Landlords – Unpaid Rents or Utilities

single.php

Posted and filed under Legal Issues in Spain.

Landlords- unpaid rents and utilities

Many landlords approach us about unpaid rents or utilities by tenants. At what stage should they take legal action?

Unpaid Rent

Firstly, there should always be a written contract between tenant and landlord, so it is clear when rent is due, and how it is to be paid. Also how utility bills will be funded. If a tenant does not pay a month, or pays late, then you could instruct a solicitor to send a legal letter to request payment. This bears a cost. So if the tenant then pays, but late, then money has been lost.

If a tenant does not pay after a legal letter, the next step is to start an eviction proceeding through the Courts. If they have never had a problem before, the Court may let them just pay and continue in the property. However, they are more likely to agree to an eviction if rent or utilities owing. However, this takes time to come to Court. Although it is much quicker than it used to be.

Advice for Landlords – Unpaid rent and Utilities

If you have a tenant that has not paid for a month, it is unlikely that it is worth involving a solicitor at this stage. You should contact them for overdue payment yourself or through the agent. It is possible there is a good reason and they may need a little leeway. The best thing with landlords to avoid problems is to try to keep matters amicable.

However if it is clear that a tenant is continuing with unpaid rent and utilities then after a couple of months or maybe three it is time to take action. A legal letter should be sent, as then we have to wait a period of time for a response. If after say 20 days, there has been no response, you will need to start a legal action. This would be for payment of unpaid bills (if they have money). Also for eviction. The problem is sometimes the eviction can take place, but if the tenants have no money at all, getting paid can be a problem. That is also why the initial vetting of tenants and a contract can be very important. We can assist landlords with unpaid rent and utilities situations.

56 Comments

  • Gary Millward

    I had a tenant who left my appartment not giving notice . Not returning all the keys , not paying all the rent and some utility bills not paid . What do you suggest

    • Amanda Thomas

      Dear Gary, Do you know where the tenant is now to pursue them? if not there is not much anyone can do. Also if they have no money and you start a legal claim against them you are probably unfortunately losing more. But if you know their address and that they have assets, then I am sure we might be able to help you. Kind regards

  • Stacey Cartier

    I have a tenant that left the property without notice at the end of July and they had not paid the utilities or rent since April. They left a lot of items in the property and we had to change the locks. they keep saying they are coming to pay what they owe and Im loosing patience. My agent looking after the property advises we cannot through out the items in the property so I cannot rent it out again. What rights do I have?

    • Amanda Thomas

      Dear Stacey, The correct thing will be to send the tenant a letter requesting payment of the debt and asking them to proceed to collect the belongings they have left in the house and for the owed money. (Burofax). You don’t mention what date does the contract end, but we assume that it is still in force. Kind regards, Amanda

  • Barry carter

    Hi I had a tenant in a property in Spain, they have not paid electricity bills since July 2020,
    They did a runner, left Spain and are back in the uk somewhere. Is it worth tracking them down for lost rent and utility bills.

    • Amanda Thomas

      Dear Barry, I am so sorry to hear that. Unfortunately if they have left the country it would be very difficult to get money back from them. You need to have a Court Resolution in Spain (which takes time and money) and then execute that proceeding in the UK using a UK solicitor (more money). And if they don’t have much money, it would not be worth it. I am sorry to not give you better news. With kind regards

  • Mal

    ten­ant in my prop­erty in Barcelona , they have not paid rent since October 2020, they don’t answer my calls as well, I can’t fly to Spain during Covid restrictions and have to pay for the mortgage for that property. What the best solution to deal with them?

    • Amanda Thomas

      Hi Mal, You need to engage a lawyer locally to the property in Barcelona and start an eviction process and claim for unpaid rent. I would advise to do this as soon as possible. Good luck, Kind regards

  • BERYL ROBERTS

    I have a tenant who has paid no rent or electricity bills since march 2020,how do I recover this please?

