This is a common scenario faced by many a landlord, whether it be a couple of goods hidden away in the cupboard or, worst case, a house full of belongings when a tenant has disappeared or abandoned the property. What does the law require of those landlords left with these possessions?
Does the tenancy agreement cover it?
The Agreement will often include an express obligation requiring the tenant to remove their possessions from the premises at the end of their occupation. In addition, the tenancy will sometimes explain what the landlord can do with such belongings that are left at the property at the end. This is normally suggesting possessions can be disposed of 14 days after the end of the tenancy by the landlord. However, the landlord should be mindful that more personal or expensive items should be kept for a longer period, maybe up to around 90 calendar days.
What if the tenancy agreement is silent?
In legal terms, the landlord may become an involuntary bailee if they, without their consent, find themselves in possession of goods belonging to another. This would include situations where the outgoing tenant has left their belongings at the property at the end of the tenancy.
Despite being in possession of the goods without the landlord’s consent, they cannot simply deal with or dispose of the goods as they wish as there is no general right under common law to dispose of such goods. An involuntary bailee is under a duty:
not to deliberately or recklessly damage or destroy the goods (this would include the
- sale of the goods knowing them not to belong to them)
- if trying to return the goods to their owner through a third party, to ensure that the third party has the owner’s permission to receive them
What happens if the landlord becomes an involuntary bailee?
Whilst they are entitled to do whatever is “reasonable” to dispose of the items, what is “reasonable” will depend on the circumstances. Unfortunately, there are few legal authorities on this. For instance, if the goods left behind are particularly cumbersome, perishable, or clearly in poor condition, swift disposal is more likely to be reasonable than if they were items of high value in good condition.
The uncertainty of what might be construed as reasonable in these terms can be problematic. However, if the landlord can show that the goods have been “abandoned”, they will be able to deal with the goods as if they were the owner.
How do I know if possessions have been “abandoned”?
Tempting as it may be to assume that belongings left behind by tenants have been “abandoned”, the onus is on the landlord, as the involuntary bailee, to establish this fact.
Section 12(3) of the Torts (Interference with Goods) Act 1977 gives the power to sell the goods in certain circumstances. The right to sell will be triggered by the serving of a notice under S12 or the securing of a court order under S13. The landlord must also be reasonably satisfied that the tenant/occupier is the owner of the goods.
How does the landlord serve a Section 12?
The landlord must take reasonable steps to locate the tenant and send them the notice as well as attaching the notice to the premises in a prominent position.
The notice should contain the following information:
- The landlord’s name and address so that the tenant can contact;
- a description and schedule of the goods and details of where they are being stored;
- specification of a reasonable period in which the tenant must collect their goods (not less than 21 days);
- statement of what the landlord intends to do with the goods should the tenant fail to collect them;
- if there is an intention to sell them, state where and when the sale will take place;
- confirmation that any storage or sale costs will be retained from the proceeds of sale.
- If, after serving the notice, the former tenant has not collected their belongings within the stated period, it is reasonable to assume that the goods have been abandoned. The landlord will then be free to deal with them as they see fit.
Should the landlord decide to sell the goods, this should be for a proper price, and the landlord should account to the tenant for the proceeds of sale (deducting storage and sale costs). If the landlord cannot locate the tenant, they must hold on to the proceeds of sale for a reasonable time to allow the tenant to make contact and collect. A reasonable time in this context will depend on the circumstances and the value of the goods. In short, the landlord must not profit from any sale of the goods.
Summary
The disposal of the tenant’s possessions can be an ambiguous area of law, and it would be highly advisable for any landlord to act with extreme caution.
It is noted that numerous past court decisions have handed down significant compensation awards to a tenant,
where a landlord has unknowingly disposed of goods without following the law
If you have any questions, please do not hesitate to contact us.
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