guarantor

[mrxxxmas]

please help, my father in law, stood as guarantor for his son, on a rented property, he had to re-sign each twelve months, and did so twice, second time ending 16th Jan this year, they didnt come round for him to re-sign again, to continue contract, in the contract it states "term: 12 months"
now his son hasnt payed his rent for months, totaling around £2,500 which they are trying to claim from my father in law, firstly is he now free from this claim, as it's two months since the term finnished, and secondly, is he liable for any payments up to 16th Jan

thanks
mrxxxmas

[blacksheep1979]

he will be liable for the rent before the contract ended and also possibly for everything since if the contract turned to a rolling one since the end of the 12 months.

[rosysparkle]

It appears that the fixed term tenancy is now a statutory periodic tenancy, and your father-in-law's obligation as guarantor almost certainly still stands, both for the time before the end of the fixed term and now. Our standard guarantor agreement states

This Guarantor Agreement refers to the current tenancy being undertaken and any extension or renewal of that tenancy.

Unfortunately, this is what being a guarantor for someone can entail. Your father-in-law is liable for the rent.

Are the agents/landlord actively trying to evict the tenant? Is your father-in-law in touch with his son?

[mrxxxmas]

thanks blacksheep,
as far as i know, he signed the contract on 16th Jan 2005, but had to re-sign 16th Jan 2006, they never came to his house to to get a new contract signed this year, and it does state term: 12 months, no mention of rolling contrac, should they not have tried to claim from him whilst the contract was currant, rather than letting it lapse? how long can a person be responible for some one else, after contract finnished.

mrxxxmas

[mrxxxmas]

no sorry rosysparkle, didnt see your post til after i wrote that one, he had a big bust up with his son, not spoken for about 8 months now

mrxxxmas

[mrxxxmas]

he also said, that at the time of the bust up, he wrote to the agents, and told them that he no longer wishes to stand as guarantor and would they contact him, they now say they didnt receive letter

mrxxxmas

[rosysparkle]

Unfortunately he is still liable for the rent, and the guarantor agreement can't be rescinded if it has the same terms as the standard one that we use, so even if the agents did receive the letter, the agreement will stand.

Is the son still living in the property and running up rent arrears?

[mrxxxmas]

unknown, i never really have spoken to him, and his father hasnt since bust up

mrxxxmas

[Glenn UK]

as usual it would turn on the terms of the specific contract assuming the contract is lawful.

It is always best to see exaclty what was sigend and whether there are any clauses which give them the right to roll the contract over.

I dont know about tennancy contracts specifically but i would also seek advice from CAB, since as much as things are often written in contracts, its not unusual for them to be uneforeceable (as the banks and CC companies are finding out).

So as much as i am not disputing what has been posted by Rosysparkle i would check the legality of any clauses which give the other party rights to act like this. Edit If others know for a fact that these terms are lawful then i would be please to know so i dont give crap advice again.

JMHO

glenn

[mrxxxmas]

shall i get the contract and scan it in?
mrxxxmas

[Glenn UK]

if you wish, i was trying to make sure that you/fatherinlaw had actually got the contract and had read the terms.

I would agree with rosy if the contract is lawful then you cannot simply rescind something like this because you fell out with a party its one of the potential issue of going guarantor for someone.

Glenn

[rosysparkle]

I agree with Glenn that your father-in-law should take advice.

[mrxxxmas]

ok will scan, it in, and try to post, give me about half hour
and
thanx
mrxxxmas

[rosysparkle]

Originally Posted by mrxxxmas

shall i get the contract and scan it in?
mrxxxmas

Yes please, if you can. I won't be online again until later this evening, but I'll check the thread when I get home.

[mrxxxmas]

is anyone else having trouble with the site, or is it just me

[Glenn UK]

Originally Posted by mrxxxmas

is anyone else having trouble with the site, or is it just me

nope its just you!!!








only kidding i am too.

glenn

[mrxxxmas]

ok scanned in, now how can i attach, or import?

mrxxxmas

has it changed on here, i've put attachments on here before

[johnhowell]

Originally Posted by rosysparkle

It appears that the fixed term tenancy is now a statutory periodic tenancy, and your father-in-law's obligation as guarantor almost certainly still stands, both for the time before the end of the fixed term and now. Our standard guarantor agreement states
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Unfortunately, this is what being a guarantor for someone can entail. Your father-in-law is liable for the rent.

Are the agents/landlord actively trying to evict the tenant? Is your father-in-law in touch with his son?

I thought that a AST turned into a statutory periodic tenancy if the rent was continued to be paid and received by the agent/LL at the time the original agreement ended. The son has not paid the rent for a period of months before the original agreement ended, so has breached the contract terms. So would the guarantor only be liable for the unpaid rent upto the agreement end date? When would a guarantors' liability end if it kept on rolling over? If a letter does not end it how do you end it?

John

[rosysparkle]

A fixed term tenancy becomes a periodic if not renewed on expiry, the fact that the rent is unpaid doesn't prevent the periodic tenancy coming iinto effect.

A guarantor's agreement ends when the tenancy (the original term plus any extensions, whether fixed term or periodic) ends.