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We have rented out a property through a real estate agency

 
WCLawyer's Avatar
  • Answered by:WCLawyer
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Customer Question

We have rented out a property through a real estate agency four months ago.
The new tenants have paid the R 630.00 deposit into the agency’s account, however the estate agent has yet to transfer it into our account. We had numerous correspondence with them, phone calls etc, they kept finding excuses ( transfered to wrong account, but they will reverse and transfer to us) and promising that it will be done “later today or tomorrow”. But to date, tomorrow never comes. All indications are that they do not wish to pay us the deposit. What would be the best way to recover it? As per the real estate agent’s lease agreement, the owners must keep the deposit into an interest generating trusting account.

Thanks

 

Optional Information:
Province: gauteng

Already Tried:
Spoke with the MD and a few agents, got several promises to transfer the funds, no luck.

Submitted: 381 days and 11 hours ago.
Category: South Africa Law
Value: R 247
Status: CLOSED
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Expert:  WCLawyer replied381 days and 9 hours ago.

Good day.

This is an info request to assist you better. Please continue on this thread.

Just to be clear: the contract puts the obligation to invest the money on the owner, not the agency?

Customer replied381 days and 8 hours ago.

Hi,

Thanks for feedback.
Correct.

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Expert:  WCLawyer replied381 days and 7 hours ago.

Is this a franchise?

Customer replied381 days and 7 hours ago.

no, rather small agency.

Accepted Answer

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Expert:  WCLawyer replied381 days and 7 hours ago.

I suggest that you inform the tenant that the agency is refusing to release the deposit to you in order to invest it as per the agreement. Send a copy of the letter to the agency as well. Just so that everybody knows what is going on.

Then inform the agency that you are going to lay a complaint at the Estate Agency Affairs Board if they do not release the deposit to you within 7 days and then actually lay the complaint if they don't.

Expert TypeAttorney
Category: South Africa Law
Pos. Feedback: 98.0 %
Accepts: 6728
Answered: 5/5/2012

Experience: L.LB, Civil and criminal litigation, contracts, labour and family law

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