Compensation rows lead to agent expulsions by Ombudsman
Summary
The Property Ombudsman has expelled three registered businesses after they failed to pay compensation awards following upheld complaints. The cases involved tenancy management, survey/report delivery and landlord account handling, with the Ombudsman stressing that awards are binding and compliance is essential to consumer confidence.
Why it matters
Residential property surveyors and agents should note the enforcement approach taken by the redress scheme, particularly where complaints involve survey services, tenancy administration and client money handling. The article reinforces the need for prompt complaint handling, cooperation with investigations and payment of awards to avoid escalation.
Key points
- Three firms were expelled from The Property Ombudsman scheme for non-payment of awards.
- One case involved a residential tenancy complaint and errors in tenancy documentation.
- One case involved a survey report that was not provided after payment was taken.
- One case involved delays transferring deposits and rent after a management handover.
- The Ombudsman said expulsion is a last resort but compliance is mandatory for registered businesses.
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