Tenants Abandoning Goods: A Guide for Landlords
Abandoned premises and tenants abandoning goods left behind by tenants are an increasingly common issue faced by landlords. Whether the tenants intend to return for their belongings or have permanently abandoned them, landlords must navigate this situation carefully to avoid potential legal liabilities. The Torts (Interference with Goods) Act 1977 provides guidance in these scenarios, requiring landlords or their agents to act reasonably before disposing of or selling what may appear to be abandoned goods.
Steps to Handle Abandoned Goods
When dealing with abandoned goods, landlords must make every reasonable effort to contact the tenants. These attempts should be well-documented to demonstrate compliance with legal requirements. Acting prematurely or failing to make reasonable efforts to locate the tenants could lead to disputes or even legal claims.
Reasonable efforts include:
- Tracing the tenants to establish their whereabouts.
- Obtaining their forwarding address if possible.
- Reaching out via multiple communication methods, such as email, text, or phone calls.
- Contacting family members if the details are available.
- Engaging with the guarantor if one exists.
- Exhausting all other practical means to contact the tenants.
Proper documentation of these attempts is crucial, as it provides evidence that the landlord acted in good faith.
Selling Abandoned Goods
If tenants owe money to the landlord, such as rent arrears, the landlord may only sell the abandoned goods if they remain uncollected for at least three months. Once this period has elapsed, the landlord can sell the items, and the original owner (tenant) loses their rights to those goods.
After recovering the costs of storage, rent arrears, or other associated expenses, any remaining proceeds from the sale belong to the tenant. However, tenants must claim these proceeds within six years to retain their right to the surplus funds.
Issuing Notice to Tenants
Before disposing of or selling the goods, landlords are legally required to issue a formal notice to the tenant. This notice should be comprehensive and clear, outlining the steps the tenant must take and the consequences of inaction. Landlords are advised to:
- Post the notice through the letterbox of the abandoned property.
- Send the notice to any other known address of the tenant.
The notice must provide a minimum of 28 days for the tenant to:
- Collect their belongings, with clear instructions on how and whom to contact to arrange collection.
- Be informed of the landlord’s intention to dispose of the goods if they are not collected within the specified timeframe.
- Be notified that uncollected goods will be stored for a minimum of three months, after which they may be sold, and the tenant will lose all rights to the items.
Issuing this notice demonstrates compliance with the Torts (Interference with Goods) Act 1977 and reduces the risk of liability for the landlord.
Including an Abandoned Goods Clause in Tenancy Agreements
To minimise confusion and disputes, landlords are encouraged to include an abandoned goods clause in the Assured Shorthold Tenancy (AST) agreement. Because tenants abandoning goods can be a common issue at the end of a tenancy and while such a clause does not eliminate the obligation to make reasonable efforts to contact the tenant, it provides clarity on the steps that will be taken if goods are left behind.
A well-crafted clause might state:
“The landlord may remove, store, and, if not collected within 30 days, dispose of any furniture or goods left by the tenant upon vacating the property, whether or not the fixed term has ended. The tenant shall be responsible for all reasonable costs incurred by the landlord. The landlord is entitled to deduct these costs from any monies lawfully due to the tenant.”
Including this clause sets clear expectations for both parties and provides the landlord with a structured approach to handle abandoned goods.
Reducing Liability and Avoiding Disputes
Abandoned goods can pose a significant challenge for landlords, especially when legal compliance is not strictly followed. The steps outlined above provide a framework for landlords and agents to manage these situations effectively while protecting themselves from potential claims.
Key points to keep in mind include:
- Always act reasonably and make every effort to locate the tenants.
- Keep detailed records of all communication attempts and actions taken.
- Issue formal notices with sufficient timeframes and clear instructions.
- Adhere to the minimum three-month storage period before selling goods if debts are owed.
- Ensure tenancy agreements include an abandoned goods clause for additional clarity.
Landlords should remember that failing to follow these guidelines could lead to accusations of unlawfully disposing of tenants’ belongings, resulting in financial and reputational damage.
Conclusion
Abandoned goods are an all-too-common problem for landlords. While the situation may be frustrating, careful adherence to the Torts (Interference with Goods) Act 1977 and a structured approach can help mitigate risks. By acting reasonably, documenting all efforts, and providing proper notice, landlords can handle these situations confidently and lawfully.
Including provisions within tenancy agreements and understanding the legal requirements ensures landlords are prepared for such challenges, safeguarding their interests while maintaining compliance with the law. This approach not only protects landlords but also ensures a fair process for tenants, whether they intend to return for their belongings or have permanently vacated the property.
Tenants abandoning goods is a common issue our team deal with, from providing legal advice to preparing legal letters regarding the abandoned goods. If you require advice, or assistance with dealing with a tenant abandoning goods, you can contact our legal team now.
