Northumberland agent expelled from The Property Ombudsman for outstanding award of £500

Buyers, sellers, tenants and landlords in Morpeth, Northumberland, are being warned that a local estate and letting agent, Sam Allan Estates Ltd (trading as Sam Allan Estates), has been expelled from The Property Ombudsman and is now in liquidation. The Property Ombudsman received a complaint from a landlord who criticised Sam Allan Estates’ approach to referencing. The agent was unable to provide The Property Ombudsman with evidence to show that they properly and fully referenced the Tenants. The Agent was also criticised for relaying their referencing findings, and consulting with the landlord on how to proceed with the prospective tenancy, over the telephone, rather than in writing as is required in the TPO Codes of Practice. This complaint was supported by the Ombudsman and £500 was awarded for the avoidable aggravation caused by Sam Allan Estates. The agent failed to pay the award and The Ombudsman referred them to the scheme’s independent Compliance Committee, which ruled that they should be expelled from The Property Ombudsman scheme. Sam Allan Estates Ltd is now in liquidation - the landlord has been advised and papers have been provided to assist in alternative action. TPO is also aware of a further case of non-payment for £225. Gerry Fitzjohn, Non-Executive Director and Chairman of TPO’s Finance Committee: “As a member of TPO, agents are obliged to comply with awards made by the Ombudsman, which Sam Allan Estates failed to do. It appears that this agent is no longer trading, which is frustrating for the tenant who is owed outstanding monies. We would like to remind consumers to ensure they always use an agent which is a member of a redress scheme (The Property Ombudsman or The Property Redress Scheme) and holds Client Money Protection.” Every sales and lettings agent in England is required to register with a Government-approved redress scheme, which enables consumers to have their complaint reviewed independently in the event of a dispute arising that the consumer is unable to resolve with the agent directly. An agreement between the two Government-approved redress schemes (The Property Ombudsman and The Property Redress Scheme, means Sam Allan Estates will not be able to register for any form of redress until the award is paid. Redress registration is required for the agents to trade legally.