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Flat Sale-Retention of funds for service Charges
nigelgreenlee
Posts: 1 Newbie
Hi.
Earlier this year I sold a flat.
Money was retained as expected in lieu of any retrospective management charges that may come in.
The new buyer(or their solicitor) has not been in touch with the management company so when the Management charges for the second part this year came in together with the statement of retrospective charges they came to me.
The invoice was due several weeks ago.
I have been in touch with the management company and they are aware that I am not paying the invoice.
We have contacted our former solicitor and advised them of the problem and requested release of the remaining funds.
As yet we have not had confirmation that the new owners have been in touch with or paid the bill, and they have not acknowledged or agreed the retrospective charge or release of the funds.
My question is(2 Questions really)
1) What legal responsibility does the new buyer have to inform the management company of their details so they can be sent invoices, and in what time frame are they supposed to comply?
1) What recourse do I have to have the remaining retained funds refunded to me in a reasonable manner and timeframe. Surely they cannot reasonably refuse to release the funds indefinitely if the accounts are in and the amounts are known?
Any knowledgable advice on this is welcome
Earlier this year I sold a flat.
Money was retained as expected in lieu of any retrospective management charges that may come in.
The new buyer(or their solicitor) has not been in touch with the management company so when the Management charges for the second part this year came in together with the statement of retrospective charges they came to me.
The invoice was due several weeks ago.
I have been in touch with the management company and they are aware that I am not paying the invoice.
We have contacted our former solicitor and advised them of the problem and requested release of the remaining funds.
As yet we have not had confirmation that the new owners have been in touch with or paid the bill, and they have not acknowledged or agreed the retrospective charge or release of the funds.
My question is(2 Questions really)
1) What legal responsibility does the new buyer have to inform the management company of their details so they can be sent invoices, and in what time frame are they supposed to comply?
1) What recourse do I have to have the remaining retained funds refunded to me in a reasonable manner and timeframe. Surely they cannot reasonably refuse to release the funds indefinitely if the accounts are in and the amounts are known?
Any knowledgable advice on this is welcome
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Comments
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why was a deed not signed by the buyer?Don't put your trust into an Experian score - it is not a number any bank will ever use & it is generally a waste of money to purchase it. They are also selling you insurance you dont need.0
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nigelgreenlee said:
1) What legal responsibility does the new buyer have to inform the management company of their details so they can be sent invoices, and in what time frame are they supposed to comply?
The new buyer would be breaching the terms of their lease, if they don't inform the management company/freeholder (it's generally called "Serving a Notice of Assignment").
But Management Companies sometimes seem to make mistakes on this - they receive notices of assignment, but still send bills to the previous leaseholder.nigelgreenlee said:
1) What recourse do I have to have the remaining retained funds refunded to me in a reasonable manner and timeframe. Surely they cannot reasonably refuse to release the funds indefinitely if the accounts are in and the amounts are known?
There should be a date specified for release of funds in the contract you signed when you sold.
If the accounts aren't ready by that date, you should get the retention money back anyway. (But you might still be liable to pay any shortfall in service charge funds, even after you've got the retention money back.)
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