Home » Who to recover assignment costs from?

Who to recover assignment costs from?

This question is from Jess (paraphrased to suit this format):

There are two tenants on my fixed-term tenancy that will soon be rolled over into periodic. Tenant A wants to stay on. Tenant B wants to leave when the fixed-term ends (i.e. the tenancy becomes periodic). Tenant A wants to bring on another tenant (Tenant C) which is fine by me as long as Tenant C passes my vetting process. Can I recover any vetting costs? If so, who could I charge it to?

We assume that, for the time being, both Tenant A and Tenant B are named on the tenancy agreement. Whether you are able to recoup the cost for Tenancy C depends on the manner of Tenant B’s exit:

If Tenant B gives the appropriate notice to terminate the tenancy then the entire tenancy terminates on the termination date. You will have to enter into a new agreement with Tenant A and Tenant C. Vetting costs associated with Tenant C are not recoverable.

If the tenancy subsists and Tenant B assigns his/her agreement to Tenant C then you can recover fair and reasonable expenses associated with the assignment (including vetting cost) from Tenant B by providing him/her with a breakdown of expenses and invoices for the costs incurred.

If you have a tenancy question and would like our perspective, you can email us by clicking here.

Add Comment

Click here to post a comment

Thank you to our Sponsors