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Tenancy deposit schemes: section 21 notices

Posted by Lotty Reeves on 9th June 2014

Landlords will welcome the High Court’s comments on when sanctions for non-compliance with the tenancy deposit scheme (TDS) legislation are triggered.

The tenant had argued that the section 21 notice served by the landlord was invalid, as, at the time of service, the landlord had not yet protected the deposit in a TDS.

The court considered that:

  • The landlord was obliged to protect the deposit in a TDS, and provide the prescribed information, within 30 days of receipt of the deposit.
  • Sanctions for non-compliance only applied if the landlord failed to comply within the requisite 30 day period.
  • The landlord had complied within 30 days. Therefore the section 21 notice was effective, even though it was served before the deposit was protected in the TDS.

Disclaimer

This article is © Endeavour Partnership LLP 2014 and may not be reproduced without our express permission.

This article is a general summary and should not be relied upon in the place of seeking professional advice in respect of any specific situation.

No responsibility can be accepted for any actions based on the information in this article.

 


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