Freeholder Dispute – Urgent advice needed after demands?

Familiar story of uninformed lessees/share of freehold owners. One said to me (in response to my note that.S20 consultation needed for some works) “Us freeholders can do what we want”!

Go to a good solicitor and get them reminders of their obligations. Because as well as share of freehold owners, they’re also leaseholders too and have to contribute as per their lease terms.

What does the Lease say? It should set out when and how Service Charges are paid, if there is a reserve or sinking fund which you should contribute to. Do the new Managing Agents belong to any trade body? Download the RICS Statutory Code of Practice.

You seem to indicate that from 2016 until recently there was no management company after the last one was fired by the freeholders. Therefore, how did the freehold company meet its statutory and legal requirements? This is context you should put to a good solicitor as well as reading your lease to clarify how service charge is charged and collected and if/what sinking fund contribution exists.

Also, if you hold this mortgage free then the freeholder will have no recourse to a lender and can only battle with you.

“Can they enforce these charges without proper documentation?”
No. You owe nothing until they have given you a service charge demand that meets the legislation. (But you need to ensure that they haven’t sent demands to the property itself)
Even then, if you demand a detailed breakdown of the costs, you owe nothing until these are provided.
If no service charge demands have been sent, the landlord cannot recover any costs from more than 18 months ago.

“Should I take this to the First-tier Tribunal (Property Chamber)?”
No. Why should you incur the fees of doing so, you currently owe nothing.

The Landlord and Tenant Act is simple to follow,
https://www.legislation.gov.uk/ukpga/1985/70
but the Leasehold Advisory Service website also offers helpful advice on Service Charges
https://www.lease-advice.org/site-search/#?cludoquery=service%20charges&cludopage=1&cludorefurl=https%3A%2F%2Fwww.lease-advice.org%2F&cludorefpt=Home%20-%20The%20Leasehold%20Advisory%20Service&cludorefact=Service%20charges&cludorefaci=1&cludoinputtype=standard

This has a familiar ring. A Debt collection firm pursuit of leaseholders for service charge only payable under terms of their registered lease wrongfully as debt under Insolvency Act owed to a creditor.

You have the right to inspect accounts under Landlord & tenant Act 1985 s 21(1) and LEASE provides template letter to be sent to whoever is named as Lessor or Landlord in your lease.

The pursuit of service charge as debt owed to a creditor is evidence your money is not protected in a section 42 trust/client account as Lessors landlords money. It is not company or freeholder’s money.It means someone is unlawfully benefiting.

Also check whether there is a deed of trust with your lease which is also legally binding on you.

You are mortgage free and renting the flat out and at more risk than if you had a mortgage. You should register your Title on HMLR Property Alert service and also put a restriction on your title costs £40 as a matter of urgency.

Contact LEASE with your lease before instructing solicitors and if there is a trust deed then go to those solicitors who specialise in leasehold land held in trust.

It’s going to cost but leaseholders in all the flats hold as jointly and severally liable and the Trustees are mismanaging the assets. Check your insurance cover.

Not wishing to criticise, but why didn’t you buy your share of the freehold?

It sounds like the freeholders haven’t got a clue about running their company, and their responsibilities. I’m shocked they didn’t even have buildings insurance.

Research your rights and responsibilities as a leaseholder, and theirs as freeholder. Arrange a meeting with them to discuss but without threat of legal action.

Reply to the comment left by NewYorkie at 17/09/2025 – 10:21
We’re in a similar situation. In our case, our flat was owned by the original landlord, which is why he didn’t partake in the new company when he decided to sell the freehold.
The case of Morshead Mansions Ltd -v- Leon Di Marco persuaded us never to buy into the company. As a leaseholder you have rights that a shareholder doesn’t.

Reply to the comment left by Steve Rose at 17/09/2025 – 14:57
But you remain a leaseholder even with a share of freehold.

Reply to the comment left by NewYorkie at 17/09/2025 – 15:47
You don’t know the case, do you?
What happened is that, in order to avoid the restrictions required under the Landlord and Tenant Act, the company stopped issuing Service Charge Demands and instead issued demands from shareholders.
These cannot be challenged, and are only subject to majority voting, where Mr Di Marco was outvoted every time.
Thus it is only by virtue of not being a shareholder, that forces the landlord to follow the legislation in our case.

Fair enough. I was only going on my experience as a SoF Co sec.