Failure to protect tenancy deposit

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M
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Please can you confirm how this would work:

If I failed to lodge a deposit in one of the schemes and the tenant then properly gave notice and moved out, would I be unable to withhold any of the deposit for damages done?

Can I withold some of the deposit? But what if the tenant then sends a demand for the rest of the deposit back or threatening to take me to court as the deposit wasn't protected? Can I protect the remaining amount of deposit held and go through an arbitration scheme to agree the appropriate level of damages - or because the tenancy is now over, am I better to cut my loses and pay the tenant the rest of the deposit rather than risk being taken to court? And if I can protect it, who can I protect it with?

Is there a manner of wording I should use if I did decide to give the money back to stop the tenant from then going to court to get me fined over the failure to register?

Many thanks in advance,


01/05/2012 00:00

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