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No contract and no rent!

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  • No contract and no rent!

    Hi all,

    First of all, mistakes have been made but we can’t change where we’ve reached. I plan on getting some legal advice via solicitor but I cannot do so until the end of next week - I’m hoping someone can help in the interim. I work for medium sized business, one of it’s past investments was a former hostel. This was done up and it was decided to rent rooms to our employees, as and when required, for short to mid terms.

    About 12 months ago one employee enquired about staying, she was informed of the rates and she stated she wanted to stay for a short term. In this instance individuals pay on arrival, with anything longer than 2 months we use tenancy agreements.

    Somehow this individual has been staying for the past 12 months without paying. They stated they were not asked for payment on arrival for their short stay (an error by the staff member present), and have remained at the property since. This has come to light following the company changing hands alongside restructuring and audits.

    Where do we stand with there being no contract, simply an email stating the rates?

    I am more than aware of the glaring issues surrounding this, and it’s quite frankly a joke. However I’ve arrived on the back end of this and now have to clean the mess created by others!


    Thank you for any advice you can impart!
    Last edited by Sarah__; 27th June 2018, 14:36:PM. Reason: Edit - typo
    Tags: None

  • #2
    Just because there is no written tenancy does not mean that a tenancy does not exist. A tenancy can be created verbally (which seems to be the case here) although as you've already acknowledged, it's not an ideal situation to be in. I would suggest you read the following links for a basic understanding of rights and obligations where a verbal tenancy is created.

    https://www.landlordlaw.co.uk/openns...ncy-agreements

    http://www.landlordlawblog.co.uk/201...ncy-agreement/

    Even though she has not been asked for payment you could still require payment to be made as there is an implied obligation to pay rent, assuming the rates haven't changed then the she would pay the rate she was informed of at the time.
    If you have a question about the voluntary termination process, please read this guide first, as it should have all the answers you need. Please do not hijack another person's thread as I will not respond to you
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