Council warns about claims firms that “aggressively target vulnerable residents” following housing disrepair claim

Mid Devon District Council has warned residents about so-called "claim farmers" after securing almost £10,000 in legal costs when a claimant behind a housing disrepair claim offered to settle just before the case was to be heard.

The council said it understood the claimant wished to withdraw their claim at an earlier stage, but the fine print in the "no win, no fee" contract they had signed involved a financial penalty that they could not afford.

The claimant is a tenant of the council's housing service, Mid Devon Housing, and alleged disrepair on the property, which had led to roof leaks, mould, defective windows and defective guttering over a prolonged period between 2012 and 2019.

In a statement, the council noted that despite these claims, the tenant had responded to numerous satisfaction surveys during the tenancy, telling Mid Devon Housing that since 2014 they had been 'very satisfied' with the quality of repairs carried out and with the overall repairs service.

It added that although the mould had not been reported directly to the housing service by the tenant, it was identified by a council officer during a routine inspection in 2019. But the tenant failed to respond to calls from the repairs team to resolve the mould, instead turning to the no-win, no-fee solicitor.

The tenant's appointed expert surveyor initially felt that the cause of dampness was related primarily to a roof leak. However, they later stated that the cause was other defects, including defective cavity wall insulation, which had led to 'moisture transfer and cold bridging', as well as dampness around a rear porch.

The council's position was that there was no evidence of moisture transfer from outside of the building and that treating condensation-related mould was not the landlord's responsibility.

The council was also able to counter the claim that a rear porch was a cause of dampness, as there was no rear porch, it reported.

Plymouth County Court was set to hear the case over two days, but on the first day of the trial – and at the door of the court – the tenant offered to settle and pay the council money towards its costs in order to avoid the trial.

The settlement agreed between the parties was then put before the judge, who ordered the tenant to pay the council a net amount of £9,750.

Commenting on the case, Simon Newcombe, Corporate Manager for Public Health, Housing and Regulation at Mid Devon, said the council is "increasingly becoming concerned about largely unregulated claims firms who aggressively target vulnerable residents".

He added: "This is more than a local issue, tenants everywhere are being enticed by the promise of a 'no win, no fee' outcomes, but sadly often it's the claimant who loses out. We would urge our tenants to be cautious if they are approached by any of these firms making promises which are often too good to be true."

Adam Carey