If your landlord refuses to return your deposit and negotiation doesn't work, the next step is to go to court. This is quite straightforward.
If you think your landlord is not entitled to keep your deposit but you can't convince her/him to give it back, a court can settle the disagreement. The court will look at all the evidence and decide whether or not your landlord should return your deposit.
Which court deals with deposits?
The county court deals with disputes about deposits. The court procedure is intended to be simple enough for ordinary people to use without needing a solicitor. However, if you need to claim more than £5,000 (the limit for small claims), or you want help with the process, get advice.
Will I have to pay court fees?
You have to pay a fee to the court to start your claim. You will be able to claim this back from your landlord if you win, but if you don't win you will lose it.
The amount of money you have to pay is usually a fixed amount plus a percentage of the amount you are claiming from your landlord. For example, the court may charge you £80 to start the claim, then ten per cent of the total amount you want to claim from your landlord.
What can I claim for?
You can claim for:
- all or part of the deposit
- interest on the amount owed
- the court fees you had to pay to start your claim.
Interest can be claimed from the date your deposit should have been returned until the date you start your claim, and then at a daily rate. Interest is calculated at eight per cent. If you want to claim interest, you have to say so on your claim form.
How do I start the court claim?
Before you start your claim, you should send a formal 'letter before action'. This should:
- say 'letter before action' at the top
- inlcude dates on any other letters you have already sent to your landlord about the deposit. Keep copies of everything.
- give your landlord a deadline to respond by if they want to avoid court action. The deadline could be 14 days, for example.
You may be able to adapt our sample letter.
You should also enclose a completed copy of the relevant court form (form N1, which you can get from your nearest county court (their address should be in the Yellow Pages) or download from the Court Service website).
When you fill in the claim form, you have to say how much you are claiming and explain your reasons. Give clear details of any costs that have been deducted from your deposit and why you disagree with this.
Many landlords will agree to pay you what they owe as soon as they receive a letter before action, so you may not have to go to court at all.
What if my landlord doesn't respond?
If your landlord doesn't respond by the deadline or still refuses to pay, take the form to your local county court. Court staff can help make sure you have filled it in correctly and explain the procedure. At this point you will have to pay the fees.
Get important documents together
When you pay the court fee, the court normally gives you instructions (which they may call 'directions') about the documents you will need to provide to the court and the time limits for doing so. These might include:
- a copy of your tenancy agreement
- records of your rent payments
- the inventory
- receipts of any items you have repaired or replaced
- letters to (or from) your landlord
- statements from witnesses
- photographs.
You will also have to sign a statement explaining the evidence you want the judge to consider. Any witnesses (such as a friend who can confirm the state of the property when you moved in) will also have to sign a written statement. You usually have to provide all the evidence at least 14 days before the hearing.
What happens next?
The court office will send a copy of your claim to your landlord, with forms that s/he must fill in and return. At this point your landlord could:
- do nothing
- agree with your claim and pay up
- disagree with your claim and agree to go to court.
If your landlord does nothing the court can automatically order her/him to pay the money you have claimed along with interest and your court fee. If your landlord doesn't pay, the court can advise you about what you can do next.
If your landlord replies and continues to disagree with your claim, the court will arrange a hearing.
If the court is unable to send or deliver the papers to your landlord, you may have to give them to your landlord yourself. Get advice if you are in this situation.
What happens at the hearing?
If your landlord disputes any of your claim there will be a hearing. This should be fairly informal and you should be able to represent yourself. The judge will ask questions based on the evidence you have already provided. Your landlord may be represented by someone else, such as a solicitor.
What can the court do?
If you win, the court will order your landlord to pay your claim. If your landlord doesn't pay up, the court will advise you on what you may be able to do next.
If you lose the case there may be nothing more you can do to get your deposit back. Your court fees will not be refunded but you won't have to pay your landlord's legal costs. If you think the judge hasn't considered the evidence properly you may be able to appeal. You will need to get legal advice if you want to do this.
