Section 20 - Splitting Redecoration Works into Stages

Collapse
X
 
  • Filter
  • Time
  • Show
Clear All
new posts

    Section 20 - Splitting Redecoration Works into Stages

    I'm one of three directors of an RMC, looking after the management of a block of 11 flats (conversion of big Victorian house).

    The common areas (hall/stairs/doorway, etc.) need some redecoration. Likely cost around £4,500.

    The Section 20 threshold for this building will be about £2,200 so we're going to blow that, which means consultations...consultations, etc.

    We were wondering about dividing the project up into different phases, each of which would need to stay below the £2,200 threshold. Eg:
    * phase 1: paint walls
    * phase 2: paint skirting boards
    * phase 3: paint door frames

    (or something along those lines)

    Could we do this, or could it be challenged by leaseholders as being a tricksy, artificial way of getting around the S20 process?

    Thank you.

    #2
    They certainly should challenge it, as it it not sensible to let those as separate contracts.

    I can see no valid reason why you should need to save the cost of 11 times a few pieces of paper.

    Comment


      #3
      Originally posted by leaseholder64 View Post
      They certainly should challenge it, as it it not sensible to let those as separate contracts.

      I can see no valid reason why you should need to save the cost of 11 times a few pieces of paper.
      Thanks. The only motivation is to save time, that's all. But if it's not possible, it's not possible.

      Comment


        #4
        Best to get 3 valid quotations and show a summary of all 3 prices to the 11 leaseholders, and call a meeting to vote which quotation to accept.

        Comment


          #5
          Dear bigalxyz

          You will not be able to circumvent s.20 by splitting the work you described into phases. Google the sets approach and Francis v Phillips. However, you should also look up 'Daejan v Benson: s.20 dispensation granted to freeholders' though Daejan does not/should not mean freeholders intentionally ignore s.20.

          s.20 need not be that onerous but it does add to a freeholder's work, time and costs. You are probably able to charge notice fees to service charges.

          Comment


            #6
            Originally posted by vmart View Post
            Dear bigalxyz

            You will not be able to circumvent s.20 by splitting the work you described into phases. Google the sets approach and Francis v Phillips. However, you should also look up 'Daejan v Benson: s.20 dispensation granted to freeholders' though Daejan does not/should not mean freeholders intentionally ignore s.20.

            s.20 need not be that onerous but it does add to a freeholder's work, time and costs. You are probably able to charge notice fees to service charges.
            Thank you. Much appreciated. I will look into the cases you've mentioned shortly.

            Comment

            Latest Activity

            Collapse

            • Reply to AGM cancelled.
              by Grumio
              The articles state they must declare any kind of interest directly or indirectly, problem is it’s kind of hard to deal with people who keep messing everyone around, calling an AGM and then cancelling it for eg. We have called meetings with them in the past and they don’t turn up. How can you deal...
              26-01-2022, 14:35 PM
            • AGM cancelled.
              by Grumio
              Is this legal?

              A bit of background, we currently have three directors, we are allowed to have up to a maximum of eight directors according to the articles of association. We are all leaseholders. Last summer the three directors decided to hire a managing agent who is now in charge of the...
              26-01-2022, 00:46 AM
            • Reply to AGM cancelled.
              by eagle2
              Any meeting which you decide to hold will be an informal meeting only, you do need to follow the correct procedure if you wish to hold a valid meeting,

              The Articles should state whether or not directors need to declare conflicts of interest and whether or not they are entitled to vote on...
              26-01-2022, 13:30 PM
            • Reply to AGM cancelled.
              by Grumio
              It is both a managing agent and a residence Association. But we want to go back to managing the block ourselves.

              Thanks for the reply, yes invitations have been sent to all our members. And I agree, they should not cancel the AGM, especially when they haven’t got a plausible reason to...
              26-01-2022, 12:12 PM
            • Reply to Lease extension triggers doubling ground rent change
              by sgclacy
              Doubling every 25 years is simply a guess as to what inflation may be, if inflation of the current levels ( about 6% ) was to continue the real value of the rent would fall by 77% and doubling would not address the enormous damage done by inflation. However, if inflation was less than 2.81% per annum...
              26-01-2022, 11:57 AM
            • Reply to Lease extension triggers doubling ground rent change
              by Section20z
              You are clearly using the informal route and can thus negotiate whatever terms you like.
              freeholder will want to retain some ground rent but avoid the doubling clause, maybe suggest small fixed rises every ten years....
              26-01-2022, 10:40 AM
            • Service charges according to floorspace vs lease stipulation
              by Santa Fe
              Hello. I own a flat in a block of four. The new owner of the smallest flat is disputing their contribution to service charges based on floor size. All four flats have historically paid 25% each, but of the four leases only mine states that I pay 25%. I have spoken with a solicitor about this and he...
              24-01-2022, 22:55 PM
            • Reply to Service charges according to floorspace vs lease stipulation
              by Section20z
              Quite, there is also the question here of who the actual freeholder is and whether the whole thing is any concern of the OP who only ever need pay 25% !!...
              26-01-2022, 10:25 AM
            • Reply to AGM cancelled.
              by eagle2
              Yes, I am confused too. If there is a Residents Association, it is required to comply with its constitution.

              There seems to be a Company involved as well. Whether or not it is required to hold an AGM depends on its Articles, AGMs can be cancelled for various reasons, lockdowns are an example,...
              26-01-2022, 10:19 AM
            • Reply to Service charges according to floorspace vs lease stipulation
              by eagle2
              I think that we have found 3 possible alternatives already and no doubt we could find more, As Section20z says it is very rare for a court or a tribunal to intervene, The lease appears to allow the freeholder (?) to decide what is fair and reasonable and it has decided that an equal share is reasonable,...
              26-01-2022, 10:01 AM
            Working...
            X