Service Charge

[fos333]

Hi,

The first place to look would be the management agreement between the managing agent and you (the directors).

The managing agent shoud be acting on the instructions of the directors, who should be following the lease.

Have a read through the following;
...

[fos333]

Hi,

I'd be very interested to hear what this procedure is given that our development had substantial arrears from BTL landlords, who continued to receive rent, however failed to pay their service charge or the deficit from the previous year.

As they have no contract with the...

[fos333]

My confused understanding came from reading "The above right applies even if the summary was provided as end-of-year statement of account, rather than in response to a formal request for a summary under section 21 of the Landlord and Tenant Act 1985."

https://www.lease-advice...

[fos333]

As the link provided states most modern leases contain an obligation for the landlord to provide accounts at the year end. Failure to do so could potentially be a breach of the lease. On receiving the accounts my understanding was that a section 22 L&TA request could be submitted within 6 months....

[fos333]

Do you receive Service Charge accounts and if so when are they due?

The lease should set out the period of the service charge, when it is paid and also cover when the summary of maintenance expenses should be served on the lessee.

If the SC period ended Oct 2020 you should...

[fos333]

Hi,

Now you have made it clear that you are actually the freeholder others may offer advice of how to get the bad payers to pay the GR and SC.

I do agree with you that managing agents neglect the building and reason for that is that they do not collect all SC due, so some pay...

[fos333]

More information is required really, are you just a leaseholder or do you hold another position?

Why would the tenant pay anything to the freeholder?

Why isn't the freeholder collecting the arrears?...

[fos333]

As I stated no budget or demand (invoice) has been received so should I continue paying or withhold further payments until it has been received? No demand therefore no summary of tenants' rights and obligations.

Services that the managing agent provides and receives payment for have continued,...

[fos333]

Hi all,

The budget and the Service Charge demand has not been issued for our development for the current year.

The lease requires payment on 1st January and 1st July as advanced payments, however monthly payments have always been accepted.

The annual Service Charge...