Automated Summary
Key Facts
The Tribunal considered an application by East End Homes Limited to dispense with consultation requirements for urgent lift replacement works at Derwent House in London. The applicant sought dispensation under Section 20ZA of the Landlord and Tenant Act 1985, citing the need to replace a non-functioning lift and remove asbestos in the lift motor area. Only one leaseholder, Martin Collins of Flat 19, submitted a written objection, which the Tribunal deemed misguided as it contradicted lease terms. After reviewing evidence including maintenance records, the Tribunal concluded no significant prejudice to leaseholders and granted dispensation to enable urgent works for safety and accessibility, particularly for less mobile residents.
Issues
The only issue for the Tribunal to decide is whether or not it is reasonable to dispense with the statutory consultation requirements under the Landlord and Tenant Act 1985 (as amended) and the Service Charges (Consultation Requirements) (England) Regulations 2003 for the lift replacement works at Derwent House. This includes assessing if leaseholders suffered any relevant prejudice due to the failure to consult as required by law.
Holdings
- The Tribunal grants the application for dispensation of consultation requirements, concluding it is reasonable to allow the failure to consult leaseholders on urgent lift replacement works. The decision is based on the absence of significant prejudice to leaseholders and the necessity of the works for safety and accessibility.
- The Tribunal determined that the leaseholders did not suffer relevant prejudice from the failure to comply with consultation requirements, as no credible case of prejudice was established. The applicant's evidence supported the urgency of the works, and the single objection from a leaseholder was deemed misguided.
Remedies
- The Tribunal grants the application for dispensation of all consultation requirements under Section 20ZA of the Landlord and Tenant Act 1985 regarding the urgent lift replacement works at Derwent House. This includes removing the non-functioning lift and asbestos in the motor area, with no prejudice to leaseholders identified.
- The applicant (East End Homes Limited) must formally serve the Tribunal's decision on all leaseholders, post it on their website with a prominent link for 3 months, and place copies in common areas of the building. This ensures leaseholders who did not return reply forms can access the decision and their appeal rights.
Legal Principles
- The leaseholders must demonstrate credible prejudice from the landlord's failure to consult, as per the Supreme Court's guidance in Daejan Investments Limited v Benson [2013] UKSC 14. Once a credible case is shown, the landlord bears the burden to rebut the claim of prejudice.
- The Tribunal must determine whether it is reasonable to grant dispensation based on whether the leaseholders were prejudiced by the failure to comply with consultation requirements, as outlined in the Supreme Court's decision.
Precedent Name
Daejan Investments Limited v Benson
Cited Statute
- Service Charges (Consultation Requirements) (England) Regulations 2003
- Landlord and Tenant Act 1985 (as amended)
Judge Name
Judge Professor Robert M Abbey
Passage Text
- The factual burden of identifying some relevant prejudice is on the leaseholders. Once they have shown a credible case for prejudice, the Tribunal should look to the landlord to rebut it.
- The Tribunal could not find prejudice to any of the tenants of the properties by the lift replacement works... absence of a properly functioning and safe lift is of considerable concern... dispensation is wholly appropriate.
- Would the flat owners suffer any relevant prejudice, and if so, what relevant prejudice, as a result of the landlord's failure to comply with the requirements?