Fire Safety Works & Cost Recovery Via The Service Charge

Posted onJuly 1, 2020

JB Leitch secure an important determination at the First-tier Tribunal for the recoverability of costs for urgent fire safety work costs under the service charge.

With considerable attention being given to the urgency and liabilities surrounding building safety, notably with the reach of the new £1bn remediation fund, the new Fire Safety Bill or concerns around EWS1 and safety certification, this week saw JB Leitch secure a determination on the cost liabilities associated with safety works and the reasonableness of cost recovery via the service charge. This decision is both timely and significant given the ongoing debate and uncertainty on the extent to which landlords and Managing Agents should be liable.

JB Leitch represented the Applicant Landlord in an application under section 27A of the Landlord and Tenant Act 1985, for a determination of liability to pay and reasonableness of service charges against the Respondent leaseholders at the development.

The application related to urgent fire safety work, specifically the replacement of flat and communal area doors, ancillary works to frames surrounding panels and separate parcel boxes that had been identified as damaged and failing to comply with FRA standards. The main issue for our client was whether the apartment door sets were demised to the leaseholders and would be part of their repairing covenants and not a service charge or were part of the landlord’s repairing obligations and are a service charge. Of specific focus was:

The replacement of doors, frames and surrounding joinery in communal areas
The replacement of doors, frames, parcel boxes and side panels to the individual flats

The decision provides a timely reminder of the significance of the service charge in both maintaining property and ensuring sufficient levels of safety. Despite the current crisis, service charge recovery is integral to providing adequate provision to conduct urgent building safety work, and in accordance with the terms of the lease and subsequent consultation, ensuring reasonable apportionment of cost.

For further details and comment on this case visit our blog.

Written by Steve Sherlock

During our long relationship, JB Leitch has become part of our core team. Their Landlord and Tenant advice is authoritative and clear, and they understand our sector inside out. Their credit control service is highly effective, but also sensitive to the wider relationship we have with our leaseholders
Tim Wilson - Managing Director - E&J Estates
We have worked with JB Leitch for many years now. Their knowledge surrounding the legalities and technicalities of Service Charge collection is excellent and their approach is always helpful and professional.

During this particularly challenging time they continue to provide invaluable support by remaining easily contactable, sending regular reports and offering solutions to any problems that may arise.

Therina Crowley AMInstLM - Service Charge Arrears and Apprentice Supervisor - Encore
We have a strong and well-established working relationship with JB Leitch, having worked with them over a long period of time.

They have a good grasp on the nuances of residential property management so are well-placed to provide specialist advice and assistance on a wide range of issues affecting our industry.

They continue to provide invaluable support to our business, operating in many ways as a seamless extension to our in-house legal team.
Mairead McErlean - Legal Counsel - FirstPort
Over the last five years we have built a solid relationship with JB Leitch, they have provided us with a remarkable ground rent collection service for our freehold property portfolio on criteria and non-criteria debts. They provide a fast, effective recovery of our stand alone Ground Rent and also through their bolt-on Service Charge recovery by liaising with multiple managing agents on our behalf.
Bernadette Jones - General Manager - HomeGround Management Ltd
I would highly recommend JB Leitch although part of me would like to keep them a secret to ensure we have the advantage over competitors. They have increased my knowledge of the legal processes as well as the preparation required to avoid any issues from the beginning.
Dave Poppleton - Director - Inspired Property Management
JB Leitch are simply excellent. It is good to know that we are dealing with a market leading firm who provide superb quality up-to-date advice. When we give JB Leitch an instruction, whether a routine enfranchisement or a complex leasehold query they always deliver. They are highly responsive, professional and have a great team. A pleasure to do business with!
Jenny Jackson-Shilling - Director - The Freehold Group

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