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I have the following crisis that I need your expertise assistance with. Commencement of contract 1 December 2010 for 3 months and renewable by tenants for each three months. Myself and landlord went to do inspection to house and noted defects list to be done at the property. He wanted X amount for property and I have procured the amount needed and more. Also a tenant that had a clean record good payer and all reference checks are in place. Potential tenants saw house and also noted few defects to be done, emailed the defects I in turn forwarded to landlord. He called and agreed to fix. Tenants also asked if they could move goods in prior to due date and landlord agreed to be placed in one room. Tenants went to place goods in and noticed nothing has been done to property and would like to cancel contract. I went o view myself and nothing has been done. I called landlord today and informed him that tenants wish to cancel (1) noting has been done to property and shall look for alternative rental house. I informed landlord by calling him of what is the status of the property? I have been to property yesterday and nothing has been done and shall it be seen to at least. Landlord says all shall be done by prior occupancy and should not be a problem, he has four days to do work. Inform tenants still wants to cancel. And if tenants want to cancel he shall lay claim against tenants. Tenants feel they do not want property and shall forfeit their contract fees and cancellation fees if needed but landlord has no right to institute claims against unoccupied property and with defects that are not attended to.
My questions and assistance are as follows:
1) If the landlord does all the needed work before 1 December 2010 and tenants cancel contract and do not occupy premises, what fees shall they forfeit
2) Can the landlord lay claim against tenants for canceling the contract they have signed.
3) Y PROPERTIES also do not wish to have a bad fight either or against the landlord or tenants, and may Y PROPERTIES be held liable by the landlord for the period of contract if Y PROPERTIES accepts the cancellation by the tenants and also cancel contract with landlord completely.
I shall appreciate your assistance in this matter.
Respectfully
~ Yolande ~
REPLY:
Dear Yolande
The tenants have signed a legal document for three months and are thus remain responsible for three months. If however the landlord does not fulfill what he has promised, the tenant can then cancel the lease agreement because of breach of promise, and the fact that the tenant was unable to move in on due date. It appears to me that this has not happened as it is not yet the last day of the month when the landlord has to hand over the property with repairs completed.
Should the tenant insist on not moving in, he can be held to what he has signed, but it is necessary for both the tenant and the landlord to mitigate their losses and attempt to find a new tenant asap. The tenant can be held responsible for the rent until a new lease agreement is signed.
I do not believe that Y PROPERTIES can be held responsible for this as you fulfilled your mandate by procuring a tenant at a good rental. It seems to be the fault of the landlord who has not speedily carried out the repairs as expected. It also seems that this has made the tenants wary of committing themselves as tenants as the lack of repairs to date bodes poorly for the future.
Do not accept the cancellation without the permission of the landlord. If he wishes to hold the tenant responsible for the three months, just carry out his instructions and try to find another tenant.
Sincerely
Vivien Marks
Outcome:
Thank so much for your speedy response Vivien.
I have read through the terms of the contract and again with your response. I shall fulfill the terms of the contract. Thank you very much for the response. I also have spoken to the owner and is going to claim 2 months rental and except them for the 3rd month of the contract. In the interim since my email to you I also have contacted various prospective tenants for the property and until to date have taken 3 clients to property all with interest. So I have tried to be proactive in this matter. And have been to property too this mornings at 9:00 am and the cleaning company is busy doing what they do best. I also have contacted the tenants to explain to them the way forward and also what are the negatives of cancelling the contract if they do not wish to continue even though the landlord honours his side of the contract. And also assisting them to find alternatives / replacements for them for the property, however if we are unsuccessful to find tenants for 1 December 2010. They should be aware of all the positive and the negative.
Many, many thanks for your beautiful and open brain to assist us when we see red. You are a light to us agents to remedy and teach us to remain within scope of contract. Period!
Yolande. |
