Don't Miss the New Deadline for AST Deposits

New rules on the protection of tenant deposits for certain assured shorthold tenancies (AST's) and landlords have until June 2015 to comply.

From 6th April, 2007, all landlords in the UK were required by law to register their tenants' deposits with an authorised protection scheme and provide their tenants with these details. The sole purpose of the introduction of these rules was to safeguard the tenancy deposit and provide an alternative dispute resolution for the potential disputes over returning the deposit to the tenant.

Failure to comply with these rules resulted in landlords experiencing difficulty in gaining back possession of their properties and also facing potential fines, which were often three times the value of the deposit.

These rules have caused some confusion in cases which have come before the courts where the deposit was received before 6th April, 2007; famously documented in the case of Superstrike Limited v Rodrigues [2013] EWCA Civ 669. The Court of Appeal gave the tenancy deposit rules an unexpected retrospective effect and refused to allow the landlord to enforce its claim for possession because it had failed to protect the deposit.

The Deregulation Act 2015, a piece of legislation which came into effect on the 26th March 2015, aimed to simplify the rules around tenancy deposits and provide clarity where recent court decisions have caused immense confusion. In order to ensure that you comply as a landlord, you need to be aware of the changes and clarifications introduced by The Deregulation Act 2015.

If you are experiencing any difficulty with your tenant or landlord, contact our landlord solicitors on 0845 603 0708 for advice.

National Solicitors

Landlord Solicitors