The OFT, currently consulting on its proposed guidance to letting agents and landlords as to how to stick to the law, has gone beyond its remit.
And its understanding of the law is quite simply wrong at times.
This is the view of leading specialist lawyer David Smith, of Anthony Gold.
As one example, he says that the OFT fails to understand that a reference undertaken by a letting agent does not belong to the tenant.
Smith also says that the guidance on HMOs is “poorly written and essentially incorrect”.
As for wording of the guidance on letting agents’ fees charged to tenants, Smith slates this as “simply silly”.
Smith also rejects arguments – as put by the NAEA and TPO – that prospective tenants must be told about previous occupants who have committed suicide or died. Tenants, he says, might like to know, but they do not have to be told.
More here:
http://www.lexology.com/library/detail.aspx?g=e1d9e401-1a3c-4baf-97d3-2ee938673910&utm_source=lexology+daily+newsfeed&utm_medium=html+email+-+body+-+general+section&utm_campaign=lexology+subscriber+daily+feed&utm_content=lexology+daily+newsfeed+2013-10-23&utm_term=
%20-%20IMAGE%20Client%20Accounting%20%E2%80%93%20what%20are%20your%20options.jpg)
.jpg)
Comments
David Smith is the man.
If tenants pay for their references then the proposal is they can see them and hawk them from agent to agent. Open to fraud! Also how do they propose a landlord insures against non payment of rent when the reference agency's insurance provider's underwriter refuses to accept those references.
It's a no brainer.
Arguments about previous occupants habits etc., is contained within the Consumer Protection from Unfair Trading Regulations 2008 regarding applicants making a "transactional decision", which is where the Japanese Knotweed problem comes from.
I agree, over the top interpretation of what CPR's may mean are draconian. And yet I understand one agent was already fined what, £5k for not telling a buyer that a house 3 doors away has Japanese Knotweed !
Good for you, David.
I am fed up with all the legal greyness in our industry. Why can't we be given a clear and unambiguous set of rules to work to.