Tribunal upholds fixed penalties imposed on HMO landlord for property management failures but reduces amount payable
A landlord has been ordered to pay £23,000 for failing to maintain two Houses in Multiple Occupation (HMO) after Tendring District Council took action.
The local authority issued ten fixed penalty notices against the landlord, Lystra Dorval, over poor fire safety, broken stairs, broken toilets and faulty electrics at her properties in Clacton, Essex.
The council began working with Dorval in April 2019 after it had received complaints. It set out the required work to make the properties an acceptable quality and then held follow-up meetings in May and August of that year.
In August, when work had still not been done, the council issued an Emergency Prohibition Order to shut down the buildings.
Formal enforcement began with a final notice of work which needed completing. The notice addressed issues such as a faulty fire alarm, blocked fire escapes, insecure entrance doors, broken staircases, toilets not working, water leaks and dangerous electrics.
Requests for work to be completed had been issued in April and May on an informal basis prior to the closure in August.
Eventually, the council issued a set of penalty notices due to non-compliance and breaches of regulations covering the management of HMOs prior to and on 6 August 2019, following the earlier informal requests.
The local authority originally imposed £90,000 in penalties under the Housing and Planning Act 2016, which allows councils to fine landlords for issues including failing to carry out repair works on properties. Under the 2016 Act, a council can issue a maximum penalty of £30,000 per offence.
The council also removed Dorval's HMO licences, deeming her no longer a 'fit and proper person' to run the properties.
Dorval later appealed against the penalty notices to the First Tier Tribunal.
When considering the size of the penalties, the tribunal panel concluded that there was less culpability as the issues were a rapid deterioration over a short period of time. It therefore reduced the fines to £23,000.
Dorval stated during tribunal hearings that some work had been done to the properties and that some of the damage was caused by the tenants – saying she was a victim of the occupiers, a view recognised by the tribunal panel in its ruling. Dorval had no previous convictions.
Judge Ruth Wayte concluded that the penalties "will in large measure remove any financial benefit to the applicant as manager over the period of the council's involvement with the properties".
Paul Honeywood, Cabinet Member for Housing at Tendring District Council, said the level of fine showed landlords they must maintain their properties.
He added the council was not afraid to take action against landlords "who think it is acceptable for our residents to live in sub-standard housing – whether that’s issuing our own fines, or following various appeals through the tribunals".
Adam Carey
