Updating post from Reddit.

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QUESTION
Posted by Ok_Computer1891 3 weeks ago
Has anyone tried suing or getting compensation for management agency negligence before?

I've had a bit of a nightmare with a rental property whereby the agent has put me in danger of serious legal risk from tenants.

In short, there was a major bathroom leak (while the flat was briefly empty and in their possession (edit to clarify - the agent's possession) - although this is not the point of the problem) which requires a major repair renovation. However, the agents, in their determination to get the quickly found replacement tenants, told both the tenants and me that it would all be fixed in a short period of time, so we should sign the contract. I'd raised multiple concerns but was assured it would be ok and we should proceed with the signing.

That has proven not to be the case, even though the extent of the damage was known, their contractor had reviewed the problem (but not yet provided the written quote). The other surprise was to discover that the lady tenant was pregnant and could drop any day - without a functioning bathroom.

The tenants have threatened legal action, refusal to pay the rent, and during this process the lady was hospitalised with pregnancy complications. I've been freaking out while the agent has washed his hands of the problem, saying it was my fault for signing and not having a liveable property.

This is the shortened version. As part of the dispute with the agency (who went to the extent of even blaming the material the walls were made of) I've accumulated both sides' view of the timeline and arguments, which I put into AI, which stated clearly that they could be liable for negligence. However I wonder if anyone has had any success with this, or whether these agencies find a way to slither out of it?

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Posted by Ok_Entry_337 3 weeks ago

Work out your losses so far and your potential losses Get in touch with the Property Ombudsman, they can make an award. Advise the agent that you hold them responsible and ask for the contact details of their Professional Indemnity insurer.

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Posted by Ok_Computer1891 3 weeks ago

Right now they are demanding that I pay back the tenant the first month of rent from my personal bank account, outside their accounting systems (they work with a national platform for all the administrative work such as contracts, financials etc) which means that the end-of-year statement will not include this refund and that is what will get reported to the government.

I did agree to this refund as part of a compromise with the tenant for their bad experience, but at the same time, the agent is charging about GBP1300 in various fees, despite their failures. I am contesting those - at least having a discount - considering their role in the problem.

I will contact the property ombudsman though, that's a good call. I wanted to get some advice before raising the game with them legally, in terms of how I play this. I don't want to pay this amount of of my bank account until I get some advice.

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Posted by Christine4321 3 weeks ago

Why not? None of this is the tenants fault. Youve agreed a refund, why are you now making them wait any longer just because youve got an issue with your agent who you employed. Stop messing around, sort this out for the tenant asap, and then deal with your agent.

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Posted by Sphinx111 3 weeks ago

It's not unusual for agents to refuse to pass money between tenant and landlord until they have subtracted what they feel they are owed. This may be one reason why OP cannot simply pay one part without the other.

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Posted by Ok_Entry_337 3 weeks ago

Sometimes just the threat of contacting the Ombudsman or their insurers may change their tune.

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Posted by RedPlasticDog 3 weeks ago

Do you have all the paperwork to show this timeline?

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Posted by Ok_Computer1891 3 weeks ago

yes I live overseas so 90% was done by email. In my super detailed timeline back to them (they sent me a rough skimmed one that missed out many details) I was able to copy-paste sections where I'd raised concerns or they had confirmed something. Once I sent that, they did start bucking up their ideas (after 2-3 days silence), but now it comes to the final steps and negotiating a reduction of their fees - they have charged me GBP1300 for various charges to setup this contract, meanwhile asking me to pay back the rent to the tenant out of my personal bank account and not through their systems - they're digging in their heels.

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Posted by Slightly_Effective 3 weeks ago

I wouldn't be happy making a refund off the books. If the tenants are staying, knock it off future rent and get the agency to put that in writing. If not, pay the agency and ensure the tenant receives it.

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Posted by Christine4321 3 weeks ago

Its not ‘off the books’. The agent is merely an extension of the landlord. Having an agent doesnt mean you can only claim monies that go through the ‘agent’. How do you think council tax is paid in void periods? 🙄

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Posted by Slightly_Effective 3 weeks ago

Rent is paid through the agent, likewise rent refunds should be via the agent. Anything else complicates matters unduly for the LL. A rent refund from the LL would not be on the agent's books and therefore a rental income statement wouldn't reconcile.

