LON/00AH/LSC/2023/0325 — service charge decision

“The tribunal accepts the Respondent's evidence that where necessary, claims on insurance are made. The tribunal accepts that as claims are not often settled until after the cost of the work has been incurred these costs appear on the service charge accounts and are later reversed when payment is received from the insurance company.”

“The tribunal finds the Respondent's purchase of a long ladder (since stolen and not replaced) to keep on site for the use of contractors to be reasonable. Similarly, the tribunal finds the Respondent's reimbursement of heaters purchased by or on behalf of tenants when left without heating, is reasonable.”

“The tribunal finds it reasonable for the Respondent to have engaged a cleaning company to safely clean an area in the subject property that became bloodstained after an apparent suicide. The tribunal does not accept the Applicants' suggestion that the cleaning should have been carried out by the caretaker.”

“The tribunal finds no charges are made in respect of the 'gym' which is no longer in use and there are no running costs in respect of it.”

“as Mr Major in Application LON/00AH/LSC/2021/0167 conceded the landlord's water charges were payable in full, the tribunal in this application does not go behind that decision.”

“the tribunal considers the 20% deduction (plus VAT) determined by the tribunal in LON/00AH/LSC/2021/0167 also applied to the managing agent's fees charged in the estimated service charge year 2021 to 2022. Therefore, the tribunal declines to make any further deduction in respect of this item.”

“the tribunal finds the service charge accounts lack clarity and that explanations for charges that appear to have been wrongly added to the Applicants' service charge account e.g. legal fees and costs claimable from insurance claims, have not been readily forthcoming and has led to a significant degree of confusion among the Applicants.”

“the tribunal also finds the lack of clarity about when a water meter is to be installed, is an example of poor management and an issue that should be resolved as soon as possible.”

“Despite the tribunal's clear instruction as to what it could and could not be determined in this application, the Applicants sought to persist with the entirety of their application as set out in the paragraphs above and effectively sought the tribunal's forensic examination of the invoices and accounts produced by the Respondent.”