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I have a tenant who has surrendered tenancy 3 months into a…

I have a tenant who...
I have a tenant who has surrendered tenancy 3 months into a 12 month contract with break clause. They have not found a place I allowed them to stay a further month therefore I have lost out on a months rent further tenant made it impossible for viewings. Legally can I keep deposit as a new tenant has not been found?
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Answered in 7 hours by:
7/31/2013
Thomas
Thomas, Solicitor
Category: UK Employment Law
Satisfied Customers: 7,724
Experience: BA (Hons), PgDip, Practising Solicitor
Verified
Hi

Can you explain the precise circumstances details of the surrender please?

Tom
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Customer reply replied 5 years ago
Tenants verbally confirmed they are surrendering their tenancy; they cannot carry on living at the flat as the couple have broken up.
Hi

Okay, so they told you they wished to surrender tenancy. What did you say next?

Have are you protected the deposit in a tenancy deposit scheme?

Tom
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Customer reply replied 5 years ago
Yes deposit is protected and they are leaving today. They want their deposit returned, however, I have always said if I find a tenant then full deposit will be returned if not then they forfeit their deposit. Am I correct in thinking they ate leaving early then deposit is not due back. I had tried to mitigate my losses by getting agents to market property but tenant made viewings difficult.
Hi

I am on my way to work and will be able to answer at 9 a.m now.

Thanks for your patience

Tom
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Hi

Thanks for your patience.

If the deposit is protected then in the first instance you would have to propose deductions to the tenant. If they did not agree then they would have to contact the tenancy scheme provider to advise that they wish to intiate the scheme’s dispute resolution service.

Really, when they said that they wish to terminate the tenancy earlier than the fixed term, you should state that they can only do this once a replacement tenant has been found and they will remain liable for the rent until this happens. This is because they are effectively breaching the contract, so unless you tell them that you will not enforce the breach then they are still on the hook.

If this is what you did and no replacement was found and they simply vacated then you should certainly be able to claim the rent. You would propose to do so to them now from the deposit together with any other deductions. If they agree then they can tell the deposit scheme to release the deposit to you.

If they don’t agree then they can initiate the dispute resolution process and you can explain what has happened, it should be fairly clear that they have breached the tenancy because you will simply be able to produce the tenancy agreement and confirm that they have left early.

As this is a breach of contract you can claim for your direct loss so that you are put in the position you would have been in had they kept to the contract. This means that in addition to the money you claim from the deposit then you can claim for your fees/expenses in seeking to re-let the property and the rent that you would have earned from them up until the time at which you should have been able to relet the property. You can do this via www.moneyclaim.gov.uk


Please remember to RATE my answer OK SERVICE, GOOD SERVICE OR EXCELLENT SERVICE or above if you are satisfied that you have received the correct legal advice (even if it is not the answer you wanted to hear), otherwise I do not receive any credit for answering your question.

If you are not willing to rate my answer as OK SERVICE, GOOD SERVICE OR EXCELLENT SERVICE then allow me to assist further by replying asking what clarification you require rather than rating my answer at levels below.

If you wish for me to provide you with further guidance on any question you may have in the future then please submit a further question to the board requesting me either by my profile or by marking your question. “FAO Tom”.

Kind regards,


Tom
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Is there any further information you require?

I just want to ensure that you are satisfied, so please let me know if you have any further queries on your position. Please remember to RATE my answer, if you are satisfied.

Kind regards,


Tom
Ask Your Own UK Employment Law Question


Is there any further information you require?

I just want to ensure that you are satisfied, so please let me know if you have any further queries on your position. Please remember to RATE my answer, if you are satisfied.

Kind regards,


Tom
Thomas
Thomas, Solicitor
Category: UK Employment Law
Satisfied Customers: 7,724
Experience: BA (Hons), PgDip, Practising Solicitor
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Thomas and 87 other UK Employment Law Specialists are ready to help you
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Customer reply replied 4 years ago
I just wanted to add the tenants when vacating refused to hand back the keys, they advised they will only do this if I signed to say the flat was clean and tidy, further they advised that that they want it in writing that I would return the full deposit; only if I did this would they return keys. Due to no viewings whilst they were in the property I signed to say if property is let out 2 weeks from 31st July then they would get their full deposit back. Tenant moved in on 15th day. Where do I stand?
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Customer reply replied 4 years ago
I do not understand your answer; being under duress to say deposit will be returned am I now bound my signing that piece of paper.

Further I said in the signed paper that The deposit will only be returned IF a tenant is found within 2 weeks from 31st July 2013; new tenant moved in 15th August 2013.

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