Question for the contract lawyers?

[SoPerplexed]

If a tenant pays only one of two joint owners for the use of a property, instead of paying both owners equally as per the contract, who should the unpaid owner sue?

Should he sue the other owner, because the other owner accepted payment from the tenant and does not agree to share the money?

Or should he sue the tenant for not following the terms of the contract?

[scotman]

Did the tenant pay the full sum or half sum?

[SoPerplexed]

@scotman:

The tenant paid the full sum to the 'bad' co-owner. As far as I am aware, the tenant would have no reason to do this other than being misled by the bad co-owner.

[scotman]

It seems to me that if the contract is sound then the tenant should be pursued for the money.

[SoPerplexed]

@scotman

Really? That seems unfair, as there is no suspicion that the tenant did it for any other reason that being misled by the bad co-owner. Surely the remedy would be for a judge to order the bad co-owner to pay the 'good' co-owner money that is rightfully that of the good co-owner?

Usually contract law is very fair and common-sense; I don't see it as fair to pursue someone who no longer has the money and paid it in good faith to someone who misled him. But if that's the law, that's the law, I suppose.

[EcclesCake]

If, as you said in your first sentence, the contract states that the tenant should pay BOTH owners then the tenant is liable.

They may have been spun a line by the 'Bad' co-owner but it is nor a good idea to go against the Ts&Cs of a contract as things can quickly unravel, as they have here.

[Davethedog]

The tenant says I gave the "bad" co-owner both amounts as he told me he/she would pass it on. As long as he believes that and did so in good faith and unless under the terms of the contract it is specific how payment should be made, I think you would have a hard time persuing the tenant.

[jackthehat]

I think a great deal would depend on the wording of the contract.
'Equally' is not the same thing as 'separately'...............