Case Study: The Comedy of Errors
We were instructed by five leaseholders of flats in Shepton Mallet, Somerset.
We uncovered a comedy of errors with not very funny consequences for our clients. We applied to the Leasehold Valuation Tribunal on a number of issues, and won a decision determining that:
- The landlord had wrongly taken sinking fund monies;
- The management fees charged were unreasonably high;
- Window cleaning costs were not chargeable;
- VAT was charged to residential leaseholders at the commercial rate relevant at that time of 17.5%, not the rate of 5% applicable to residential property.
- Breach of the ‘18-month Rule’. Costs incurred in 2006 were not demanded until July 2008. No notice was served on the tenants as is required in this circumstance.
- The landlord had wrongly charged our clients the costs of insuring a property on the other side of the road from the development in which the flats were located.
Read the Tribunal's decision
Read the local newspaper article
|