    • Amanda Thomas

      Dear Beryl, We are so sorry to hear this. You need unfortunately to start a court eviction process and claim of the debt. You need a local lawyer to the property as it must be done through the local Courts. Please contact me if your property is near us or near to Marbella, With kind regards, Amanda

  • Mark

    Tenant in my mothers apartment in Puerto Banus. The contract ended in the beginning of the pandemic and they still have not left the apartment, I have not been able to fly to Spain due to coivd and my job, what’s the best solution for me.
    Thank you in advance

    • Amanda Thomas

      Hi Mark, You don’t mention whether they are paying the rent and bills. If they are then the contract is considered automatically extended. If not, (and I think maybe not) then you need to start an eviction process unfortunately. You need a local lawyer as it must be done through the local Courts. If you contact us we do know one in Marbella that may be able to help. With kind regards, Amanda

  • Cyrele Thornton

    Hi, my Mum who is English has died in Spain and has left me her apartment in her Will along with unpaid credit cards and no life insurance. She had been resident in Spain with her partner for about 8 years. He now refuses to leave the property. He has paid some of the utilities but not all. Am I correct in saying that if he wants to remain in the property until he has sorted something alternative….that I can ask him to pay rent to me under a rental contract for say six month? Am I correct in that he does not have the right to live in the property for zero rent?
    If he refuses to sign a contract, can I at that point begin legal proceedings to evict?

    • Amanda Thomas

      Good morning, Firstly you would need to check the Will (or a lawyer) that he does not have usufruct. If not, then no he does not have rights and you can offer him a contract (but six months doesn’t seem worth it, unless is time to find something else?). Yes, if he refuses to sign and pay then she you can start an eviction proceeding and we can help if it is local? But if you have not done the Spanish probate, this would need to be done before or simultaneously with the eviction. We can deal with probates all over Spain but evictions we can only do in the local Courts here. Kind regards Amanda

  • Kelly Barraclough-Dunn

    I rent my property but now need to sell. The tenants have paid half the rent this month. I have issued them two months notice to which they have responded that I have two options – either not charge them for the notice period or they will stay until completion of the contract paying what they deem is reasonable. Can you advise as to what is my best course of action?

    • Amanda Thomas

      Dear Kelly, I am sorry but tenants have a lot of rights. I would need to see the contracts to advise if you could email them please. Kind regards

  • Sheridan Hurd

    There is a tenant in my property in Almunecar., this was organised by neighbour with consent from Sept 19, unfortunately they have overstayed from March 20 and have not paid anything since September,20 they are basically bullying her, and I have no idea what to do. we have queries on their actual names, and they don’t give access to the apartment,

    • Amanda Thomas

      Dear Sheridan, I would advise you to contact a lawyer local to the property to start an eviction process in your local Courts. With kind regards Amanda

  • trayleen

    Hello, our family includes 2 children and baby due shortly have moved into a private rental which appeared to have 4 bedrooms (4th having matching floor tiles, window,curtain rail, wardrobe wooden ceiling, light etc). Recent bad rain has water falling down one wall and through the wooden ceiling. After calling to complain the owners pointed out contract states 3 bedrooms…we hadnt noticed but signed for this, they pointed out our error saying despite what it may give an impression of, this room is actual an outdoor covered terrace (not listed in contract however the terrace). Can I now refuse to pay rent here until we find a new rental as they said we can leave if we want but with a baby due soon it is not possible but I cannot use the room and there is water pouring in and no way to stop it pooling on the landing or spreading down the stairs?

    • Amanda Thomas

      Dear Trayleen. I am so sorry to hear this. I am afraid you do need to pay the rent, you cannot avoid it, as the contract was for a 3 bedroom. The law establishes that a tenant can finish the contract 6 months after signing informing the owner a month in advance, so then you will be able to leave. I am sorry. Kind regards, Amanda

  • Melanie

    My parents let out their property to an independent school. They paid no rent or utilities for 18 months. The contract also stipulated restoration of the property when leaving. The eviction has now taken place (they left before the date) and not only have they not restored it they have left lots of damage and a load of rubbish. What recourse do they have under Spanish law? They are residents

    • Amanda Thomas

      Dear Melanie, They need to consult with the lawyers dealing with the eviction as it depends what was put in the legal action, With kind regards.

  • Kayleigh

    I am a Tenant. I moved into an apartment in May. Just myself and my child as Husband lives in America. I then went through a very quick divorce in June. I explained all of this to my landlords and subsequently have suffered a huge financial difference. I couldn’t make rent in July, and now here in August I have made rent either. I am up to date with all utilities. I have explained the situation to my landlords that I just need that little bit of extra time for everything to iron out and understandably they do not want to wait. They have demanded the full outstanding balance of 1280€ by tomorrow. My income as of this moment is €400 per month. I am so, so scared. What is the true procedure and is there anything more I can do to prevent us being homeless. The landlord really doesn’t want to work with me at all, (again, understandably)

    Thank you in Advance.

