- Unsigned qualifying long-term agreement took effect when performance commenced (Ghosh v Hanover)
- What are the practical implications of this case?
- What was the background?
- What is the law in this area?
- What was the issue involved?
- What did the UT decide?
- Why did the UT decide that the contract commenced when it was performed?
- Case details
Property analysis: The Upper Tribunal (Lands Chamber) (UT) held that an unsigned contract for management services took effect when performance commenced. This meant that it was an agreement for more than 12 months, which in turn meant it was a ‘qualifying long-term agreement’ for the purposes of the statutory residential service charge regime. The landlord had not consulted in relation to it and so could only recover £100 from the relevant tenant.
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