| Date: 29th January 2010
Local
authorities are taking a harder line with landlords who fail to fulfil their obligations,
according to Andrew Brammer, specialist business defence solicitor at leading
East Midlands legal firm Cartwright King. In particular the failure to
register homes of multiple occupation (HMO) can lead to a criminal conviction
and a fine of up to £20,000 with a number of these cases now coming to court.
A
landlord must register with the relevant local housing authority any property
comprising three or more storeys accommodating five or more tenants in two or
more households.
Andrew
suggests that some landlords make easy targets of themselves. “Logic dictates
that a landlord who has failed to register a property is likely to be failing
in other obligations to his tenants, especially those relating to safety. I
have come across many well meaning and apparently diligent landlords who failed
to undertake simple checks to ensure that the properties they rent out are safe
to live in. For example, landlords have a legal obligation to ensure that
gas appliances provided by them are safe, fit for purpose and certified
so. Failure in this respect can have tragic consequences.”
Where
a landlord is convicted of an offence of failing to register a property, local
authorities are inviting courts to find that all rent paid during the
unregistered period is deemed as proceeds of crime and that the landlord be
ordered to repay this money as part of a Confiscation Order. In some
cases this amounts to tens of thousands of pounds and failure to pay is
punishable by imprisonment, with the debt still owing when the landlord is
released. Andrew suggests" "All landlords must take a hard look at their legal obligations and ensure that they are complying with all the legislation and doing everything they can to protect their tenants and their investment. Failure to do so could be tragic and expensive. The potential fines are four times higher than for drink driving so this reflects just how seriously these offences are being taken."
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