Management company not complying with covenants

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    Management company not complying with covenants

    Hello all,

    This is the first time I have used this forum so I would just like to introduce myself as Ben. I am letting my apartment whilst working in Australia for a few years.

    It's that time of year to pay my management fees but they are not meeting the contract. The building is 5 years old now and they are supposed to paint the stairways and hallways but they have actually said they are not going to do it this year. The lady I am corresponding with has actually said (email) it's supposed to be done but they are not going to as funds haven’t been allocated. Where do I stand with this? I am generally unhappy with the upkeep of the building for what they charge.

    #2
    Management Companies are legally obliged to honour their management duties as stated. If all the tenants within the block agree you can legally change the management company to one that actually "manages".
    The advice I give should not be construed as a definitive answer, and is without prejudice or liability. You are advised to consult a specialist solicitor or other person of equal legal standing.

    Comment


      #3
      Originally posted by ben20vt View Post
      Hello all,

      This is the first time I have used this forum so I would just like to introduce myself as Ben. I am letting my apartment whilst working in Australia for a few years.

      It's that time of year to pay my management fees but they are not meeting the contract. The building is 5 years old now and they are supposed to paint the stairways and hallways but they have actually said they are not going to do it this year. The lady I am corresponding with has actually said (email) it's supposed to be done but they are not going to as funds haven’t been allocated. Where do I stand with this? I am generally unhappy with the upkeep of the building for what they charge.
      Please explain re mgt. co.
      Is it:
      a. your managing agent for the house/flat that you own and working under contract from you; or
      b. the managing agent for a block of flats, working under contract from freehold reversioner and servicing all flats including yours?
      JEFFREY SHAW, solicitor [and Topic Expert], Nether Edge Law*
      1. Public advice is believed accurate, but I accept no legal responsibility except to direct-paying private clients.
      2. Telephone advice: see http://www.landlordzone.co.uk/forums/showthread.php?t=34638.
      3. For paid advice about conveyancing/leaseholds/L&T, contact me* and become a private client.
      4. *- Contact info: click on my name (blue-highlight link).

      Comment


        #4
        B. They look after the whole block.

        The problem we're now on our second management company as we had similar issues with the previous one. I'm in Australia so its kind of difficult to arrange a meeting. You're right something needs to be arranged.

        Do you think I'm within my rights to not pay the yearly fee of about 1000 pounds until they have said they will paint the stairways and hallways?

        Comment


          #5
          Management company not complying with contract

          Hi Ben

          Do you have a management company with directors whose role is to manage the contract with the MA to ensure that your covenants to repair and maintain are not breached?

          Comment


            #6
            I appoligize for my lack of understanding but I'm not sure what you mean. I presume they would have directors yes, I have been given the name of who has said the will not go ahead.

            It's a block of 12 executive style appartments and we all pay a management company X amount each year to maintain the building, garden, and out houses. They use local contractors to do this work as they are based near London. The agreement we have with the company state they are to paint the hallways and stairways at 5 years old which the place is now. They have said they will not do this this year. Everyones pretty unhappy with this bunch.

            I don't know what you mean by MA?

            Comment


              #7
              This mgt. co. (MC) has no role in its own right. It is simply a contractor engaged by owner of freehold reversion (F) who therefore tells MC what to do- no different from a painter or gardener. The role of enforcer is therefore F's, so ask F to instruct MC to stop mucking about and get on with the job!
              JEFFREY SHAW, solicitor [and Topic Expert], Nether Edge Law*
              1. Public advice is believed accurate, but I accept no legal responsibility except to direct-paying private clients.
              2. Telephone advice: see http://www.landlordzone.co.uk/forums/showthread.php?t=34638.
              3. For paid advice about conveyancing/leaseholds/L&T, contact me* and become a private client.
              4. *- Contact info: click on my name (blue-highlight link).

              Comment

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