CHI/00MW/LSC/2020/0045 & others — service charge decision
In CHI/00MW/LSC/2020/0045 & others, decided 26 January 2021, the First-tier Tribunal considered 11 disputed service charge items at West Bay, Halletts Shute, Yarmouth, Isle of Wight PO41 0RJ (including Saltbox Unit B1, Munday Cottage H2, Munday Cottages H4 and H5) and reached a mixed result: 0 items were reduced or disallowed. Full decision on GOV.UK below.
Property: West Bay, Halletts Shute, Yarmouth, Isle of Wight PO41 0RJ (including Saltbox Unit B1, Munday Cottage H2, Munday Cottages H4 and H5)
Decision date: 26 January 2021
Full decision: Read on GOV.UK
Managing agent named in the decision: West Bay Club Limited.
What was challenged and what the tribunal decided
| Item | Demanded | Allowed | Outcome | Grounds |
|---|---|---|---|---|
| Other charges (2010-2017) | — | — | Allowed in full | — |
| Other charges (2010-2020) | — | — | Allowed in full | Demand formally invalid |
| Other charges (2010-2020) | — | — | Allowed in full | — |
| Other charges (2015-16) | £38,982.95 | £38,982.95 | Allowed in full | — |
| Other charges (2016-17) | £38,992 | £38,992 | Allowed in full | — |
| Other charges (2017-18) | £23,827 | £23,827 | Allowed in full | — |
| Other charges (2018-19) | £28,118 | £28,118 | Allowed in full | — |
| Other charges (2019-20) | £18,947 | £18,947 | Allowed in full | — |
| Other charges (2009-2020) | — | — | Allowed in full | — |
| Buildings insurance (2018-19) | — | — | Allowed in full | Leaseholder evidence insufficient |
| Other charges (2018-19) | — | — | Allowed in full | Leaseholder evidence insufficient |
Section 20C order: partial.
Key passages (verbatim)
“It does not invalidate the separate obligation to pay on-account of service charges if the end of year expenditure is not certified. The three cases cited by the Applicants in support of their case on this issue do not, in fact, do so.”
“They accepted, however, that the late re-submission of the charges accompanied by the relevant summaries corrected the earlier deficiencies.”
“The Tribunal agrees with Miss Gray that the latter paragraph mistakenly refers to two memberships when it should have said six memberships.”
“on the narrow point…as to whether it is right that the lessees should have to pay 100% of the cost of maintaining the fabric of the Club premises, it is clear that this is what the lease provides in clauses 5.1 and Schedule 3.”
“in 2016/17 the total maintenance charge to lessees in respect of the Club premises came to £38,992”
“in 2017/18 it was £23,827”
“The Tribunal is at a loss to know why that should be because, when the explanations and documents came, they fully supported the Respondents' position.”
“The Tribunal agrees that a great deal of information and documentation was not supplied to the Applicants until either the last minute or even until after the hearing in response to further Directions from the Tribunal.”
This summary is assembled from the structured record of the published decision; amounts appear only where the tribunal stated them. Always rely on the full decision itself.