- Residential service charges—restrictions under LTA 1985, s 20B(1) and contractual recovery of legal costs (No 1 West India Quay (Residential) Ltd v East Tower Apartments Ltd)
- What are the practical implications of this case?
- What was the background?
- What did the court decide?
- Case details
Property analysis: This judgment by the Court of Appeal covers two unrelated but significant points concerning the recovery of charges and costs by a landlord from tenants of long residential leases. The first concerns the application of section 20B(1) of the Landlord & Tenant Act 1985 (LTA 1985) and the 18-month time limit imposed on the service of a demand for service charges. The court ruled that the time limit is strict and to be valid the demand has to comply with the contractual provisions of the lease. The second issue concerns the ability of the landlord to recover its litigation costs for previous proceedings. The court ruled that under the provisions of the leases, the costs were not recoverable. Written by Caroline DeLaney, the head of Real Estate Disputes at Rosenblatt Solicitors.
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