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Posted by Ok_Computer1891 3 weeks ago

yes, precisely. I know if it came down to an investigation from the HMRC then I could show my bank statements, which I'd then have to prove was connected to the rent repayments, but it's a hassle, and I don't see why they are so reluctant to do this through the official channels.

It's also better for the tenant, surely, that all goes through official channels.

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Posted by Christine4321 3 weeks ago

So, are you only refunding the rental amount less agents fees that you received cause its a hassle for you?

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Posted by Ok_Computer1891 3 weeks ago

no. there is the refund to the tenant which is obviously the full amount.

Separately I am seeking a discount on the agent fees due to their negligence.

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Posted by Christine4321 3 weeks ago

Fine. Have the ‘negligence’ bunfight at a later date. Currently youve got both a tenant and a downstairs neighbour looking at you for compensation for an unuseable bathroom and damages to a neighbouring property. This should have been dealt with by you, through your insurance as soon as you were notified of downstairs damage.

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Posted by Ok_Computer1891 3 weeks ago

Yes well I have tried to sort this out but the agent has been particularly unhelpful in providing information that I need to pass to the insurer. It's still worrying how there happened to be a leak while only the agents had access to the property.

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Posted by Anon 1 second ago
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Posted by Christine4321 3 weeks ago

This is a ridiculous attitude to take. Your agent doesnt pay, your mortgage, your landlord insurance, your council tax for void periods etc. This repayment has been agreed by OP for a full months rental, not a rental amount less the agents fees. Its quite simply dealt with as a cost at the end of the year along with anything else.

Whats OP even intending to ‘sue’ for when theyre not even minded to make a refund for an amount theyve agreed????? Theres a tenant being pissed around whilst this is going on and the longer OP refuses to act (which they are wholly legally responsible for doing) because theyre upset at dealing with their own agent, the larger OP will be hit with compensatory damages. Get it sorted, repay whats been promised, then take the bun fight up with the shitty agents.

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Posted by phpadam 3 weeks ago

It’s a tough situation, and I can see why you’re so frustrated. The agent’s stance that it’s “your fault for signing and not having a liveable property” might hold some weight from the tenants’ or authorities’ perspective, as they’ll likely expect you to ensure the property is habitable regardless of who said what. Your priority now should be getting the repairs sorted quickly to mitigate any further legal or financial risk from the tenants.

That said, the agent’s assurances—especially if they pushed you to sign despite knowing the extent of the damage—could open them up to liability. If you’ve got a solid paper trail (emails, messages, etc.) showing they misled you about the timeline or downplayed the issue, you might have a case for negligence. The AI’s analysis supports that, but success depends on how strong your evidence is and whether the agency can wriggle out with excuses (like blaming the wall materials, which sounds like a stretch).

Practically, I’d suggest a few steps. First, lodge a formal complaint with the agency—lay out the timeline, their assurances, and the fallout. If they don’t offer a fair settlement (e.g., covering some losses), escalate it to the property ombudsman or consider small claims court if the amount justifies it. Before that, though, calculate your actual losses—repair costs, lost rent, legal threats—and weigh them against what you’d have faced if the flat sat empty during repairs anyway. It might help you decide if pursuing this is worth the hassle.

I get why you’d feel let down by the agent, though I wouldn’t give them too much of a pass. They’re not builders, true, but they shouldn’t be making promises they can’t keep, especially with a pregnant tenant in the mix—that’s reckless. You’ve definitely learned a hard lesson about trusting their word. Have you got any legal cover or insurance that might help here? Might be worth a look if you haven’t already.

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Posted by Slow-Appointment1512 3 weeks ago

You’re the fool for trusting an agent to handle your property. 

One by one, landlords are learning, often at great expense. 

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Posted by Slightly_Effective 3 weeks ago

Yes, but sadly this is one example situation where agents are exactly required to do what they are supposed to do, with the LL overseas.

