Unfair termination fee by letting agent to a private individual?

Unfair termination fee by letting agent to a private individual?

by Readers Question

Guest Author

0:02 AM, 4th June 2024, About 4 weeks ago 5

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Hi, I am a private individual who owns an HMO in the North of England. After a long list of complaints including photographs and video’s documenting the state of said property, which were sent over to said letting agent who just essentially dismissed all the points. I have terminated the contract with the lettings agency.

I did read the small print of the contract BUT and this is a big but, the letting agency never sent me over a contract to sign so therefore no SIGNED contract is in place. This was an oversight on their part clearly and they cannot send me a signed contract.

They are asking for a large amount of termination fees which is in the contract, but as I say it is not signed.

I have appointed another lettings agency that I work with already and have instructed the terminated lettings agency to transfer all documents and follow the process professionally.

They are still ignoring my email replies to the non signed contract and that I am a private individual so I have consumer rights.

What do I do? I am aware there should be a complaints policy in place but they haven’t offered one. I know they have to be signed up to 1 of 3 property redress schemes which they are with Property Ombudsman, but that’s it. Any advice would be gratefuly received.

Thanks,

AL


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Comments

Judith Wordsworth

11:04 AM, 4th June 2024, About 4 weeks ago

You have a contract by performance.

If you didn’t like the clause you needn’t have entered into the contract or negotiated the terms. How long have they been working for you?

I think the only recourse is to either argue that they didn’t perform as required in the contract and supply proof and negotiate a reduction in the termination or argue a breach of contract or pay it and add it to your allowable expenses to reduce your tax 2024-5.

Neil P

11:28 AM, 4th June 2024, About 4 weeks ago

You've been working to the contract, it’s as good as signed.

PH

12:59 PM, 4th June 2024, About 4 weeks ago

Reply to the comment left by Neil P at 04/06/2024 - 11:28
But obviously the agents haven't which is a breach of contract so imo they have no arguments.

Dharmendra Singh

17:36 PM, 4th June 2024, About 4 weeks ago

Judith's advice is golden.

Slim sole

19:18 PM, 4th June 2024, About 4 weeks ago

If is in the contract the fee and you received the contract read it and continued to work with them then they have a valid contract with you even if not signed.
I don't understand your complaints about how the property looks like.
The estate agent doesn't live there, the tenants do.
If the tenant doesn't want to clean, keeps his clothes on a pile on the floor doesn't take the garbage out is not the agents fault.
You can give notice to the tenant not the agent.
I have tenants who pay over the market rent in a newly refurbished flat but they live like in a garbage tip, you can barely open the door as there are clothes piled up in the floor, you can't move through the flat as it us a hoarding flat.
Law says you can't tell them how to live.
Either you accept it and get the rent over market price or give notice get a better tenant on a lower rent.

The agent doesn't dismiss you, probably they can't tell the tenants how to luve. And if you don't like the way the tenant treats your property you still can't get them out earlier than 6 months

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