    • Amanda Thomas

      Dear Kayleigh, If you do not pay the rent there is a procedure whereby they have to send you a legal letter and then after that they can submit a legal action to the Courts to evict you. It will take time. You will need a lawyer locally, but I would recommend you wait until you receive a legal letter and then approach your local Court for a legal aid lawyer (we do not do legal aid). But keep trying to pay what you can and negotiate. Kind regards

  • Stephen

    I have a tenant on a six month contract which has nearly expired. He has always paid late and is now refusing to pay rent at all. He has broken the contract by having a dog on the property as well as a no smoking clause. He has also moved approximately 3 other people into the property without permission and changed the locks. We have reported him for anti social behavior as well. How long after the contract ends do I wait to remove his belongings? And if I believe he has left after the expiry date how long must I wait before I can enter the property?

    • Amanda Thomas

      Dear Stephen, We need please a copy of the contract and we will try to advise you, With kind regards, Amanda

  • Symone

    Can a landlord put a restriction on electricity. I have stopped paying utilities as my landlord refused to give me a factora and wants all money in cash. The house is not registered as a rental and he is not declaring that he has tenanants.

    • Amanda Thomas

      Dear Symone,

      No, they cannot cut it off, that would be illegal, Kind regards

  • Toby

    I have had a financial problem and not made rent or utilities for 5 months I have vacated the property now. The land lord has taken leagl action and is taking me to court. I am not in the country to go to court or do I have the money to pay at moment. I have said when my financial situation has changed I will pay. Is it possible for him to take the letting agent to court for me not meeting the contract. Any advice will be appreciated
    Thanks

    • Amanda Thomas

      Dear Toby, I am sorry to hear this. I am afraid that there is little you can do if a Court action is against you but try and comply all you can. No, he cannot take the letting agent to Court, only the tenant. Kind regards

  • Adm

    Hi Amanda,

    I am a tenant who rented an apartment in BCN from Feb 2017 -> Oct 2020. I signed the lease with my ex partner, but they left after 15 months of the contract. Due to my landlord consistently harassing me and refusing to assist with repairs (such as upgrade works and boiler repairs, which left no hot water on four separate occasions totalling 2+ months), amongst other issues, I eventually chose to leave the property. The decision was compounded by a health matter that began to heavily affected my ability to work and my industry was completely thwarted by the pandemic. I vacated the property having purposefully unpaid 3.5 months rent as my deposit covered two months and works I had covered the cost of vastly outweighed the cost of any remaining funds due. I had not heard from the landlord for over a year but my ex partner received a court summons this week demanding 5.5 months + interests. My ex partner should not have been named on the contract anymore as we had notified the landlord and we are struggling between us to find the relevant correspondence as it was quite some time ago. I firmly believe I am not due any funds and the property was left in an excellent condition. I am no longer in the country for a court appearance due to health reasons, I am not in a position of being able to pay, and I do not want to leave my ex partner in a compromising position with regards to court proceedings.

    We have a 20 day window before further action is taken, how would you best advise to respond?

    Thanks!

    • Amanda Thomas

      Dear Adam, I am sorry to hear this. You and your ex partner urgently need to contact a lawyer in Barcelona or close to there to assist as it needs to be a local lawyer, as they will need to defend the case. With kind regards.

  • Christina Welin

    Hi Amanda,
    Our tenant is not paying the electricity bill despite this being part of the rental agreement. We have told them that we would be ok for them to get their own utility account as we don’t want to continue paying the utility bill which they never pay. We pay by autopay but we obviously expect to get the money per the agreement. We always send the the invoice so they can see the specification.
    What can we do?

    • Amanda Thomas

      Dear Christina, If this is in the contract then of course they are breaching it. You should warn them that unless this is resolved you will need to involve lawyers and neither of you want that. I hope it can be sorted soon, With kind regards, Amanda

  • Anina

    Hi Amanda, I am a tenant and I need your advice. Our consumption of electricity has increased dramatically – it tripled last month. We asked the landlord to have the flat being looked at by an electrician because such a high consumption was not possible, but he didn’t really care about the issue. Then, we informed him that our fridge is leaking and it can be the problem. He said, we need to clean the fridge… didn’t even come to have a look at it.

    This month’s electricity is now 5 times more than the normal. We are talking about 1200kwh consumption within 30 days with a bill of 400 euros, while normally it is around 250kwh and 80 euros a month. (3 tenants in total)

    I refused to pay last months bill until the issue is investigated and resolved. He is coming today to talk to us and he is not happy about that I haven’t paid but I know that otherwise he would not do anything.

