Taking the freeholder to court.... (Any leasehold experts about?!)

reallynicebloke

Nearly five years ago, a year prior to me buying my flat, the freeholder (which was then a local council organisation) sent two letters to then leaseholders. The first one was a Notice Of Intention to enter into a qualifying long term agreement S20 etc etc. It was to carry out major works on a s—t-load of properties throughout the area. Windows. It stated that it would be over a four year period and offered tenants 30 days to make written observations. Lots of people in the blocks of flats in which I live are in social housing, by the way, and rent directly from the landlord.

Just over a month letter, a second letter arrived. It was similar, but this time stated that the consultation period has now ended and that the works have been awarded. It stated that no written observations were made during the consultation period. I have copies of these letters right here in front of me, but only ever got to see them long after I moved into the flat.

Thirteen months later, entirely ignorant on the above, I put offer on in flat. Legal checks were carried out. Two pre-sale questionnaires are sent. One to sellers, one to freeholders who are now, by the way, a housing association, as, during the year, a stock transfer had happened. One of the questions sent to the freeholders was ‘are there any anticipated works in the next 2 years that would increase the service charge demand?’ The response mentioned some minor works due to be carried out on some guttering. The major works described above were not mentioned at all.

A later question asked: ‘are there any outstanding service charge consultation procedures pursuant to the L&T Act 1985?’ Their response:- “Not applicable.”

The vendors made no mention of the works in their application.

About a year later, a letter turns up one day mentioning these major works due on my flat. I contact freeholder and do my nut. As you would imagine. They say: “your problem, you were told about the works when you bought the property, sorry.” I later get together all the documentation and send copies to Freeholder proving this wasn’t true (I’d had to contact my legal people to get copies sent). The freeholder now change story and state they deliberately withheld the information as there were budgetry and funding reasons at the time which may have prevented them from carrying out the works.

Then, a month or so later, a breakdown of what the costs will be (to the flat) arrives. It just breaks it down into 6 figures with a total. It was an estimate. Ten or so days after this, the works begin. I contact the leasehold advisory people who say this development, on its own, likely breaks s20 rules as the breakdown of estimated costs should have described my 30 day notice period (and given me it). True or false? I contacted the organisation and told them what I’d been advised. The work promptly stopped for the rest of the month and they apologised. Eventually, I had to let it continue when the 30 day period arrived. Long before this, scaffolding was all over the flats indicasting that regardless of what ‘observations’ I made, they were going ahead with the works like it or not.

I am now in court, later this month, not actually using the rationale described in the above paragraph as to why I want a full refund (minus, I believe, the £250), but because the works were never declared to me when I made the purchase. Whattay yah all thinking?

Hopefully this is an accurate and detailed-enough account so you can make your conclusions. Would be really grateful for any help as I am due in court at the end of this month and have to submit my final load of paperwork tomorrow.

DVardysShadow

reallynicebloke wrote: »

Whattay yah all thinking?

I'm thinking 'estoppal'. And estoppal means lawyers.

In your position, I would have gone back to my original conveyancer and taken it from there. It is a bit unreasonable to come here with 24 hours to go and put a load of [well meaning and knowledgeable] amateurs to the challenge of advising on this one, when we know full well you will have no chance to check out any of the advice.

I'm not clear what legal action you should be taking. Winding the clock back, I would have been thinking of the following approaches

• Write to free holder and say 'You told me there were no works', so I ain't paying and wait for them to take me to court
• Look at the answers given to you by the leaseholder who sold to you and sue them

I doubt I would take the freeholder to court, because their primary responsibility is to all of the leaseholders above you individually. Your issue is I believe with the leaseholder you bought from, as their responsibility is directly to you - if your conveyancer asked them the questions directly. Otherwise it is a negligence issue against your conveyancer.

I think your only argument against the freeholder is 'estoppal'.

Ulfar

What the Op is aiming for is that they only have to pay £250.00 as the correct procedures where not followed by the freeholder.

From what has been posted if they deliberately withheld information when the OP purchased then he might have a good case, in addition to which they don't seem to have followed the correct procedures anyway, the Op should however contact his conveyancer or seek a solicitors advice.

I hope the OP has got all the communication in writing and not via phone calls, as evidence is what you need.