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Holding deposit on flat - what are my chances of refund?

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  • 11-08-2006 11:12am
    #1
    cargrouch
    Closed Accounts Posts: 314 ✭✭


    Flat in Cork, got receipt for 300 paid just to put our names on it til we gathered the rest of the deposit and first months rent. We were to meet him tonight with the rest.

    Saw another (much nicer than we expected) flat straight after. Tried to contact landlord 1 to let him know but it was after 10pm. Tried again in the morning at 10.30. Got a fairly angry response and a flat refusal on a refund.

    In fairness, I didn't like putting down the deposit then withdrawing it but he wouldn't have been showing it to anyone in the meantime (he was leaving after we paid him).

    Is it true that it is non-refundable? No tenancy took place - no keys, no lease, no rent.

    Can anyone help here?


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    #2
    Sponge Bob
    Banned (with Prison Access) Posts: 25,234 ✭✭✭✭Sponge Bob


    you are in breach of a verbal contract mate !


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    #3
    obrien_pa
    Closed Accounts Posts: 81 ✭✭obrien_pa


    cargrouch wrote:
    Flat in Cork, got receipt for 300 paid just to put our names on it til we gathered the rest of the deposit and first months rent. We were to meet him tonight with the rest.

    Saw another (much nicer than we expected) flat straight after. Tried to contact landlord 1 to let him know but it was after 10pm. Tried again in the morning at 10.30. Got a fairly angry response and a flat refusal on a refund.

    In fairness, I didn't like putting down the deposit then withdrawing it but he wouldn't have been showing it to anyone in the meantime (he was leaving after we paid him).

    Is it true that it is non-refundable? No tenancy took place - no keys, no lease, no rent.

    Can anyone help here?

    The whole point of giving him your €300 was so you could secure the flat and he didn't have to show it to anybody else. I would have thought he's well within his rights to hold onto that money if you don't go through with your verbal offer.


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    #4
    cargrouch
    Closed Accounts Posts: 314 ✭✭cargrouch


    Hmmm, That's where I was confused too, is it set out anywhere who's entitled to what in this situation or deposits in general (seeing as no tenancy took place would this be treated as a general deposit)?

    In fairness I did try to minimise the tiny impact it would have on the guy.


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    #5
    antoinolachtnai
    Registered Users Posts: 9,787 ✭✭✭antoinolachtnai


    My understanding of a deposit is that it is forfeited if I don't follow up on the deal.

    There is definitely an argument to be made about this in legal terms, because there wasn't a written agreement (which is usually required for transactions involving land) and you hadn't taken possession. It would be a lot of expense to make this case and you would probably lose in the end. You did act in bad faith by going to view further apartments after placing the deposit. It's not as if there was some change in circumstances which forced you to withdraw.

    It's worth asking the guy again, but if you don't get any satisfaction, I'd say you're out of luck unless you want to go to an awful lot of trouble.


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    #6
    cargrouch
    Closed Accounts Posts: 314 ✭✭cargrouch


    Small claims court isn't a lot of trouble:D

    The way things are in a high demand market, if you refused to give a deposit before seeing lease agreement etc then you would be living on the streets. Tenants can't be expected to gamble hundreds of euro trying to rent.

    Fair's fair - If I had cost this guy money on a cancelled ad then I'd let him take it out of the deposit. This guy has lost at most 20euro I'd say, and probably nothing. He was leaving anyway after showing us the flat and I doubt there was a queue at 9am to look at it.

    I haven't cost this guy anything except a sheet of paper from his receipt book. Ho-hum, we'll see how it goes.


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    #7
    cargrouch
    Closed Accounts Posts: 314 ✭✭cargrouch


    Amicable solution:)


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    #8
    antoinolachtnai
    Registered Users Posts: 9,787 ✭✭✭antoinolachtnai


    Hurray! Good to hear that amicable thing still happens.

    Academically: Small claims court? I don't know, there is a significant matter of law to consider. You might get referred to the District Court, or he might just refuse to pay the award and you would have to go to the District Court anyway. and it would involve a solicitor. Could take quite a while to untangle.


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