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Posted by Slow-Appointment1512 3 weeks ago

Phones and emails work from overseas too. Landlords are perfectly capable of managing from overseas, they just choose not to. Fair enough, just don’t complain when your laziness comes to bite you. 

The agent should never have been part of the process in the first place. 

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Posted by Slightly_Effective 3 weeks ago

But they are so should do what they are paid for.

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Posted by Slow-Appointment1512 3 weeks ago

But their profession is built on lies and manipulation, so that’s not going to happen 

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Posted by SchoolForSedition 3 weeks ago

It sounds very unlikely that your agents were in possession.

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Posted by Ok_Computer1891 3 weeks ago

What do you mean? You think they gave the key to someone else?

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Posted by SchoolForSedition 3 weeks ago

No, I mean that they are your agents. Having the key doesn’t mean they have dispossessed you.

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Posted by Ok_Computer1891 3 weeks ago

Ah ok. That's a semantic point. I meant that they were the only ones with access by dint of having the keys and noone else.

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Posted by SchoolForSedition 3 weeks ago

Oh ok. « In possession » is also a term of art.

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Posted by Jakes_Snake_ 3 weeks ago

You need to take ownership of the problem.

  1. sack the agent. You will need to deal with the tenancy directly. You can’t trust the agent.

  2. determine the tenants liability. they are responsible for the property and if they were away unable to identify a leak because they left it vacant for some time and without informing you they are liable.

  3. what was the cause of the leak?

  4. you have two aspects , the agents and the tenants, you need to deal with each separately. You’re in the middle.

  5. tactically. You don’t know what exactly happened so you need to keep an open mind and start asking question about the tenants involvement in the leak.

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Posted by Ok_Computer1891 3 weeks ago

thanks. The tenants hadn't moved in when the leak happened. The previous tenants had moved out, the check-out report had been done and all clear, and my parents (who live nearby) went round with the selling agent to see what work might need to be done. The primary objective is to sell the property and it was even assessed that the bathroom was better than expected and didn't need redoing.

It was only days later that the downstairs neighbour called to say that her ceiling was caving in with the leak from above, despite my flat being empty. The agents have been very slow / reluctant to investigate what happened and I've kicked off a claim with the buildings insurance, so I presume they'll send someone round to check. This could make things more complicated if they assess it to be 'my fault' due to it being caused within the apartment, but I'm trying not to worry about that yet.

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Posted by Jakes_Snake_ 3 weeks ago

Ah ok thanks for the clarifications.

So the tenants were aware of condition before moving in?

Sounds like you’re in the middle of the situation and not considering the issue the right way.

Let the agents do their job.

Don’t let the tenants complains affect what you do.

Push their complains to the agents.

You need to clearly understand your role is to accept the agents advice. You’re overseas so you don’t know what’s going on.

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Posted by Ok_Entry_337 3 weeks ago

He’s also the landlord so directly responsible for landlord repairing obligations. The agents are clearly negligent or at the very least incompetent.

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Posted by Ok_Computer1891 3 weeks ago

Yes the tenants knew there was a problem and agree with the agent that they would be ok making-do for 3 weeks (the agent's timeline for it to be fixed, which was not based on any confirmed fact). That led up to their official due date for the baby, but it ended up coming earlier.

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Posted by Christine4321 3 weeks ago

You employed the agent, they and their actions are wholly your responsibility. Not the tenants. No that property shouldnt have been let out in an uninhabitable state. You are ultimately responsible for that.

The amount of ‘amateur’ landlords who think they can wash their hands of their properties because theyve engaged an agent drives me bonkers. Your agent is merely an extension of you. If youve not bothered ensuring works are done when they should be, ensured all legals are met, safety certs completed correctly, deposits managed correctly etc then theres no one else to blame.

Theyre your agent and yes, you signed a tenancy knowing the property wasnt fit for use. Thats bonkers whatever any tradesperson promises.

The tenants can only sue you (landlord) and not your acting agent, so yes youre on the hook. Yes, takenthis up with your agent at some point (a full months rent for tenant find, inventory, referencing etc etc etc btw, is not unreasonable) but not whilst tenants are living with the consequences. Get this sorted asap then have the bunfight over your agents contribution to this mess at a later date.

