I own a leasehold flat were the shares in the management company are owned by the leaseholder's. The company as instructed a managing agent to collect the service charge and deal with the day to day maintance of the development.The managing agent with the approval of the company directors issued proceedings against me for the recovery of service charge and associated costs. I won The case and the court ruled that the legal costs were unreasonable and not necessary, and therefore not recoverable via the service charge account.The managing agent has already paid the legal cost to the solicitors from the service charge account. Can I insist that the solicitor’s return the money back to the managing agents as now the court as ruled that costs cannot be recovered from the service charge account?The costs were £14,500 there are 335 leaseholders who all own a share in the company.Most leaseholders will not be aware of these costs.
Province/Country relating to question : uk
Thanks for your question. Please remember to rate my answer GOT THE JOB DONE OR ABOVE so that I am credited for my time.Yes.This is because it can not be collected via service charge.As such you are not liable and the amount should be returned back to the leaseholders via the service charge.So yes, it can not be recovered via service charge.Please remember to rate my answer *** GOT THE JOB DONE *** or above so that I am credited for my time. Thank you.
Called to the Bar in 2007
I'm just following up with you to see how everything is going. Did my answer help?UK-Justice
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