    Can I/we be obliged to pay such a high bill even if an electrician confirms that the high consumption was because of a faulty fridge? We have evidence of that we asked him to check the flat and investigate the issue.

    Also, I have a contract but with incorrect dates – I assume my contract is invalid that way (on the top says September, but my signature is dated for end of January.) My flatmates would like to terminate their contract as theirs are valid – is it possible? Our rent is paid until 1st April.

    Thank you for your help in advance.

    • Amanda Thomas

      Dear Anina, I am going to send you an email now, With kind regards, Amanda

  • Ally

    Dear Amanda,
    We have Tenants who are refusing to pay rent & utilities & rent since the electric prices have risen. They are claiming they haven’t used the amount on the bills – they claiming the meter is faulty. We are looking into the problem.
    What can we do?

    • Amanda Thomas

      Dear Ally, First of all check with the utility supplier (I did with mine and they said no it was merely because of increased prices). If they still refuse to pay afterwards I need a copy of the contract, and details of how much rent and utilities they owe, they will already be in breach of the contract for the rent. We will need to send a legal letter and if they still refuse to pay then we will need to start an eviction process, which will take 6-9 months. so if they can be shown anything (an email) for instance from the supplier showing it is just how it is at the moment maybe we can avoid the legal route. But we are here as soon as you want to get started. Kind regards. Amanda

  • Sandra Lea

    My french retired Spanish tenant has not paid his rent for 8 weeks, saying his pension is on hold as he has to prove life. I am concerned this is going to continue, do I pursue legal action now or allow him more time? He has stopped responding to our messages. Thank you in advance.

    • Amanda Thomas

      Dear Sandra, We could only assist if the property is near us in location. There are steps that have to be taken like sending a burofax and then allowing time so I would advise that if you hear nothing in the next few weeks then you contact us in September to start proceedings. With kind regards

  • Simon

    Hello Amanda i need an advice.
    We have a rent contract for a year in English and in Spanish.
    According to Spanish contract we can leave apartment after six month notifying owner in 30 days
    but in English version of it we also need to pay for remaining 6 month till contract finish (even if we leave, which is strange). Also there’s no word in each of contracts which one is main and which should be used as a source of truth.
    Both of them are signed by me and by property owner.
    My question is can we leave after 6 month or we need to pay for a year?
    Thanks.

    • Amanda Thomas

      Hi Simon, We would need to see the actual contract to advise, with kind regards Amanda

  • Jodesi Eaves

    Hello Amanda,

    I am currently renting in Marbella on a seasonal contract from September 2022 to June 2023. Unfortunately I won’t be attending school in Marbella anymore. Can I break my contract without penalty. The contract doesn’t state anything, but I am hearing about a six month law. I would have only done three months, but I did put down first months rent and two months of security deposit.

    • Amanda Thomas

      Dear Jodesi, It depends on the wording of the contract ;the six months is just if it is your main residence and you are paying the rent and utilities you have the right to stay 6 months. With kind regards, Amanda

  • Thomas

    Hello Amanda,

    I have just moved to Spain and had to set up electricity in the apartment that I am renting. The apartment was supposedly unoccupied for the last 10 years or so. This means I initially had to pay 90 euros to set up a contract with 3.3 kWh. I set it up with 3.3 kWh because the electricity company told me that was the last amount used (in no other country that I have lived in have I had to state my maximum contracted power). I soon found out that this could not support heating, the boiler and cooking at the same time. Then I also found out my apartment could only support 3.3 kWh because my landlord did not get a new BIE, despite installing a bunch of modern appliances…

    I did some research and asked my landlord about it. He hesitated at first but he finally sent an electrician who gave us a new BIE, which allows us to have 5.75 kWh. To raise the maximum contracted power from 3.3 to 5.75 kWh I have to pay 120 more, meaning my total setup cost is 200+ euros.

    Is it normal that I have to pay this? The way I understand it… once I leave, I can transfer the electricity contract to the landlord or the next tenant… meaning that individual would not have to pay these setup costs. Does that make sense? Is it fair that I have to pay 200+ to set it up, then potentially leave in a year and my landlord does not have to pay these costs anymore? I’m asking in particular because the landlord renovated the entire apartment, including with modern appliances, before I moved in but he never contracted the electricity (not even to test the appliances, which you’d think one ought to do). In hindsight, I am 99% convinced he did this on purpose so he wouldn’t have to spend more money and could instead shift this cost to an unaware foreigner. In my experience, I do not think it is reasonable to spend hundreds on setting up electricity every time I move into a new place. If I buy a house, sure, that makes sense—but for an apartment I am renting, it just doesn’t make sense to me.