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Posted by Ok_Computer1891 3 weeks ago

I have a contract with the agent, who legally has a duty of care to both tenant and landlord and to take sensible precautions and avoid a situation like this one, that could easily have been prevented with the information that they had available.

The attitude that you are displaying which is essentially "you can't trust anyone providing a paid service for their expertise, and should micromanage all of their work" is what leads to so many bad companies getting away with not doing their jobs properly, the whole industry getting a bad reputation, and the proliferation of mediocrity in the system because such people and companies believe they can get away with it. The whole purpose of contracts and a legal system is to hold companies account for doing the work that they are paid to do.

I did not "wash my hands" of the property but was in contact with them multiple times a day because my gut told me to be more cautious. It was the agent that convinced me AND the tenants that there would be no problem, and he was the one with the full access to information - including what was known about the status of the property and whether it was fit for use or not.

And I do know that the tenants can sue me, and not the agent. And yes, I know that I have to take it up with the agent separately. Your comments are not helpful and I can only imagine that you are an agent who has similar standards to this one, or are a tenant determined to complain at any landlord you can come into contact with.

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Posted by Christine4321 3 weeks ago

Nope, Im a multiproperty landlord. Your agent does not have a ‘duty of care’ what on earth are you going on about?

Agents dont cause leaks. Agents can only act on issues when theyre notified by tenants. They can of course make regular inspections regards condition and are obligated to ensure all safety terms are met. Their legal responsibility ends once they notify you. Do you know how many crap landlords then refuse to pay for maintenance, decoration, minor repairs etc? Loads. It doesnt then mean the agent is on the hook for it.

Obviously you have relied on them arranging the repairs which havent happened for whatever reason, but they are wholly correct in saying you then signed a new tenancy for a property that you knew was in that condition.

Lesson learnt, but nothing you can sue an agent for. Are you expecting them to in turn sue the contractor who didnt turn up to do the works because he was ill for example? Would you sue the ‘absent’ contractor for refunded rent and downstairs damage? No. And neither could the agent.

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Posted by Sphinx111 3 weeks ago

First thing is to ensure repairs are underway as soon as possible. I would recommend you actually talk to a solicitor for professional advice.

One of the main reasons to do this is that you can get a professional opinion on how much should be offered to settle the tenant's complaints. If it is established later that the agents knowingly misled you about the condition of the property, or the likelihood of repairs being completed, then the amount of any settlement will be much easier to recover from them if the amount you have agreed is reasonable.

There's no reason not to pay your tenant directly if the agent is being weird about it. Document the reason for the refund in writing, to the tenant, and keep a copy for yourself and your tax records. Ensure the tenant agrees to the amount you are sending, before sending it.

Once that's out of the way, you can get advice about your agents' liability to you. My initial opinion is that, unless they knowingly misled you about the condition of the property or the scale of work required, you will not be able to recover any of your current losses from the agent. They can make recommendations or give advice, but it remains your choice whether to take their advice and rent to a tenant. If they were simply "optimistic" about what could be done and how fast, that alone wouldn't give you any legal claim against them.

The property ombudsman might award you some small amount even if there is no legal claim.

If the agent drags their feet on arranging repairs, and they are responsible under your contract for arranging repairs, then you may have a claim for any increased losses as a result of any unreasonable delay.

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Posted by Ok_Computer1891 2 weeks ago

Thanks. I paid the tenant but of course the agent went on holiday for two weeks without telling me, so nothing has happened. The tenant has moved out though but left the furniture in my flat which I will allow until the end of the month. I need to get the agent to document this agreement - it's strange that they are reluctant to do so, despite negotiating it.

Likewise, they have not informed Sequence, who have been sending rent reminders for this month to the tenant who has now moved out. Overall it feels like entering into legal grey areas, which make me nervous (I lived in Germany for years and am used to things being done by the book!)

I do need to get legal advice though, since the responses here do show that it's unclear.

For the repairs, the agency is washing their hands and telling me the insurance should sort it out, and that is taking time. What a mess.

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