CHI/18UG/LSC/2022/0006 — service charge decision
In CHI/18UG/LSC/2022/0006, decided 26 October 2022, the First-tier Tribunal considered 12 disputed service charge items at 4 Sawmill Close, Totnes, Devon and reached a mixed result: 2 items were reduced or disallowed. Full decision on GOV.UK below.
Property: 4 Sawmill Close, Totnes, Devon
Decision date: 26 October 2022
Full decision: Read on GOV.UK
Managing agent named in the decision: Blenheims Estate and Asset Management (SW) Limited.
What was challenged and what the tribunal decided
| Item | Demanded | Allowed | Outcome | Grounds |
|---|---|---|---|---|
| Reserve fund contributions (2017-18) | £88.67 | £88.67 | Allowed in full | — |
| Other charges (2017-18) | £885.33 | £885.33 | Allowed in full | — |
| Reserve fund contributions (2018-19) | £99.67 | £99.67 | Allowed in full | — |
| Buildings insurance (2018-19) | £248.33 | £0 | Disallowed entirely | Landlord could not evidence the cost |
| Other charges (2018-19) | £995 | £995 | Allowed in full | — |
| Reserve fund contributions (2019-20) | £100 | £100 | Allowed in full | — |
| Other charges (2019-20) | £1,043 | £1,043 | Allowed in full | — |
| Reserve fund contributions (2020-21) | £118.33 | £118.33 | Allowed in full | — |
| Other charges (2020-21) | £1,066.67 | £1,066.67 | Allowed in full | — |
| Reserve fund contributions (2021-22) | £133.33 | £133.33 | Allowed in full | — |
| Other charges (2021-22) | £1,008.67 | £1,008.67 | Allowed in full | — |
| Administration charges | — | £0 | Disallowed entirely | Demand formally invalid |
Section 20C order: granted.
Key passages (verbatim)
“The Tribunal has referred to the relevant clauses in the Lease in the preceding paragraphs and finds that the Applicant is contractually obliged to contribute to both reserve funds.”
“In summary the Tribunal finds that the service charges listed for each year are payable with the exception of the insurance charge for 2018-19.”
“The Tribunal has referred to the relevant clauses in the Lease in the preceding paragraphs and finds that the Applicant is contractually obliged to contribute to both reserve funds.”
“the charges for insurance and insurance valuation listed in the table above are not payable (pending receipt of the required information).”
“In summary the Tribunal finds that the service charges listed for each year are payable with the exception of the insurance charge for 2018-19.”
“The Tribunal has referred to the relevant clauses in the Lease in the preceding paragraphs and finds that the Applicant is contractually obliged to contribute to both reserve funds.”
“The poor drafting of the lease and the paucity of documentation provided by the Respondents has been an issue.”
“it does note that this delay is evidence of poor practice and that the Landlord would ordinarily be unable to recover underpayments by the tenants until accounts are provided.”
“The Respondent has not provided any information regarding the insurance premium, policy or cover. It would therefore be appropriate for the Respondent to supply additional information to the Applicant to explain the insurance costs as a matter of urgency.”
“the Respondent has made itself vulnerable to this application.”
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.