Written by Candice Moyo
For Housing Providers, managing disrepair claims is a fundamental aspect of maintaining safe and habitable homes. Disrepair remains a persistent and often costly challenge, creating opportunities for aggressive claimant firms to exploit the system. The growing number of these firms places a strain on resources, damages tenant-provider relationships, and introduces financial, operational, and reputational risks for providers.
While many claims stem from genuine property issues or delays in repairs, there is growing concern over the behavior of profit-driven, aggressive claimant firms. These firms frequently engage in misleading and aggressive practices, targeting vulnerable individuals and housing providers with questionable claims that often lack merit.
There are several common, questionable practices used by these firms to generate claims. As a housing provider, it’s helpful to understand these tactics in order to recognise and respond to them effectively.
Common aggressive claimant firm tactics
- Targeted approach – some firms engage in door-to-door canvassing, focusing specifically on areas with older housing stock and harder-to-maintain properties. These areas are deliberately targeted due to their higher likelihood of disrepair issues and slower repair turnaround times.
- Social media outreach – in addition to door-knocking, some firms use social media platforms to identify and approach tenants – often under the guise of helping them access compensation for disrepair. These messages may appear helpful but can be misleading in nature.
- Exploiting vulnerabilities – much like predatory lenders, these firms often target vulnerable tenants – particularly those under financial or personal stress, or those unaware of their legal rights. Tactics may include promises of large, quick compensation settlements with little context or explanation of the legal process involved.
Recognising red flags
It’s important for housing providers to recognise aggressive claimant firms not just by their tactics but also by common red flags. Being aware of these signs helps you treat certain cases with extra caution, check in with tenants if concerns arise, and take appropriate action. This approach can prevent unnecessary disputes, protect tenants’ interests, and reduce risks to your organisation. Here are some common features to watch out for when dealing with claimant firms:
- Spurious forms of authority – instruction documents may lack a wet signature or contain errors in the tenant’s personal details, raising questions about their authenticity.
- Lack of tenant awareness – when approached regarding a claim, tenants may demonstrate little or no knowledge of the legal process underway or the details of the alleged disrepair.
- Inconstant claims – letters of claim or complaint may include discrepancies – for example, mismatched details about affected rooms, inconsistent descriptions of issues, or implausible structural concerns.
- Pressure tactics – firms may use aggressive language, urgent deadlines, or persistent “chaser” communications to force quick action without due process.
- Unsolicited contact – tenants may have been contacted through cold calls, texts, or emails—often without initiating any contact themselves.
- Vague and misleading credentials – a lack of clarity regarding the firm’s legal status, including absence of registration with the Solicitors Regulation Authority (SRA) or any recognised regulatory body.
- Communication vulnerabilities – be alert to tenants with specific communication needs, such as significant language barriers, cognitive or physical vulnerabilities and inappropriate or confusing communication methods used by firms.
- Tenants acting against their interests – some tenants may be advised to refuse access or disengage from repairs -actions that could inadvertently strengthen the firm’s case but harm the tenant’s living conditions and tenancy obligations.
- Seasonal trends – spikes in both genuine and opportunistic claims often occur around key times of year (e.g. Easter, summer holidays, Christmas, New Year), especially when tenants may be under financial pressure. Firms may exploit this with promises of quick, high-value compensation.
Proactive approaches for handling claimant firms
Awareness is just the first step; it is equally important for housing providers to understand how to respond effectively. If you receive a letter of claim or complaint and have any doubts, there are practical steps you can take to address the issue appropriately and safeguard your position.
Strengthen internal process
Strengthening internal processes is crucial for housing providers to effectively detect and prevent fraudulent or opportunistic claims. Without robust systems – such as disrepair tracking tools, tenant reporting portals, and claims trend analysis, providers leave themselves vulnerable to repeated targeting by aggressive claimant firms. Investing in these tools not only helps identify suspicious activity early but also supports a more efficient and transparent approach to managing disrepair claims.
When a new letter of claim is received from a claimant firm, it’s important to record details such as the firm’s location in relation to the property, any previous tenant notices, and then develop a clear action plan. Maintaining a robust disrepair tracking system can also help identify patterns, trends, and repeat claimant firms, allowing for a more targeted response.
Additionally, training staff at all tenant-facing levels to recognise signs of predatory activity is vital. Ensuring that employees consistently follow established complaint and repair protocols, while keeping detailed records of tenant communications, inspections, and repair timelines, will strengthen your position and provide essential evidence if a defence against a claim becomes necessary.
Educate and communicate with tenants
Regular communication with tenants is essential. Providing quarterly updates that remind tenants how to report repairs, emphasising the importance of timely reporting, and caution against unsolicited legal contact can help reduce the risk of exploitation.
Utilising leaflets, letters, and email campaigns is an effective way to inform tenants about the potential risks associated with engaging predatory legal firms.
Moreover, fostering open dialogue during property visits encourages tenants to share concerns or confusion they may have, helping to identify any external influences early. This open communication builds trust and respect between tenants and housing providers, ultimately supporting smoother repair processes.
Take legal action where necessary
If there are suspicions or evidence of fraudulent activity or misconduct by claimant firms, housing providers should consider reporting the matter to the Solicitors Regulation Authority (SRA).
Seeking guidance from disrepair specialists is also advisable, particularly when managing high-risk cases or repeated claims, to ensure effective and informed handling of complex scenarios.
Staying proactive to protect your organisation and tenants
While tenants have a right to raise genuine disrepair concerns, it is important to remain cautious of firms that may prioritise profit over proper legal process. Predatory claim firms can mislead tenants, create unnecessary disputes, and lead to financial consequences. By staying informed, seeking advice early, and reporting suspicious activity, you can help protect yourself as a housing provider and your tenants.
If you want to discuss anything further or are interested in additional guidance, please contact our housing management team: Specialist Housing Management Solicitors – Clarke Willmott