Docklands Solicitor

Latest legal news from Docklands Solicitors, Kaslers Solicitors LLP.

Wednesday 7 September 2011

 

Service Charge for works to leasehold flats


In general terms, where a landlord (L) proposes to carry out works and recover the cost from the tenants (Ts) by way of service charge, he must consult first



The rules apply to “Qualifying Works” i.e. works to which an individual T will have to contribute more than £250



In those circumstances, L must



1.        Give notice (“Stage 1 Notice”) of intention to carry out the works to each T and any recognised tenants’ association. This must describe, in general terms, the proposed works (and a description must be available for inspection); state why L believes the works are necessary; invite written observations within 30 days; and invite nominations for contractors within 30 days



2.       Have regard to observations made within the 30-day period



3.       Try to obtain an estimate from contractors nominated during the 30-day period



4.       Serve a Statement



a.       Summarising at least two estimates. Any estimates from contractors nominated by Ts must be included. All estimates must be made available for inspection and so, if not too much paper, it might be better to attach copies to the Statement 



b.      summarising any observations made and L’s response to those observations



c.       inviting  written observations on the estimates within 30 days (the Stage 2 Notice)



5.       Have regard to observations made within the 30-day period



6.       If he chooses to contract with his own contractor (i.e. one not nominated by Ts)  or one who did not give the lowest estimate, serve written notice of his reasons for his choice and a summary of , and his response to,  any observations received in response to the Stage 2 Notice



If he does not follow this procedure, L will be limited to recovering just £250 from each T in respect of works



There is a similar but slightly different procedure for “Qualifying Long-Term Agreements” i.e. service agreements entered into by L which will run for over 12 months and where the contribution payable by the T will exceed £100 in any service charge year

Michael Breeze, Kaslers Solicitors - 0845 270 2513

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Call Michael Breeze on 07900 195 195 or call 0845 270 2511 to if you need legal advise about any of these issues

Kaslers Solicitors LLP is a limited liability partnership registered in England under LLP no. OC310653; authorised and regulated by the Solicitors Regulation Authority under reg no 408936; governed by professional rules set out in the Code of Conduct click here to visit and has its registered office / main trading address at Suite 3, 10 Churchill Square, Kings Hill, West Malling, Kent ME19 4YU - tel: +44 (0)845 270 2511; fax: +44 (0)845 270 2513; DX 92863 West Malling.
The LLP Members are Michael D Breeze LL.B (Hons) (SRA reg no 110184) and Simon McCree Scott LL.B (Hons) (SRA reg no 298202).