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JGM, Solicitor
Category: Law
Satisfied Customers: 9969
Experience:  30 years as a practising solicitor.
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I signed the following guarantee residential lease. It

Resolved Question:

I signed the following guarantee for a residential lease. It was the last page of the lease. Now the tenant is entering into a new lease where I am no longer required as the Guarantor. I find it unclear whether this guarantee will remain in place even if a new lease is signed due to the wording of clause 6. I asked for a letter to be sent stating that the guarantee is no longer in effect and only received an email stating: "Please accept this email as confirmation of you no longer being required to be your fathers guarantor at .......... We are more than happy with the rental payments over the last 12 months so do not feel this is necessary for the new contract starting on 3rd March 2015. "
Has the Guarantee expired with the previous lease? And if not is an email sufficient to terminate the guarantee? Many thanks
THIS GUARANTEE is made on 27th January 2014 between:
..............('the Landlord') and ............('the Guarantor') in respect of: .................hereinafter referred to as "the Tenants"
In return for the Landlord granting the Tenants the rights set out in the Agreement I now give the Landlord this Guarantee as to the payment by the Tenants of £950.00 every calendar month and for the observance and performance by the Tenants of the terms of the Agreement upon the following conditions:
In this document the following words and expressions shall, where the context so admits, have the following meanings:
'Guarantee' means this guarantee.
'Agreement' means the written agreement of 3rd March 2014 in respect of the Premises between You and the Tenants.
'the Deposit' means the returnable sum payable once the Agreement has been executed, to cover any possible loss or damage.
'the Premises' means the property known as***** Shuttleworth Road, Battersea SW11 3DY 'Rent' means the sum of £950.00 every calendar month.
'You' means the Landlord.
2. If the Tenants fail to pay any or all of the Rent due I will, upon receiving a written request from You, pay you the amount that is in arrears.
3. If the Tenants default in the performance or observance of any of the provisions of clause 5.1 of the Agreement I will pay to You all losses, damages, expenses and costs that You shall be entitled to recover by reason of their default to the extent that You are unable to recover them from them.
4. In any event, my liability under the Guarantee shall be limited to the sum of £950.00
5. Nothing in this Guarantee varies the Tenants' joint and several liability to You for the Rent and/or breach of the provisions of clause
5.1 of the Agreement for the whole of any losses, damages, expenses and costs that You shall be entitled to recover from them.
6. This Guarantee shall be for the initial term of 12 Months with a 6 month break clause commencing on 3rd March 2014 and shall continue for so long as the Tenants remain in residence and shall apply to their acts and defaults during that period. During this period I cannot revoke this Guarantee and it shall not be discharged by my death or by the death or bankruptcy or of any or all the Tenants.
7. If the Agreement is terminated with your consent or by re-entry or otherwise, all future liability on my part shall cease.
Submitted: 1 year ago.
Category: Law
Expert:  JGM replied 1 year ago.
Thank you for your question.
As the guarantee relates to the period of residence the guarantee would extend to a new lease of the same property.
However, the email does release you from the guarantee. Good practice would be for the signed guarantee to be returned to you for destruction but it's not absolutely necessary given the terms of the email.
Happy to discuss further.
Please leave a positive response so that I am credited for my time.
JGM, Solicitor
Category: Law
Satisfied Customers: 9969
Experience: 30 years as a practising solicitor.
JGM and other Law Specialists are ready to help you
Customer: replied 1 year ago.

Thanks for your answer. So just to be clear, the email is legally binding and completely releases me from any liability and the guarantee is therefore terminated?

Do emails have the same validity as a signed letter on the company's letterhead?

I just want to be 100% sure that I no longer have any responsibility regarding the tenancy and the lease. Please kindly confirm.

The guarantee was signed electronically through echosign so it would not be possible to ask for the original to be returned.

Many thanks, Tatiana

Expert:  JGM replied 1 year ago.
A guarantee is a personal right as opposed to a heritable right so the guarantee does not require the same formality of writing to discharge it. The email is fine, particularly when the guarantee was made electronically.
Customer: replied 1 year ago.

Thank you very much!

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