A recent Howells case went to the Court of Appeal which strengthened tenants’ rights and made the obligations under the tenancy deposit scheme more onerous on private landlords.
The Court held that a tenancy deposit paid to a private landlord prior to the introduction of the statutory tenancy deposit scheme in April 2007 still needed to be protected in the scheme, as the fixed term expired after the scheme was introduced.
The landlord’s failure to do so not only meant he was unable to evict the Howell’s client under the usual procedure but that he has laid himself open to the tenant claiming up to three times the deposit as compensation.
Until more cases are heard in the higher courts or new legislation is introduced it is only possible to speculate on the wider implications but what is clear is that the case has huge implications for all tenants and landlords in the private sector renting.
For full details of the case and its implications please see the Adviser Article.