Under our Conditions of resolution and by choosing to use our resolution service the parties understand that:
- the resolution outcome is final and binding
- all evidence will be considered even if it is not specifically referred to in the resolution outcome
- awards can only be made up to the deposit amount
Any landlord who believes additional compensation is owed which exceeds the deposit will need to consider taking independent legal advice.
1.1 Check-in and check-out reports
The check in/out reports will be given more evidential weight if they have been viewed/signed by the tenant or conducted by an independent inventory clerk. If there is any doubt about a report’s independence, the party relying on it should set out why they believe it is independent. If the report has not been seen/signed by the tenant, the member should explain why not and provide evidence that the tenant was given the opportunity to comment and make any amendments in a reasonable time.
1.2 Photos/video evidence
It is best practice for reports compiled by a landlord/agent to be signed by the parties confirming the detail is factually correct. Where unsigned, the report will be relied on where it is clear the tenant received the report, had the opportunity to comment and make any amendments or is supported by other evidence e.g. photographs.
1.3 Invoices/quotations/estimates
When the evidence supports the landlord’s claim for compensation and the tenant is found responsible for reasonable costs the amount claimed will be assessed.
Although a quotation/estimate is not evidence of actual costs for work carried out, like invoices are, they help the adjudicator decide on how reasonable the claim is and make sure that the award is in proportion to the breach.
NOTE: Where the evidence provided shows the condition of the property at the start and end of the tenancy, and they are out of line with the move in and move out dates, the adjudicator may be unable to rely on this evidence if the time difference is too great.
2.1 Landlord’s claim
The landlord is responsible for providing the resolution team with a detailed claim for each issue before the resolution process. Without this, the case assessor/adjudicator will review the parties’ statements and evidence, and where unclear, all decisions will be made on a balance. In these circumstances, the landlord’s ability to challenge the resolution will be limited.
2.2 Landlord’s responsibility
While the deposit is paid to the landlord by the tenant, the landlord is responsible for protecting it and proving, with evidence, any entitlement to all or part of the deposit when the tenancy ends. The deposit remains the tenant’s money throughout.
Where no deposit has been taken, the landlord is also responsible for proving, with evidence, that the tenant is responsible for compensating the landlord.
2.3 Tenant responsibility
The tenant is responsible for returning the property in the same condition and standard of cleanliness as when they moved in, allowing for fair wear and tear. The tenant must also respond to the landlord’s claim and provide relevant evidence to show they have complied with their responsibilities under the tenancy agreement.
2.4 Agreed/retained amounts
Where the landlord has withheld part of the deposit and neither party has confirmed what it relates to, it will be deducted from the final award made to the landlord.
2.5 Joint and several liability
Each tenant, who has signed the tenancy agreement, is jointly and severally responsible for any breaches. Joint tenants are responsible for accepting liability on behalf of tenants, and for returning any returned amount between tenants.
2.6 Issues not relating to the settlements claimed
The case assessor/adjudicator will review all the evidence but only refer to the specific issues claimed. Any unrelated issues will not be dealt with.
Several factors are taken into consideration when making awards and these include:
3.1 Fair wear and tear
This is deterioration that happens over time, through normal use.
An adjudicator will review all the evidence to assess the extent of deterioration and if any exceeds normal use, this will be the tenant’s responsibility. Where the landlord is entitled to be compensated, awards will be made based on what is reasonable and include an allowance for fair wear and tear.
3.2 Betterment
A tenant is only responsible for damage that exceeds fair wear and tear and on a like-for-like basis. A landlord should not end up in a better position than they were in at the start of the tenancy, at the tenant’s expense, e.g. full redecoration of an area which was not newly painted at the start or cleaning to a better standard. Any award will consider the condition/cleanliness of the item/area at the beginning of the tenancy and the length of the tenancy.
3.3 Proportionality
The adjudicator will make awards that reflect the extent of the actual damage caused by the tenant. Where a claim may be for the full replacement cost, if the damage is relatively minor or does affect the item’s use, the claim is likely to be reduced.
3.4 Unfair contract terms
Paragraph 62 (4) of the Consumers Rights Act says that “A term is unfair if, contrary to the requirement of good faith, it causes a significant imbalance in the parties’ rights and obligations under the contract to the detriment of the consumer”.
This is supported by the CMA Guidance which clarifies that a clause must be considered on its facts, its fairness, and reasonableness.