Enfranchisement and right to manage

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Most recent Enfranchisement and right to manage content

Q&As

Can an individual who is tenant of both the two flats in a building exercise the right to enfranchise to purchase the freehold?

Tenants who meet the criteria set out in Leasehold Reform, Housing and Urban Development Act 1993 (LRHUDA 1993) can require the landlord to sell the...

22nd Jan

Q&As

If a landlord has served a notice pursuant to section 5 of the Landlord and Tenant Act 1987 (LTA 1987) stating ‘the landlord whose address for service for the purpose of this notice is care of…’, can the tenants serve an acceptance notice pursuant to LTA 1987, s 6 on that ‘care of’ address only and ignore the service requirements in the lease?

Section 5 of the Landlord and Tenant Act 1987 (LTA 1987) requires landlords to give notice of relevant disposals of interests or estates in land to...

Produced in partnership with Chris Bryden of 4 King’s Bench Walk 22nd Jan

Q&As

If a freehold to a house, has been converted into three flats and the freeholder wishes to transfer the freehold title to one of the leaseholders for nil consideration, if the other two flat owners have agreed to this arrangement and as such the freehold is not being offered either by auction or on the open market for sale, must the freeholder serve formal notices under s 5 of LTA 1987 to all leaseholders before the transaction can proceed?

Section 1 of the Landlord and Tenant Act 1987 (LTA 1987) provides that:'...a landlord shall not make a relevant disposal affecting any premises to...

Produced in partnership with Helen Galley of XXIV Old Buildings 22nd Jan

Q&As

Do you have a precedent transfer (TR1) in the context of a collective enfranchisement claim?

PSL Practice Note: Exercising the collective right to enfranchise—contract, conveyance and payment sets out the statutory requirements in respect of...

22nd Jan

Q&As

In a notice to collectively enfranchise under section 13 of the Leasehold Reform, Housing and Urban Development Act 1993, what information needs to be given in relation to the extent of the property to be acquired (eg roof space and gardens) and the rights to be granted?

Section 13 of the Leasehold Reform, Housing and Urban Development Act 1993 (LRHUDA 1993) is concerned with the giving of notice by qualifying tenants...

Produced in partnership with Chris Snell of No 5 Chambers 22nd Jan

Q&As

A right to manage (RTM) company serves a notice of claim, and a counter notice is issued by the landlord. As a result of the counter notice, the RTM company will have to withdraw the original notice of claim. Is there a prescribed form in Wales for withdrawing the notice of claim? Secondly, regarding the landlord’s entitlement to costs on the withdrawal; the RTM company would like to serve a new notice at the same time as withdrawing the initial notice. Would the landlord’s costs have to be paid before service of the new notice of claim or can the new notice be served at the same time as the withdrawal?

This query raises the effect of a notice of claim to exercise the right to manage under Part 2 of the Commonhold and Leasehold Reform Act 2002 (CLRA...

22nd Jan

Q&As

On whom should a notice under section 13 of the Leasehold Reform, Housing and Urban Development Act 1993 be served? Is there any need to serve a copy on the qualifying tenants as well as the landlord?

Chapter I of the Leasehold Reform, Housing and Urban Development Act 1993 (LRHUDA 1993) allows for the collective enfranchisement by qualifying...

Produced in partnership with Chris Bryden of 4 King’s Bench Walk 22nd Jan

Q&As

In an enfranchisement claim for a house under the Leasehold Reform Act 1967, if the lease is tri-parte (ie there is a management company who is party to the lease), does the claim notice have to be served on the management company?

A tenant wishing to claim the freehold of their house under the Leasehold Reform Act 1967 (LRA 1967) must serve a claim notice (which must be in...

22nd Jan

Q&As

In respect of a collective enfranchisement notice: if the notice accurately describes the property, but refers to a plan that is not annexed to the notice, is the claim invalidated or will it be saved by the description of the property? And the notice does not refer to appurtenant property, areas that the tenant is entitled to use in common with others (eg communal hallways, a shared front garden, etc) or the loft space (which is not included within the lease demises). Can these areas be excluded from the freehold sale?

The initial section 13 collective enfranchisement notice (section 13 of the Leasehold Reform, Housing and Urban Development Act 1993 (LRHUDA 1993))...

22nd Jan

Q&As

Can an executor serve a section 42 notice under the Leasehold Reform, Housing and Urban Development Act 1993 prior to a grant of probate being issued?

Can an executor serve a section 42 notice?Under the Leasehold Reform, Housing and Urban Development Act 1993 where a tenant had the right to a lease...

22nd Jan

Q&As

A tenant’s long leasehold interest expired over twenty years ago. They wished to purchase the freehold, but the freeholder cannot be located. Assuming that the tenant takes all necessary steps to locate the freeholder, can it invoke the absentee landlord provisions in section 27 of the Leasehold Reform Act 1967 even though the lease has expired?

