be wrong!
2. If sole T, the tenancy continues (but it is no longer an AST/SAT- both of these require that the property be the only or principal residence of T, which is sadly no longer the case).
3. Until T's personal representatives are empowered to act [=at once, if they are the Executors whom T named in a Will; or once a Grant of Letters of Administration is issued, otherwise], they cannot terminate the tenancy. If the fixed term is still running at that point, you can nevertheless agree to accept an early surrender (i.e. they pay all rent up to the date on which they remove all T's belongings and hand-back the keys).
4. No deposit or other money should be released until the tenancy ends one way or another. The Agents are YOUR agents- must comply with:
a. the written Agency Agreement, into which you + they entered; and
b. subject to that, your further instructions to them. They have to do what you tell them, not vice-versa!
joyce e
16-12-2008, 20:19 PM
thankyou for your prompt reply. The tenant was the sole tenant.Can I re-let the property or how soon
jeffrey
16-12-2008, 20:41 PM
Can I re-let the property or how soon
Not until existing tenancy ends, one way or another.
joyce e
16-12-2008, 21:21 PM
It Seems We Have Major Problems In That The Family Regard The Deposit As There Own And Supported Are By The Letting Agents Which If They Refuse To Act To End The Tenancy We Cannot Re-let For Three Months Or Claim Our Moneys Owed.what Course Of Action Can I Take.
Many Thanks
Joyce, pay attention to what Jeffrey told you in his point 4 above. The agent works for you, He has to take your instructions. There is no contract between the agent and the tenant's family.
It's up to you if you want to let them walk over you, my instinct would lead me to give some very specific instructions to the letting agent.
Esio Trot
17-12-2008, 08:39 AM
Make sure you give your instructions to your agent in writing.
If they then go against your instructions, you have a slam-dunk case to claim against them, and little defence for them if you took legal action.
joyce e
17-12-2008, 16:23 PM
thankyou for your comments and advice but will still don't no how to proceed
to end the tenancy it seems unless this happens we cannot move on.
regards JE
Tell the LA to explain that until they surrender the keys then the rental is still due. The agent has no rights to give you, or them, the deposit until the tenancy is ended. If they still mess about then as soon as there are two months rent unpaid (practically one month and one day) issue a S8, g8,10 11,
Make your agent work for you, you are the one paying him.
Do not let him or them bully you!
also, since the benefit claimant is dead, they will have to find these funds from their own pockets I presume. That should concentrate their minds.
Lawcruncher
17-12-2008, 17:17 PM
In one sense the fact that the tenant has died does not change the position. The tenancy continues until the fixed term expires unless brought to an end by surrender or forfeiture. The tenancy is now vested in the tenant's personal representatives. If the deceased left a will appointing executors with power to prove, the tenancy is vested in his executors. If he did not leave a will, or left a will not appointing executors with power to prove, it is vested in the Public Trustee until a grant is made to administrators. The personal representatives are not liable to pay the rent except to the extent of the deceased's assets.
If the rent is or beomes overdue you can call on the deposit in exactly the same way as if the tenant were still alive. Once the deposit is exhausted you have a choice if no further rent is paid: forfeit the tenancy or sue the personal representatives.
joyce e
17-12-2008, 18:22 PM
The Keys Have Been Returned, Does This Mean The Tenancy Still Exists.
Also Can We Forfeit The Tenancy Now, Would We Then Be Able To Claim The Deposit.
Regards J E
Good. Now formally accept the keys to surrender the tenancy in writing, get an inspection done and work out how much of the deposit you need to put the place back into order, allow for fair wear and tear. Tell the agent that is how much you want and get him to agree it with the executors. If they won't agree, allow it to go to the dispute service. change the locks, re-let the place.
joyce e
17-12-2008, 18:58 PM
This May Seem Very Hard Hearted But We Were Looking To Claim The Deposit To Cover Our Loss Of Rent Until We Re-let, We Would Then Return The Balance,this Saga Began With The Family Demanding This Deposit For Funeral Expenses. We Were Willing To Offer Them Part Of The Deposit As A Gift But They Have Refused To Talk To Us But I Think The L/a Is Putting The Knife In.
Regards J E
If you have accepted the keys, you have ended the tenancy, you are only entitled to claim what you were owed up to that point, unless there are some conditions in your agreement that say otherwise. Be glad you can go on and re-let now, there are many people who have tenants simply not paying at all and taking months to get out of their properties.
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