    • Amanda Thomas

      Dear Thomas, No, it would not be normal but would depend on your contract and what you had agreed between you in the initial stages. If you are local we can see what we can do but a legal letter would just add more costs and he may not refund. With kind regards.

  • Glynn mcintyre

    Hi
    We took out a contract on a villa for 1 yr date specific from November 2020-December 2021 we live in the uk and took it out with a agent, after the end of rental period all rent paid, the landlord was still charging rent, to us without contract, we refused to pay it as we live in uk, as we was not in contrac, and said we would continue to pay rent if a new contract was drawn up , it never happened, then we got a email saying we owed 15,000 euro for the property the locks changed all our stuff was never returned and we also put 7000 euro into refining the pool and property
    We have been told we was going to be taken to court but never received any info on this even though they had our email and phone numbers, and we are worried about going back into Spain as we don’t want to get arrested if we have been to taken to. Court at the airport, could this happen as we have no idea if we’ve been taken to court

    • Amanda Thomas

      Dear Glynn, It may be too early for a Court case to have happened. But certainly you should have received some form of legal correspondence, so it may have been left or it may be in process. Usually I would recommend checking with a criminal record certificate but this costs and I think it too unlikely and soon that anything could possibly show. With kind regards

  • Max

    hi i live in uk and i have been on a rent since 3 years and have paid all my bills on time , and due to termination of my work contract and due to which i asked my landlord to let me leave the apartment and take the last month rent from the deposit , but he is deniing it and saying i have to pay till september till the contract finishes and i cant do that as i am leaving the county and goin back to germany and i cant pay as i dont have a job can you help me with this as this landlord is not being flexibale at all

    • Nicola Ryan

      Thank you for your enquiry Max,

      If you are in the UK, you would need a UK solicitor. We hope you get this matter sorted.

      Kind regards
      Nicola

  • Stina

    Hi! I am a tenant and me and my two friends are living together in an apartment in Spain. Since we moved in, there has been a lot of issues with the landlord and the apartment. The electricity has been so bad that its been a fire-risk, and also periods with no electricity,no functioning washing maschine, no aircondition,hot water and a lot more.. we have been fighting a lot for this issues to be fixed with no luck. We also contacted a lawyer that confirmed to us that the landlord has breched the contract several times. we wanted to move out as soon as possible and was adviced to do so but since the landlord does not want to pay back our deposit we still live there and are not paying rent due to this matter. We always corrospondent with the landlord on email and was clear from start that we wanted to come to an agreement that makes both parts happy. Now it has come to this that they harass us outside the apartment,ringing the bell, knocking and screaming our names. This is really an awful situation and we just wonder if this is legal? What would you advice us to do? We are so thankful for any help.

    • Nicola Ryan

      Thank you for your enquiry Stina,

      We have replied to you via your email enquiry. This would be a metter for the police. We hope you get this sorted swiftly.

      Nicola

  • Sirous M Jafari

    I am purchasing a property in Malaga that has someone occupying it without a contract and refusing to leave. Once I make a purchase do I have to turn on the utilities to my name? I rather not turn on the utilities to my name until I remove the occupants which I heard will take a couple of years to remove. What is the responsibility of the new owner regarding utility payments, Does it automatically fall back on the owner if the utilities are not paid?

    • Nicola Ryan

      Thank you for your enquiry Sirous,

      When you buy a property, your solicitor should change all of the utility contracts, IBI ect from the seller to your name. As this is a complex matter, we would recommend discussing this with the solicitor dealing with the purchase and eviction. We hope this helps.

      Nicola

  • Frank

    I had a Tennant in Spain who had unpaid bills for 3 months and then I sent the evection process, he then left the keys and did a runner back to the UK over a year and half ago, I see from one of his friends told me he is back in the country what can I do to recover my rent?

    • Amanda Thomas

      Dear Frank, You need to contact your solicitor who was dealing with the case. With kind regards.

Leave a Reply

Your email address will not be published. Required fields are marked *

*

*

*

Looking for a solution?

Feel free to get in touch with any enquiries and one of our friendly members of staff will get back to you as soon as possible.

Form loading.