lease extension surveyor neglect ?

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    lease extension surveyor neglect ?

    Hi can anyone advise on the below?

    On 25th March 2019 we issued through our surveyor an s42 to our freeholder N Estates Ltd (part of The A Group) to extend our lease.
    We received a acknowledgment letter from them dated 26th March, informing that their valuer will make contact, they asked for:
    1. Please provide office copy entries and filed plan to our title.
    2 Please let us have a deposit being the greater of £250 and 10% of the premium proposed in our s42 notice.

    Our surveyor asked us to liaise with our freeholder to pay the 10% deposit and stated they had already sent the title documents as per the request.
    We paid via bank transfer £1750 the 10% deposit on 8th April.

    We were contacting our surveyor for updates via phone, they informed us that the two month deadline had passed without any contact from the freeholder or valuer since their 26th March letter.

    We received a letter dated 26th June from F@@@ Estates Ltd informing us that N@@@ Estates Ltd has transferred the freehold interest of our property to them.

    We have recently received a copy of a letter to our surveyor dated 1st July from F Estates Ltd stating:

    " We refer to your letter of 20th June addressed to N Estates Ltd Please note that we are the freeholders of this property. We have reviewed the file for this property and note that counter-notice was served on you by N Estates Ltd via first class post on 17th April : copy enclosed. In any event as indicated above, we have recently acquired the freehold interest in this property. We note the s42 served on N Estates Ltd was not protected by way of registration of a unilateral notice against the freehold title prior to our acquisition and are advised as a result of such omission the s42 is not binding on us, as purchaser.

    We would therefore suggest that you serve us with a revised s42

    F Estates Ltd "

    Our surveyor maintains they never received the letter from N Estates Ltd with the counter-notice. That they now have a copy of, dated 17th April Stating

    " We refer to our letter to you on 26th March - copy enclosed - and we note that we have not heard from you with the office copy entries requested. We must reserve our rights in respect of your failure to comply with the (Collective Enfranchisement and Lease Renewal) Regulations 1993.

    We now enclose, by way of service our counter notice.
    Please acknowledge safe receipt.

    N Estates Ltd "

    Our surveyor says to us....

    "Please see the attached title document.

    It appears we have only 2 options:

    1. To serve the fresh notice or

    2. To still start the negotiations on without prejudice basis by accepting their notice

    Please let me know what would you like us to do. Feel free to take your own legal advice as you now have full picture of the whole situation."

    We requested our surveyor send us all correspondence between them and The A group (The Freeholder group of companies).

    We received the above quoted copies, om the 5th August

    By return on the 5th August we have requested our surveyor confirms that the Title documents were sent as stated. No reply as yet ,

    We have asked our surveyor what happens to our £1750 paid to N Estates Ltd.

    And to elaborate more on exactly where we stand. We are awaiting a response, reminder sent on the 12th August.

    We don't know why the unilateral notice was not served.

    We are wondering if our surveyor has acted properly and professionally,

    what happens to our deposit, do we have any chance of salvaging our current s42 in any way.

    Thanks for having a read and any advice would be very much appreciated.

    The first thing you should investigate is whether the company the freehold was transferred to was associated with the original freehold company. And, if so for how long.

    The reason is assuming your building qualifies RFR might apply. See This means you and other qualifying tenants should have been given the right to buy the freehold first.

    However if the two companies have been associated for at least two years RFR will not apply.

    If RFR does apply you will be entitled to acquire the freehold on the same terms it was transferred/sold.

    With regard to the main problem I would take advice and promptly. It could be they will advise an application to the FTT.


      Thanks for the response.

      Sadly for us the new company has be going for over two years, they have many companies in their group.
      We now believe we have to start the s42 again. we will try to get our deposit to roll over, we are taking advice on the surveyor.
      We will write to them and ask them to put us in the position we would have been in if they had acted properly and professionally. Or we will report them for neglect.


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