Service Charge Disputes
Service charges are the charges made by a landlord to a tenant
for services provided under the lease. Typical items included are
the provision of insurance, power, water, sewerage, building
maintenance, porter services and similar.
From the Landlord's point of view service charges usually only
form the basis of a problem if a tenant is failing to pay them and
the claims are therefore usually quite straightforward. We
regularly assist landlords in pursuing claims against defaulting
tenants and can also advise on cost-effective litigation and
recovery of judgment debts. We are also experienced in the more
complex service charge disputes involving issues such as absent
tenants and unlawful subletting, counterclaims for inadequate or
non-completed services and other related defaults and breaches of
lease.
From the Tenant's perspective there is most commonly a problem
with a service charge where the Landlord appears to be
over-charging, or claiming for items not recoverable under the
lease or for services not provided. We can assist with challenging
service charges both by negotiation and through the courts or
leasehold valuation tribunal. In some cases where an excessive
service charge is not an isolated incident tenants may be
interested in exercising a right to manage or acquiring the
freehold. We can advise on the availability of these solutions and
provide support throughout either process.
We act for landlords and tenants in service charge disputes
relating to both commercial and residential property. We are happy
to act for group litigants and can advise on participation
agreements where appropriate.