The Agent had arranged a two year tenancy between the tenant and the landlord, Mr G. By the ninth month the tenant had accrued £6,900 rent arrears and had caused approximately £2,000 worth of damage to the property. Mr G commenced possession proceedings and a Court hearing took place at the tenth month where the judge awarded possession to Mr G together with an order for the rent arrears owed by the tenant. The matter of damages to the property was not considered by the Court. However, unbeknown to Mr G, a few days before the Court hearing, the Agent agreed with the tenant that due to the severe rental arrears the deposit of £1,592.28 would be released in full to cover some of that debt. After being informed of this development, the judge deducted £1,592.28 from the money judgement order for rent arrears awarded to Mr G. Mr G then complained that the Agent’s actions had denied him the opportunity of seeking payment towards the damages via the
tenancy deposit arbitration process and instead, was left with no option but to commence further legal action to recover these monies.