Decision summary

LON/00AW/LSC/2021/0024 & others — service charge decision

In LON/00AW/LSC/2021/0024 & others, decided 19 April 2022, the First-tier Tribunal considered 11 disputed service charge items at Flats 2 & 9 Hamilton Court, London SW5 9SG and found largely for the landlord: 0 items were reduced or disallowed. Full decision on GOV.UK below.

Property: Flats 2 & 9 Hamilton Court, London SW5 9SG
Decision date: 19 April 2022
Full decision: Read on GOV.UK

Managing agent named in the decision: TLC Estate Agents.

What was challenged and what the tribunal decided

ItemDemandedAllowedOutcomeGrounds
Major works (2020)£13,500£13,500Allowed in full—
Buildings insurance (2016-2021)——Allowed in full—
Other charges (2016-2021)——Allowed in full—
Management fees (2021)——Allowed in full—
Management fees (2016-2020)——conceded—
Administration charges (2016-2021)——Allowed in full—
Legal & professional costs (2016-2021)——Allowed in full—
Legal & professional costs (2016-2021)——Allowed in full—
Other charges (2016-2021)——Allowed in full—
Reserve fund contributions (2016-2021)——Allowed in full—
Other charges (2016-2021)——Allowed in full—

Section 20C order: refused.

Key passages (verbatim)

“The lessees are liable to pay £13,500 towards the costs of the major works identified in the Notice of Intention date 18 February 2020 and as demanded.”
On major works
“The lessees are liable under the terms of the leases to contribute to the costs of Directors and Officers Insurance as demanded.”
On buildings insurance
“The lessees are liable to contribute to the Company costs/expenses/liabilities/secretarial under paragraph 14 of The Third Schedule to the leases as demanded.”
On other charges
“The tribunal finds that the annual charge of £500 per annum per lessee to be reasonable and payable.”
On management fees
“At the hearing it was conceded by the lessees that the fees of TLC for the service charge years 2016, 2017, 2018, 2019 and 2020 were reasonable.”
On management fees
“The tribunal finds these fees have been properly incurred under the terms of Agreement and as specified in Appendices 2 and 3 and are reasonable in their amount.”
On administration charges
“The tribunal finds that the use of the heading 'Reserve Fund/sinking Fund' has been misleading and its renaming to Section 20 Levy more accurately reflects what the sum represents namely charges incurred by TLC in respect of managing major works including the service of notices.”
Of Landlord/TLC (misleading use of 'Reserve Fund/sinking Fund' heading in service charge demands)

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.