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Update | Landlord and tenant

Following up on her 
previous update on the subject, Tessa Shepperson uncovers a latent pitfall for landlords who fail to comply with the new tenancy 
deposit rules

30 July 2012

After my last article on the new tenancy deposit laws, I rather hoped that I would not have to revisit this topic for some time. However a worrying issue has arisen. It concerns a problem which was always there but which under the new rules has a much greater significance. Let us remind ourselves first what the new rules, which came into effect on 6 April, are.

A landlord who takes a deposit must:

? protect it within a government approved tenancy deposit scheme; and

? serve a notice on the tenant giving ‘prescribed information’.

If this is not done within 30 days of payment of the deposit to the landlord or his agent, then:

? The tenant can bring a county court claim for an order that the landlord pay a penalty for non-compliance, of between one and three times the deposit sum (the pr...

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