Contact us today 0844 980 0290

Legal expert gives his opinion on tenancy deposit protection and 'bias' towards tenants

21 September 2009

TDS, Evidence, and Bias

We often hear allegations that tenancy deposit protection schemes are biased towards tenants. This is part conceals a fundamental misunderstanding of the nature of a deposit.

The tenant’s deposit belongs to the tenant and continues to do so until such time as the landlord becomes entitled to make reasonable deductions from it. Therefore the default position is that all the deposit should be returned to the tenant unless the landlord demonstrates that the deposit should be sent to them. This is not bias but the correct application of the law.

It is for landlords to show that the tenant’s deposit or parts of it should be passed to them by providing evidence of the tenant’s breaches of the tenancy agreement. This should be weighed on the balance of probabilities but the landlord will need to provide solid evidence that the loss or damage has occurred and that the valuation placed on it is realistic. Where this is not provided or the tenant provides evidence to the contrary then the money should be returned to the tenant.

In summary, the various schemes are no more biased than the Courts. They start from the proposition that the money belongs to the tenant and require the landlord to show that it should be given to them. Where insufficient evidence of that proposition is provided then the money will be returned to the tenant.

Accusations of bias toward tenant should perhaps be viewed as an admission that the landlord could not make a strong enough case. Looking at the statistics it can be seen that the schemes make awards almost equally to both parties. Given that they should be starting from the premise that the money is the tenant’s this shows that landlords do relatively well from scheme adjudications.

David Smith, PainSmith Solicitors

http://painsmith.wordpress.com/2009/09/09/tds-evidence-and-bias/ext

http://www.painsmith.co.uk/ext 

 

Ellie Irwin
mydeposits.co.uk
E: ellie.irwin@mydeposits.co.uk
T: 020 7840 8925

NOTES TO EDITORS:

About mydeposits.co.uk:

Mydeposits is the trading name of Tenancy Deposit Solutions Limited, a company jointly owned by the National Landlords Association and HFIS plc T/A Hamilton Fraser Insurance (the Scheme Administrator) to deliver an insurance-backed tenancy deposit protection scheme under contract from Communities & Local Government. Landlords and letting agents wishing to use this scheme are required to register with the Scheme Administrator. They can find out more and register by visiting www.mydeposits.co.uk. Registered members of the Scheme are able to protect and unprotect deposits at the beginning and end of tenancies. Fees are tax-deductible. In the event of a dispute at the end of the tenancy agreement, both parties are offered access to alternative dispute resolution (ADR). This procedure will be evidence-based, relying on documentation and records.

Date: 
Mon, 2009-09-21

Press Releases

A behind the scenes look at deposit disputes

READ »

Landlords given more time to protect deposits

READ »

Deposit Protection a step closer for Scotland

READ »

my|deposits Reduces Fees for SAFEagent

READ »

New Landlord Checklist for Tenancy Deposits

READ »

Disputes avoided with advice from my|deposits

READ »

Average tenancy deposit up by £125 in a year

READ »

New AST threshold for deposits in Wales

READ »

London letting agents at disputes workshop

READ »

my|deposits bids to operate in Scotland

READ »

Landlords join my|deposits in record numbers

READ »

"Dispute-proofing" your new tenancy

READ »

Revealed: Leading causes of deposit deductions

READ »

Members praise benefits of using my|deposits

READ »

New my|deposits website unveiled

READ »

Students: Get your deposit back this summer

READ »

Dispute Resolution Guidelines released under TDP scheme co-operation

READ »

New letting agents join my|deposits

READ »

£1 billion worth of deposits and counting

READ »

my|deposits welcomes new tenancy deposit protection laws in Scotland

READ »

More Letting Agents using my|deposits

READ »

my|deposits announces one million deposit protections

READ »

Early birds save as VAT increases

READ »

my|deposits praised at CEDR Awards

READ »

How landlords and tenants can avoid a deposit dispute

READ »

my|deposits nominated for prestigious international award

READ »

Deposit protection required under new AST threshold

READ »

my|deposits launches back to uni guide for students

READ »

my|deposits unveils wear and tear guidelines for landlords

READ »

Avoid tenancy deposit dramas with help from my|deposits

READ »

CEDR Solve join dispute resolution panel

READ »

Countrywide unveils new agreement with my|deposits

READ »

Landlords improving success rate in tenancy deposit disputes

READ »

Guide for 'virgin landlords' launched by mydeposits.co.uk

READ »

TDS pricing: agents still out of pocket

READ »

Deposit protection price war hots up

READ »

mydeposits.co.uk price freeze

READ »

Deposit protection price war underway

READ »

Landlords turning to video evidence

READ »

Mandatory tenancy deposit protection coming to scotland

READ »

Legal expert gives his opinion on tenancy deposit protection and 'bias' towards tenants

READ »

How to keep your house in order: top tips for student renters

READ »

Tenants still 'clueless' about deposit protection

READ »

Urgent statement: "mytenancydeposit.co.uk"

READ »

Tenants take it all (…well most of it)

READ »

New edition of scheme rules

READ »

mydeposits will stick by all letting agents

READ »

Eat, drink and avoid losing your deposit

READ »

Landlords must have proof to challenge tenancy deposit disputes

READ »

Overseas students don’t know about deposit protection

READ »

Tenants losing £15k per month in deposits

READ »

Tenancy deposit protection gets cheaper with the launch of mydeposits lite

READ »

Students: make sure this year’s deposit is protected

READ »

Free membership renewals for tenancy deposit protection

READ »

Landlords: you don’t have to lose control of your deposits

READ »

Tenancy Deposit Protection means 86% of tenants get some or all of their cash back

READ »

TDSL launches a step-by-step guide for landlords

READ »

More than 3 out of 4 landlords have yet to register for Tenancy Deposit Protection

READ »

Landlords embrace Tenancy Deposit Protection

READ »

Landlords get prepared, but only 15% of tenants are aware of the new regulation designed to protect them

READ »

UKALA Recommends Tenancy Deposit Solutions Ltd to its Members

READ »

Copyright © Tenancy Deposit Solutions Ltd trading as mydeposits

Web design by Coast Digital