A guide to deposits, disputes and damages
Alternative Dispute Resolution (ADR) explained:
Free guide on alternative to traditional court processes for resolving disputes.
What is Alternative Dispute Resolution (ADR)?
Alternative Dispute Resolution (ADR) is a method of resolving disputes that diverges from the traditional court route. It provides a way to settle disagreements, such as those arising from tenancy agreements, without resorting to lengthy and costly legal proceedings.
In ADR, a neutral and qualified adjudicator examines the evidence presented by both parties and makes a binding decision. Unlike mediation or arbitration, the parties do not need to meet with the adjudicator, making the process less confrontational. While ADR doesn’t involve direct negotiation or counselling, the scheme overseeing the process may suggest early resolution attempts if feasible.
The ADR process:
Evidence submission
The parties involved in the dispute are required to submit their evidence within specific timeframes set by the ADR scheme. This evidence is crucial in supporting their respective claims.Adjudicator's decision
The adjudicator, an impartial expert, evaluates the evidence and makes a binding decision on how to distribute the disputed deposit amount. This decision is made based solely on the evidence provided.Burden of proof
It's essential for the landlord to prove their claim with a 'balance of probability.' This means demonstrating a legitimate reason to retain all or part of the deposit. Failure to provide sufficient evidence may result in the disputed amount being returned to the tenant.Binding decision
The adjudicator's final decision is binding on both the landlord and the tenant. However, either party can request a review if they believe the adjudicator made an error of fact or law. Such requests must be made within a specified timeframe.
Adjudicators and evidence:
The adjudicators responsible for making decisions in ADR are trained experts employed by the ADR scheme. They base their decisions on the evidence provided by the parties involved. The strength and relevance of this evidence significantly impact the outcome of the dispute.
The following types of evidence are commonly considered:
Tenancy/agreement
This document outlines the contractual obligations of both parties and is essential in establishing the basis of the dispute.Inventory reports
Comprehensive inventory reports at the beginning and end of the tenancy are crucial. Properly completed reports provide a clear record of the property's condition and help assess fair wear and tear.Photographic and video evidence
Photos and videos depicting the property's condition can support claims. Relevant 'before and after' images with explanations enhance the evidentiary value.Invoices/receipts/estimates
Documented costs for repairs, replacements, or cleaning are important. Invoices and receipts from professionals hold weight, while estimates provide indications of expenses.Rent account statements
Statements highlighting rent arrears can substantiate claims related to unpaid rent.Witness statements/other evidence
Statements from witnesses or individuals with relevant information can provide additional insight.
Fair wear and tear:
It’s crucial to distinguish between fair wear and tear and actual damage. Fair wear and tear are expected in a property due to ordinary use and natural forces. A landlord’s claim for repairs or replacements should account for fair wear and tear, and landlords shouldn’t end up in a better position than at the start of the tenancy.
ADR offers an effective means of resolving disputes, such as those involving tenancy deposit disputes. The process emphasizes evidence-based decisions made by qualified adjudicators. Both parties should prepare and submit robust evidence to support their claims, ensuring a fair and just outcome.