cost to interpret lease terms

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    #16
    What qualifications does a freeholder possess

    Originally posted by gomo View Post
    directors have said that i must pay for them taking
    legal advice with regards to the dig. I don't understand what legal advice they hope to gain. is like any other work we have carried out on the building
    Title, What qualifications does a freeholder possess.

    The reason for that statement, is to explain that in limited companies,
    that hold the freehold, and there are Directors responsible for observing
    the lease and advising on what you can and cannot do, are not always
    qualified to undestand the complexities of leasehold and freehold.

    They can be retired window cleaners, taxi drivers, doctors etc, which has not given them the skills required to effectively understand rules / regulations / laws.

    If that is the case, they have to seek legal advice to assertain if
    they should allow you to dig pits in the freeholders land, and to
    make sure that by doing so, they do not inadvertantly give you a
    an indication that by allowing you to dig pits, that they are saying
    they give you permission to extend.
    Because if they say, yes go ahead and dig your pitts, it could be
    argued that they envisisge it is O.K. to do your extension, which they must not intimate anything of the kind.

    You say "this work is like any other work we have carried out on the building"
    No it is not, the other work is maintenence / repairs and for the good of ALL owners. Your work is not, and has nothing to do with maintenence / repairs to keep the building in good shape, your work
    will not come out of the service charge bank account, your work will not be for the good of the property or the owners.

    What you and the directors should do, is to have plans drawn up, and to agree or to refuse your application, you pay their costs.
    Then if by diging pits as part of your authorisation to extend, to
    check the foundations, and it is found the foundations are not suitable, then you abandon your extension and all the costs you have incured.

    My first reaction would be to say, sorry, not your building or roof,
    you cannot extend.

    It looks like the other directors don't know what to do.
    hence telling you to get legal advice.

    We don't know what type of people the other Directors are, it
    could be they are timid sheep, who just wont do anything regarding
    your application, therefore you will not get permission.

    if it were me to sign anything, I would refuse your application
    on the grounds of not your land or building.

    R.a.M.

    Comment


      #17
      Hi R.a.M,

      If the majority of the shareholders agree to the extension, can the directors stop me from carrying out the work.

      Thanks

      Comment


        #18
        Originally posted by gomo View Post
        Hi R.a.M,

        If the majority of the shareholders agree to the extension, can the directors stop me from carrying out the work.

        Thanks
        Definitive answer = possibly.

        Ask yourself, who are the people responsible to ensure the lease is
        obeyed. The Directors.

        Who is responsible for looking into your application.
        The Directors or company Secretary with guidence if required from the
        Directors.

        The shareholders may agree to you building a theme park in
        the back garden,that does not belong to you either, but does not make
        it O.K. to do so.

        The Directors are empowered by law to look after the best interests of
        the property. If you do not agree with their decision, then you take it further.

        I have not yet experienced a "rebellion" by shareholders on this type,
        so cannot offer any legal or informed advice.

        It is not your "right" to alter the property, but it is the right of the freeholder
        to keep the property as it is now.

        The 7 shareholders "could" agree, but the Directors are also shareholders.

        Suck it and see as they say.
        But you will have a fight on your hands, and if you go digging holes on
        property that does not belong to you, without authorisation, be
        prepared to taken to court for doing so.

        Others may have a more definitive answer for you, as one has to be
        careful on here, as although many answers on many questions are taken
        as "gospel", and answers given in good faith from experience,
        they may not always be the "legal" answer because each case is different.

        At present you do not have permission to extend, and you do not have
        permission to dig pitts.So don't do anything untill you get permission,
        by someone who has the authority to do so, and the legal advice required, if required.

        I have been in your possition, but not on freehold matters.
        I want to do something, but will cost me money to find out if what I want
        to do will work. I spent my money, only to find out that what I wanted to
        do was not feasable.

        You are in that possition. Will cost you to probably get an answer that
        you cannot extend.

        Good luck.

        R.a.M.

        Comment


          #19
          Thanks for your helpful advice R.a.M

          Comment


            #20
            The directors are correct to take legal advice. They will need to get a suitable indemnity from you that should the builders ( who are only liable to you) damage something or fail to reinstate, that you will and have the resources to put it right.

            In older buildings foundations may be small and removal of adjacent soil can easily undermine them. It may then be undesirable to allow trial pits or if an extension were agreed that on excavation you underpin the adjacent foundations.

            It is irrelevant what the majority of shareholders want, as they do not understand what might be at risk, or how to go about it.

            I would suggest that you absorb what RAM has said and do the following

            1: agree with the FH company if in principle an extension will be permitted
            2: agree broad terms, premium, and changes to insurance and service charge %s
            3: agree to vary the lease and plan

            2 and 3 will require a lawyer for you and the FH, so instructing them now is no real waster of moneyu or time.

            4: Agree a program of works and method for investigation, with a licence and schedule of condition.

            This and the results of the trial pits will need to be interpreted, and the interests of all the residents protected so accept that both you and the FH will appoint a chartered building surveyor or Engineer to represent them and ensure that your indemnities and insurance is adequate.

            Eg a builder digs a trial pit only to find the inadequate 100 year old foundation gives way- not his fault- who is liable- you...
            Based on the information posted, I offer my thoughts.Any action you then take is your liability. While commending individual effort, there is no substitute for a thorough review of documents and facts by paid for professional advisers.

            Comment


              #21
              cost to interpret lease terms

              Hi,

              What is an estimated cost for a solicitor to explain what is in my lease, as i want to build and extension and find out if there are any clauses preventing me from do so.

              Or could i post the main clauses of the terms of my lease here and receive some advice from knowledgeable members of the forum.

              I have had fantastic advice before from the members and really appreciate it.

              cheers

              mo

              Comment


                #22
                You already have a threadopen at
                http://www.landlordzone.co.uk/forums...auses-in-lease

                Please ask your question there, ( continue ) as you already have
                2 or 3 posts on the same question.

                R.a.M.

                Comment


                  #23
                  Three related threads have been merged.
                  I also post as Mars_Mug when not moderating

                  Comment


                    #24
                    thanks guys for your help.

                    Comment

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