Section 27(1) of the Leasehold Reform Act 1967 (LRA 1967) provides that:‘Where a tenant of a house having a right under this Part of this Act to...

22nd Jan

Q&As

What is the time limit for making an application to the First-tier Tribunal for a dispute with a landlord over their legal fees after the terms of a lease extension have been agreed under the Leasehold Reform, Housing and Urban Development Act 1993?

Leasehold Reform, Housing and Urban Development Act 1993 (LRHUDA 1993) sets out strict timescales for the completion of a statutory lease extension of...

Produced in partnership with Rebecca Francis and Sue Thompson of Osborne Clarke 22nd Jan

Q&As

In a claim for a new lease under the Leasehold Reform, Housing and Urban Development Act 1993, terms are agreed but the transaction has not completed. The landlord has now sold the freehold interest to a third party and it appears no notices were served under section 5 of the Landlord and Tenant Act 1987. What is the position with completing the lease extension with the new landlord? By paying the premium, are we acknowledging that the new landlord was entitled to purchase? What is the position if the premium is paid to the new landlord but the freehold transaction is undone at a later date?

Where the Landlord and Tenant Act 1987 (LTA 1987) applies, the landlord of the qualifying tenants is prohibited from making a ‘relevant disposal’...

22nd Jan

Q&As

A lease extension outside of the Leasehold Reform, Housing and Urban Development Act 1993 was proceeding when all other tenants served a section 13 notice for collective enfranchisement of the property. The lease extension has been suspended by virtue of the enfranchisement. However, the freeholder has been approached by the tenant who was seeking the lease extension, who has asked whether a deed of variation could be entered into to clarify the extent of their demise. The extent of the demise will not be changing. Legally, can this be done?

By section 19 of the Leasehold Reform, Housing and Urban Development Act 1993 (LRHUDA 1993):‘(1) Where the initial notice [ie the section 13 notice]...

Produced in partnership with Desmond Kilcoyne 22nd Jan

Q&As

Does the fact that a property was purchased under the right to buy legislation from the local authority then mean that when the proprietor exercises their right to enfranchise/extend the lease that the valuation must be carried out under section 9(1A) of the Leasehold Reform Act 1967 (LRA 1967) instead of LRA 1967, s 9(1)?

The Leasehold Reform Act 1967 (LRA 1967) enables a leasehold tenant of a house to purchase the freehold by way of enfranchisement. There are two...

Produced in partnership with Chris Bryden of 4 King’s Bench Walk 22nd Jan

Q&As

A tenant served a notice for a lease extension under the Leasehold Reform Act 1967. The freeholder has not served a notice in reply. The notice of claim was dated 28 April 2020 and no draft lease has been received. Should the tenant now serve a notice to complete? Or should the tenant instead have served a notice regarding modification of terms as per the Leasehold Reform (Enfranchisement and Extension) Regulations 1967, SI 1967/1879, Sch, Pt II, reg 2?

On balance, the tenant should serve a notice to state what modifications are to be made to the terms of the lease under section 15 of the Leasehold...

Produced in partnership with Desmond Kilcoyne of 42 Bedford Row 22nd Jan

Q&As

If the benefit of a section 42 notice has been assigned, on whom does the landlord serve the counter-notice?

Where the leaseholder who served a section 42 notice sells their flat, the Leasehold Reform, Housing and Urban Development Act 1993 (LRHUDA 1993)...

22nd Jan

Q&As

A tenant applied for a lease extension under Leasehold Reform, Housing and Urban Development Act 1993 but ultimately withdrew its application. The landlord has not advised the tenant of its costs. Is there a time limit which applies should the tenant wish to apply to the tribunal for a determination of the landlord’s reasonable costs?

The starting point is that where a notice of claim is served, the tenant by whom it is given is liable for the reasonable costs incurred by the...

22nd Jan

Q&As

If a leaseholder serves a notice under section 42 of the Leasehold Reform, Housing and Urban Development Act 1993 for a lease extension, can the landlord delay or stop the proceedings if there has been a breach of the alterations covenant?

In theory, a landlord might have several remedies available in relation to unlawful alterations: (i) forfeiture; (ii) injunction and/or damages; and...

Produced in partnership with Desmond Kilcoyne 22nd Jan

Q&As

A notice under section 42 of the Leasehold Reform, Housing and Urban Development Act 1993 states that the date by which the landlord must respond to the notice by giving a counter-notice under section 45 is ‘not less than two months after the date of receipt of this Notice’. How does that affect the validity of the section 42 notice and, if it is valid, when must the landlord serve its section 45 notice?

The Leasehold Reform, Housing and Urban Development Act 1993 (LRHUDA 1993) allows a qualifying tenant to apply for an extension to a lease of a flat....

Produced in partnership with Chris Bryden of 4 King’s Bench Walk 22nd Jan