Would appreciate any help or clarification you can offer regarding this case.
Daughter was in receipt of HB when her father moved (26/10/02) in as non dep. She purchased the house from the Local Authority 17/12/03 and moved out 05/06/07 when she married.
Tenancy was created 05/06/07 (date daughter moved) with a rent of £75 per week. No official tenancy agreement was drawn up and no rent card exists. Further enquires were made to ascertain if it was a commercial tenancy. Landlord responded as follows;
1) Father would be evicted if he fell into arrears and the property sold.
2) He pays £75 per week which does not cover the full cost of keeping
the property, so I am already subsidising him.
3) He would have to make up any shortfall.
4) No rent book but has stated he pays her £75.00 every Thursdays out
of his pension credit.
Decision letter issued refusing HB, stated not a commercial tenancy as it was not an arms lenght agreement.
Following decision letter father rang (tenant) advised his daughter had attempted to let other rooms in the 3 bedroomed property without success. This is a bit strange as he stated he had sole use of the property. Landlord previously stated she would sell the property if he was evicted but he states she would try to relet it first.
My instinct tells me this is not a commercial tenancy but I feel the odds are stacked against us, anyone got any ideas?
Thanks.
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