Rent Due Now!!

An interesting case has been heard where a landlord successfully argues that rent was due from his tenant immediately the due date has passed.

Landlord Assist who deal with tenant evictions and rent recovery throughout the Country are delighted for landlords.

Most local authorities will agree to direct payments of housing benefits to landlords in situations where the tenant is at least two months in arrears however a grey area has been created in that most rental agreements make provision for the rent to be paid in advance. As a result, some local authorities were relying on a Department for Work and Pensions Guidance which stated that "a person cannot be in rent arrears in respect of a period that has not yet been served"

Graham Kinnear, MD of Landlord Assist states that in the judgement Mr Jones, Chairman of the Coventry Appeal Tribunal disagreed and stated "rent is in arrears once the contractual date for payment has passed irrespective of whether rent is due in advance or in arrears"

Stephen Parry Commercial Director of Landlord Assist comments "Many of our Clients are relying in this system to mitigate the level of rent arrears they are sustaining particularly once a notice has been served upon the tenant. These guidelines are helpful for local authorities to understand that if the arrears exist then the benefit payment should be diverted to the landlord"

Kinnear continues "A key facet of any housing benefit system is that it is easy to understand and effective in order to continue to encourage landlords to accept tenants who are supported by the benefit system. We hope that this ruling takes this concept a step closer"

Philip Lafferty, Principal Solicitor of KLP Solicitors sounded a note of caution that "The decision is not binding for subsequent cases however Landlords are certainly at liberty to highlight this decision to their local authority should they experience difficulties in rental payments from their tenants"