Deposits the New Defence to Section 21
Following a recent High Court decision the new defence to a Section 21 Notice is none compliance with The Housing (Tenancy Deposits) (Prescribed Information) Order 2007
The decision in Suurpere-v-Nice (2011) confirms that the prescribed information must be complied with and if this is not done landlords could be subject to sanction when before the Courts
The Sanctions
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If a possession claim subject to section 21 of the Housing Act 1988 is issued without the information being properly provided and served, the section 21 notice will be invalid and the claim could be struck out.
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A counter claim can be made, and if the prescribed information has not been provided or if the deposit was not registered, the Court may award 3 times the deposit.
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Ultimately the deposit protection is the responsibility of the landlord and as managing agents you have a duty to comply with the regulation on behalf of the landlord.
What is “Prescribed Information”?
• The minimum information required by statute that is to be given to the tenant on registration of the deposit. This must be as a separate certificate and signed by the landlord and tenant and not part of the tenancy agreement.
• This must be a certificate and it must be sent to the tenant with the proof that the deposit has been registered together with any information provided by the individual deposit scheme.
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