Friday, August 16 15:23:57
The Government today said it is looking in to potential changes to the law to provide greater clarity to tenants when a receiver is appointed to their rented accommodation.
Minister for Housing and Planning, Jan O'Sullivan, acknowledged the work the Irish Banking Federation (IBF) has done in producing an information leaflet entitled, "A Residential Tenant's Guide to Receivership".
"The numbers of receivers appointed to rental properties is increasing and this can be a very confusing time for tenants who often feel caught between their established landlord and the newly appointed receiver. For most tenants this is an entirely new situation and it is incumbent on all involved in this process to give tenants certainty and clarity. The new IBF information guide is a valuable contribution in this regard."
The guide explains that where a receiver is appointed to a rented residential property the rent should be paid directly to the receiver and that a receipt should be given by the receiver to the tenant. The leaflet also advises that urgent repair requests should be directed to the receiver in the first instance. The guide also addresses the question as to who should return the tenant's deposit in a receivership situation. While individual receivers may return a deposit, the legal responsibility for return rests with the landlord to whom the deposit was originally paid.
"While improved communication for tenants is welcome I believe that we need to look at the law to bring greater clarity to the situation. At the heart of the issue is whether a receiver appointed to a property takes on the responsibilities of the landlord or is the receiver solely concerned with recovering value from the asset. At present that situation isn't entirely clear and it is the tenant who may be disadvantaged as a result. Therefore I want to explore the possibilities for making legislative changes in order to ensure clarity and certainty for tenants."