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I am chaiman of a residents association ltd UK company. We

 

Customer Question

I am chaiman of a residents association ltd UK company.
We receive ground rents from our tennant shareholders.
We currently have an £11,000 surplus in the bank.
Can we use the part of the surplus for additional maintainence
without seeking tenants approval.
Our Mem & Arts do not restict what we can spend on.

Derek Morgan

 

Optional Information:
Province/Country relating to question : United Kingdom

Already Tried:
Asked company secretary.

Submitted: 296 days and 11 hours ago.
Category: UK Property Law
Value: £22
Status: CLOSED

Accepted Answer

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Expert:  Daniel Smith replied 296 days and 11 hours ago.


XXXXXX XXXXX : Hi there. Thanks for your question, I will assist you with this.
XXXXXX XXXXX : This depends. If the amount would work out at £250 per apartment of more then you would need to invoke the s.20 major works process.
Customer :

What is the s.20 major works process

XXXXXX XXXXX : This is for items of significant expenditure, and the law controls this process and why can be used/recovered from leaseholders irrespective of what is in the company's Memo and Arts.
Customer :

Thats fine. Many thanks Derek Morgan

XXXXXX XXXXX : There are many sources on the Internet to look at this in detail. One starting point would be: http://www.leaseholdlife.info/index.php/managing-agents/major-works-s20
XXXXXX XXXXX : Thanks Derek.
XXXXXX XXXXX : Please do leave positive feedback.
Customer :

Yes no problem.

XXXXXX XXXXX : Good luck. If you need more info late, just ask.
Customer :

Can you email our correspondence and provide an invoice.

XXXXXX XXXXX : No, that's not how the site works I'm afraid. You can take a note of the address above as a record though.
Customer :

OK. Bye

XXXXXX XXXXX : Bye.

Expert TypeDaniel Smith
Category: UK Property Law
Pos. Feedback: 97.0 %
Accepts: 915
Answered: 6/27/2012

Experience: JustAnswer

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