- Project plans
- Project activities
- Legislation and standards
- Industry context
Last edited 04 Sep 2017
Correct service charge procedures
Residential leases usually contain detailed procedures that must be followed before valid demands for service charges can be raised. Some landlords sidestep such requirements for reasons of convenience, but an Upper Tribunal (UT) decision has underlined the hazards inherent in such a course.
The First-tier Tribunal (FTT) found that the lease did not provide for the collection of interim service charges on account. Those charges and contributions to a sinking fund maintained by the company had not been agreed at an annual general meeting (AGM), as required by the lease.
In upholding the tenants’ challenge to the latter ruling, the UT noted that the requirement that service charges be approved by a majority at an AGM was an important safeguard. It was neither unfair nor unjust for the tenants to rely upon the letter of the lease and, in the circumstances, the disputed bills were not payable.
 Find out more
 Related articles on Designing Buildings Wiki
Featured articles and news
Urgent need for open communication to address mental health issues.
Guidance offered on COVID-19 green recovery, building safety and more.
Providing strength and support above the joists.
Enforcer will test and investigate product safety.
Underfloor air conditioning comes to 24 St James's Square.
Consultation on public right to buy unused public property.
IHBC resource offers improved consistency.
New laws to ‘retain and explain’ historic statues.
The principles and art of the possible. Book review.
From horse and cart to hypermarket.
How elements and processes work together in a systems approach.
CIOB offers digital guide to proactive methods of working.