Rent Repayment Order: Rakusen v Jepsen
11 May 2023 | Shilpa MathuradasRakusen v Jepsen & Others 2023
Judgement was given in this case on the 1st March 2023 and when it was settled that a Rent Repayment Order could not be made against a superior landlord allowed landlords to breather a sign of relief. This was an appeal about Rent Repayment Orders. These are orders that can be made against landlords that have committed certain housing related offences such as failing to licence a house in multiple occupation. They require a landlord to repay an amount of rent paid by a tenant (or pay to a local housing authority an amount of universal credit paid in respect of rent). The question this case had to decide was whether they can only be made against a tenant’s immediate landlord or whether they can be made against a landlord higher up in a chain of tenancies.
Mr Rakusen is a leaseholder of a flat in London. In May 2016 he granted a short residential tenancy of the flat to a company called Kensington Property Investment Group Ltd (“KPIG”). KPIG subsequently entered into separate agreements with reach of the three Appellant by which they were each granted a right to occupy the room in the flat in exchange for a fee. As a result of his arrangement the flat was required to be licensed as a “house in multiple occupation” under the Housing Act 2004 and a licence from the local authority was required however one was never obtained. In 2019, the Appellants applied for a Rent Repayment Order against Mr Rakusen on the basis that he was said to have committed an offence of being in control or management of an unlicensed HMO contrary to section 72 of the Housing Act 2004. Mr Rakusen opposes the claim and argues that the Appellants could only see an order against their immediate landlord KPIG.
The First Trier Tribunal said it was possible to see a Rent Repayment Order against a superior landlord and the Upper Tribunal dismissed the appeal. However the Court of Appeal reversed the decision and the Appellants appealed to the Supreme Court. The Supreme Court unanimously dismisses the appeal and held that the Rent Repayment Order could not be made against a superior landlord. When arriving at their decision, the Supreme Court took into account the policy behind Rent Repayment Orders and the wider enforcement scheme against rogue landlords.
Share this article
Contact
Contact Shilpa today
For a free initial conversation call 020 7485 8811
Email us Send us an email and we’ll get back to you
More from ShilpaVIEW ALL
- 27.10.2023
The Building Safety Act 2022
This much awaited Act was introduced into Parliament on 5th May 2021 as a consequence of the Hackitt Report on Building...
Read more - 22.8.2023
“Reasonableness” of Service Charges
It is well known that the relevant costs that a landlord incurs in the provision of services, repairs improvements, maintenance...
Read more - 15.8.2023
The Renters (Reform) Bill – Will it have the...
There has been much publicity recently over the Renters (Reform) Bill, the assumption being that the government have their eye...
Read more - 11.5.2023
Lease Extension Negligence
What is Lease Extension Negligence? Solicitors Negligence when a Tenant claims a new lease of a flat under the Leasehold...
Read more - 11.5.2023
Overlooking Nuisance Claims
Overlooking Nuisance Claims – net curtains not necessarily! I refer to the article https://osborneslaw.com/blog/overlooking-nuisance-claims-buy-some-net-curtains/ which concerned the...
Read more - 5.2.2023
Japanese Knotweed: Knot in my backyard again!
Many will have read the recent case in which a furniture designer pursued his seller successfully after he moved into...
Read more - 6.4.2022
The End of Ground Rents
The Leasehold Reform (Ground Rent) Act 2022 It has been confirmed that The Leasehold Reform (Ground Rent) Act 2022 will come into...
Read more - 9.11.2021
Can I still claim adverse possession?
The principle of “adverse possession” commonly known as “squatters rights” is a principle which allows a person who does not...
Read more - 5.10.2021
Buying a property where a Party Wall Award...
Buying a house with a party wall agreement Buying a property can already be a stressful process but finding out...
Read more - 26.6.2021
The Risks Of Buying Properties Off Plan!
The Daily Mail reported that 300 families a week have to move into shoddy newly built homes. Not all will have...
Read more - 8.5.2020
Easements – Five Questions Answered
What is an easement? An easement is a right benefitting a piece of land (known as the dominant land) that...
Read more - 11.10.2019
Government eviction reforms “risk increasing delays”
Government plans to end so-called ‘no fault’ evictions – and at the same time expand what amounts to a good reason...
Read more - 13.8.2019
Osbornes win 5 day trial in property dispute at...
In 1985 clients of Osbornes, Mr and Mrs Ali-Khan, purchased a house. For various reasons they were not able to obtain...
Read more - 13.8.2019
Canary Wharf v EMA
EMA Decision: Brexit Does Not Frustrate Commercial Property Lease The largely anticipated decision in the case of Canary Wharf v...
Read more - 12.8.2019
Basement developments- How to fight back
Basement developments are growing ever more popular, particularly in wealthy London boroughs, leaving homeowners fearful that neighbours’ excavation projects will...
Read more - 18.7.2019
New Builds, Poor Standards!
This week’s Dispatches programme examined allegations of shoddy standards, poor customer care and excessive profits from one of Britain’...
Read more - 10.4.2019
Tenant Fees Act 2019 – Landlords & Letting Agents be Warned
On 12 February 2019, the Tenant Fees Bill received Royal Assent and comes into effect on the 1 June 2019 The Act prevents landlord...
Read more - 23.9.2018
Licensing for Houses in Multiple Occupation to be...
In an attempt to raise standards for all relevant Houses in Multiple Occupation (HMOs), changes are afoot and come into...
Read more - 31.10.2017
Airbnb Ruling (Nemcova v Fairfield)
Shilpa Mathuradas examines the case of Nemcova v Fairfield Rents Ltd. In this case, The Upper Tribunal considered whether a...
Read more