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Vadamalayan v Stewart [2020] UKUT 183 (LC)

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by

Luigi Garuzzi
in

“Disclaimer:Tenant Support UK is not a law firm and does not provide regulated legal advice. All content on this website is for general informational purposes only, based on publicly available legal guidance and personal experience. If you need legal advice tailored to your situation, please consult a qualified solicitor or a trusted housing advice service.“

Court: Upper Tribunal (Lands Chamber)
Date: 2020
Type: Rent Repayment Order (RRO) – Award Principles

Background:

Mr. Vadamalayan, the landlord, operated an unlicensed House in Multiple Occupation (HMO) in London. The tenants applied for an RRO, and the First-tier Tribunal (FTT) ordered the landlord to repay £17,420, after deducting certain expenses. Mr. Vadamalayan appealed, arguing that additional costs, including mortgage interest and an £8,000 local authority fine, should have been deducted.

Legal Issue:

What is the correct starting point when deciding how much rent should be repaid in an RRO?

Decision:

The Upper Tribunal confirmed that:

This decision marks a significant shift in RRO assessments, favoring tenants by potentially increasing the amounts recoverable. Landlords can no longer expect deductions for typical property-related expenses or penalties. The ruling underscores the importance of compliance with licensing requirements and the limited scope for reducing RRO liabilities.​

The starting point for calculating an RRO is the total rent paid during the relevant period (up to 12 months). This approach aligns with the Housing and Planning Act 2016, which does not require the repayment amount to be “reasonable,” unlike the previous legislation. Therefore, prior case law suggesting that only the landlord’s profit should be repaid is no longer applicable.

Legal Impact:

  • Strengthens tenant rights to full rent recovery where landlords breach licensing laws.
  • Clarifies that Tribunals must follow a structured approach based on statute, not discretion.

Links:

Vadamalayan v Stewart [2020] UKUT 183 (LC)

Apply for a Rent Repayment Order (RRO1)

Help With Fee

The Toolbox: 9 Ways to Fight Back Without Moving to Mars

  1. Shelter England – england.shelter.org.uk — 0808 800 4444.
  2. Citizens Advice Redditch & Bromsgrove – citizensadviceredditch.org.uk.
  3. TSUK Letters Templates – TenantSupportUK.com
  4. ACORN Community Union – acorntheunion.org.uk.
  5. Generation Rent – generationrent.org.
  6. Renters Reform Coalition – rentersreformcoalition.co.uk.
  7. Housing Ombudsman Service – housing-ombudsman.org.uk.
  8. Redditch Borough Council Housing Solutions – redditchbc.gov.uk/housing or call 01527 587 000.
  9. Tenancy Deposit Schemes – depositprotection.com (DPS) • tenancydepositscheme (TDS) • mydeposits.co.uk (MyDeposits)

Tenant Support UK

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