5 Top Tips for Landlords around the Maze of Tenancy Deposit Law!

1. The rules of the Tenancy Deposit Law are complex and if you fall foul of these you could be liable to the tenant for up to 3 times the amount of the deposit. Check that a deposit has been taken under the Tenancy. The rules only apply if a deposit is taken, so payments in advance of rent may not constitute a ” deposit” and so the rules will not apply.

2. Check that your tenancy is an assured shorthold tenancy (AST). Some tenancies don’t qualify as an AST, for example company lets or where the rent is in excess of £100,000 per annum.

3. If you have taken a deposit before 6 April 2007 and a new statutory tenancy arises after the first contractual tenancy ends, you have until 23 June 2015 to comply with the new rules under the Deregulation Act 2015. This Act came into force on 26 March 2015, and gives the landlord an extended time to comply with registering the deposit and service of prescribed information within 14 days of receipt of the deposit in the above situation.

4. If after 6 April 2007 you have taken a deposit under a first contractual tenancy and you did comply initially with the rules and there are no changes to landlord, tenant, property, deposit scheme and the premises remain the same in relation to that tenancy, then if a new statutory tenancy arises after the first tenancy, there is no need to re-protect the deposit in those circumstances.

5. But beware if you did not comply with initial registration and service of prescribed information concerning the first contractual tenancy, because you will fall foul of the Statute if you received the deposit after 6 April 2007 and did not comply with Statute – sanctions will apply and damages could be awarded of up to 3 times the deposit. Also beware if you have bought a property, subject to this situation.

The tenancy deposit law is very complex – contact us for expert advice and guidance.

Employment Law Developments

30/06/14 – Employees rights to request flexible working time after 26 weeks

01/10/14 – Rights of fathers and partners to take time off for up to 2 antenatal appointments.

05/04/15 – Rights of mothers, fathers and adopters to take shared parental leave within one year after birth or adoption.

Do not fall foul of these provisions – there could be statutory penalties and discrimination breaches.

Don’t hesitate to contact me via this link if any of these areas are of interest to you.