Since the commencement of Phillips and Goddard v Francis which is considered to be a controversial case, we have been eagerly following its course.
The case concerns Leaseholders who were in dispute with their Landlord over what constitutes as qualifiying major works in a service charge.
Major works on an estate or block of flats are currently governed by the Landlord and Tenant Act 1985 (section 20) which states that if a Landlord (or management company working on behalf of the Landlord or Residential Management Company) wishes to carry out qualifying works it should follow the major works consultation if it costs any Leaseholder in the building more than £250. Any works costing any leaseholder in the flat more than £250 the management company or Landlord must follow the strict procedure and consultation process.
The Court has overruled the previous ruling in 2012 which stated that if costs exceeded £250 per Leaseholder towards qualifiying works in the whole financial year, than the consulation process must follow.
After a lengtly battle, the Court of Appeal has decided that the previous widely accepted practice was in order and didn’t need a change.
There is a set procedure and consulation process that needs to be followed if any works is undertaken on the property which will cost any leaseholder more than £250 in the service charge year.
At Advance Block Management we keep our residents informed of works that is undertaken on site even if its not subject to section 20 Major Works.
Please do contact us if you have any questions.
Advance Block Management