Disclosing residents service charges

[jeffrey]

In these days of MPs’ expenses coming out in the open, I think you should disclose what each person is paying. My property management company deliberately attempted to overcharge me 20% of the service charge due for my first year. I actually paid that sum, but then checked account statements from previous years showing what each flat paid and that 15% was due for my flat.

Said management only backed down when confronted with this evidence and the threat of legal action for attempting to claim back 105% of service charges.

Don't confuse:
a. what % and £ should be paid per flat (irrelevant as long as total = 100%); and
b. what £ has actually been paid by each flat.

[Ian_R]

Be open!

In these days of MPs’ expenses coming out in the open, I think you should disclose what each person is paying. My property management company deliberately attempted to overcharge me 20% of the service charge due for my first year. I actually paid that sum, but then checked account statements from previous years showing what each flat paid and that 15% was due for my flat.

Said management only backed down when confronted with this evidence and the threat of legal action for attempting to claim back 105% of service charges.

[andydd]

Hi Jeff or any other experts

Very basic question regarding the service charge. How do i dispute it, if it is way too high?

I have had a breakdown of the service charge fees for one of my apartments. It is an extortionate £2.70 per sq.ft. the average for the area is below £2.

How do i legally qery this?

You should start your own thread with this query.

I would of thought that the calculation is within the lease which you agreed to when you bought the property and can't be changed.

You can challange excessive and unreasonable service charges but only the costs that make them up not how your individual share is calculated.

Andy

[Eric7]

Hi Jeff or any other experts

Very basic question regarding the service charge. How do i dispute it, if it is way too high?

I have had a breakdown of the service charge fees for one of my apartments. It is an extortionate £2.70 per sq.ft. the average for the area is below £2.

How do i legally qery this?

[gins twin]

My feeling would be that each persons contribution is defined by their lease, which is NOT a public document (I think maybe you can get from Land Registry but this won't show you the value, merely the calculation).

I agree - Don't disclose ONLY disclose debtors at the year end if unpaid.

That's what I do and haven't had any complaints.

Each individuals contribution is definitely defined in each persons lease.

I am certain its just a delay tactic. I am not prepared to release the numbers and have suggested if the resident would like to know that they email each resident individually and ask them!

[thevaliant]

My feeling would be that each persons contribution is defined by their lease, which is NOT a public document (I think maybe you can get from Land Registry but this won't show you the value, merely the calculation).

I agree - Don't disclose ONLY disclose debtors at the year end if unpaid.

That's what I do and haven't had any complaints.

[sgclacy]

As the charges are a debt on the property as opposed to a oersnal debt would it be a breach of the data protection act? Can any member shed light on this

[gins twin]

After all, will the non-payer be happy about your company disclosing who he is (in the 'Debtors' part of the published Accounts)?

Funnily enough it almost came to that last year. But fortunately it was avoided as the resident finally paid. We would have had to disclose it in the accounts as the "debtor" is also a shareholder and therefore we are duty bound to disclose.

Oh the joys of managing a management co to save me and my fellow residents a few thousand pounds p.a !!

[jeffrey]

The accounts are audited annually and definitely total 100 %.

Its so difficult when one runs a management co as well as being neighbours.

I appreciate the speedy reply , thanks very much.

After all, will the non-payer be happy about your company disclosing who he is (in the 'Debtors' part of the published Accounts)?

[gins twin]

If the Accounts are audited, and if all due contributions total 100%, the non-payer has no grounds of objection. Do not disclose.

The accounts are audited annually and definitely total 100 %.

Its so difficult when one runs a management co as well as being neighbours.

I appreciate the speedy reply , thanks very much.

[jeffrey]

If the Accounts are audited, and if all due contributions total 100%, the non-payer has no grounds of objection. Do not disclose.

[gins twin]

Hi

I and a small group of fellow residents manage our estate. it consists of 30 properties in total in approx 30 acres. Some are leasehold some are freehold but all contribute to the runnig costs of the estate.

The majority of properties pay differing service charges due to the costs being calculated by square footage. The accounts are audited annually and to date we have had only one problem receiving payment which following the threat of legal action was resolved.

The "late payer" is now refusing to pay the next installment due until we disclose what each and every persons payment is.

I fail to see how this benefits that individual and believe it is a tactic to withold / delay payment. However the accounts are as per the covenants and are independantly checked by 2 directors and sent for auditing.

Should we disclose the other 29 peoples fees or will we fall foul of data protection?

Thanks