Owning a flat usually means that it is up to someone else to undertake the maintenance of the building and grounds. How that someone else deals with those responsibilities can significantly impact upon the enjoyment of your property.
In the vast majority of cases, management of the building is undertaken with due care. Unfortunately, there are instances where the service charge demand gives cause for concern and requires further investigation:
- Did you receive with your service charge demand a statement advising you of your rights as a tenant?
- Were you provided with sufficient information to understand what your money is being spent on?
- Are you satisfied that all items claimed are legitimate expenses at the correct amounts?
- Are all the expenses within the scope of that which you are obliged to contribute towards under the terms of your lease?
- Have all items been notified/demanded within 18 months of those costs being incurred?
- Has a formal consultation process (involving a statement of the works, invitation for your comments and nomination of contractor and statement of quotes obtained) been undertaken in respect of any particular item of expenditure for which your contribution is more than £250?
- Has all expenditure been reasonably incurred?
If you answer ‘no’ to any of the above it is recommended that you seek professional advice as to your position. Depending upon the circumstances, you may be entitled to be provided with further information, challenge the expenditure, withhold payment or claim a refund (if you have already paid).
On a day to day basis, if you have concerns regarding the management of your flat’s building, you should discuss those in the first instance with the person (or committee) responsible for the management. Should that fail, early professional advice is the key to resolving matters quickly, proportionately and hopefully without adversely affecting relations with your neighbours.
If you have any concerns or queries regarding your service charge payments or any lease related enquiry please contact Adrian Falck, partner at Preston Redman.