Not going to commence tenancy - legal position?

[MrShed]

Hi all, long time no see! Well, I've had a friend ask me a question which I'm a bit rusty on(as I havent been around) so thought I would ask opinions....

My friend recently signed up for a property(well, a room in a property) for a years tenancy to begin 1st of August. Two weeks later, she realised she cant move in so has asked to cancel. Now to my mind, the tenancy obviously hasnt begun, so the most they can charge is the actual cost of reletting, which I reckon is about £150-200. They have said that they will charge her the rent until they find someone, IN ADDITION to a £400 reletting fee. Sounds unfair to me?

She has paid £50 admin fee, £300 damage deposit(which they say they will return) and signed the tenancy - thats it.

Opinions please!

[MrShed]

Bump

[Hobbie]

Shed,

Did your friend sign a AST agreement/contract? If she signed it then yes the agent/landlord is entitled to charge for the remainder of the tenancy or until it is re-let which ever comes first . If not then the agency/landlord doesn't have a leg or stump to stand on.

[callumsgran]

They have 2 whole months to find someone else!
Unfair to charge anything in my opinion, maybe just the original admin fee?
I dont think a judge would be very sympathetic towards the agency in this case
Just my two pennorth

[MrShed]

Hi guys. thanks for your comments. Yes she has signed, but Hobbie I'm fairly positive thats not the case - in order for a tenancy to be binding, you actually have to take occupation.
Any more thoughts?

[Hobbie]

MrShed,

I understand where your coming from, But I've had a similar situation myself, in that I let a flat out, and something not to dissimilar happened, the tenant messed it about, signed the contract with the agent paid the first months rent, then he and she decided not to move in, thus I incurred costs with the agent, the tenants refused to pay relisting fees and agent fees very long story, but to cut it short, I end up filling at court and it was defended, but the judge found that the tenants signature on the agreement was binding to it for the duration or until new tenant was found. Luckily for them within 6 days new tenants was found. I didn't claim costs or anything other than relisting and agent fees in order to "help" them, so I was still out of pocket... was... i STILL am, but thats the business lol

It is viewed that once you sign the agreement and pay the deposit is paid you have took up tenancy.

Far from what you wanted to hear I know , but that is how it happened in my case at least.

[MrShed]

Absolutely, and thanks for sharing that....always very good to hear the actual court responses as opposed to the theory!