Freehold Managers Unreasonable Fees for Subletting Consent

Freehold Managers Unreasonable Fees for Subletting Consent

10:09 AM, 2nd December 2013, About 10 years ago 89

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Hello everyone, especially the legal people amongst you.

I am in DESPERATE need of legal advice!

I am sure this has been discussed in one form or another before but I would like to make it very personal and specific to me if that is OK.

I have been in a virtual argument with my landlord for quite some time now. Freehold Managers Unreasonable Fees for Subletting Consent

I own an apartment which I let out (sub-let effectively) and MY landlord is insisting on money for :-

Subletting registration – £78

Sub letting consent – £48 (I think that’s the cost)

The registration is expected each and every time a new tenant moves in!

My argument is that this is totally unreasonable, unfair and extortionate!

Then they are trying to charge me £78 each and every time they send a letter. Now surely this is extortionate for something that cost pence to produce and a couple of pounds to administer.

Be damned if I know why I have both these company names on the letter heads / invoices.

I think there is a huge principal at point here and more so because of their bully tactics and lack of customer service.
In addition to this It seems that there is no legal way to challenge anything they choose to charge and that just cannot be right or fair!

PLEASE can someone help?

By the way I did go down the route of quoting a certain case where the judge stated that a fair and reasonable cost would be x,y,z. They chose to ignore that.

Time is short and costs are spiraling – please can we do something about these faceless, remorseless morons!? It literally makes me sick to my stomach.

Thanks

John Sweet


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Comments

Dan Sawyer Cherry Picked Properties

22:22 PM, 29th June 2014, About 10 years ago

Reply to the comment left by "Dan Sawyer" at "29/06/2014 - 22:15":

Just to be clear with the above...

FHm say that the 40 ruling applies only to when consent is required and not for 'notice'

Does anyone know if there're truth in that?

Rob

23:00 PM, 29th June 2014, About 10 years ago

I was told the same by Simarc, i quote:

We note the contents therein and wish to inform you that Leasehold Valuation Tribunal case you make reference to makes mention of consent to underlet and not Notice of Underletting which we have requested in accordance with the terms of the Lease.

Please note that a notice of underletting fee is not an administration charge for the purposes of Schedule 11 of the Commonhold and Leasehold Reform Act 2002, and therefore a Leasehold Valuation Tribunal does not have the power to decide whether or not such a fee is reasonable.

This has been decided in many previous Leasehold Valuation Tribunal cases and examples of successful cases are as follows: -

MAN/00CG/LAC/2008/2004/005

LON/00BA/LAC/2009/004

MAN00EU/LAC/2010/0016

MAN/00CG/LAC/2011/0003

James Feehily

12:37 PM, 30th June 2014, About 10 years ago

Hello

I am getting exactly the same from Simarc despite engaging a lawyer to write to them upon my behalf. I have been contesting that the fee is not reasonable from my Lease.

I would be interested to know if anyone else has had these issues with this company.

Mike

tee kkk

12:42 PM, 30th June 2014, About 10 years ago

Reply to the comment left by "Dan Sawyer" at "29/06/2014 - 22:22":

I am getting the same thing from my freehold management company, that the fee is about registration

Dan Sawyer Cherry Picked Properties

13:06 PM, 30th June 2014, About 10 years ago

So it appears we all have the same question but does anyone have the answer!?!?
Mike what has your lawyer said as surely he is well positioned to advise?

James Feehily

13:02 PM, 10th July 2014, About 10 years ago

Hi

This is still ongoing. I used the standard response suggested by this site along with the case law. Simarc said it did not apply but if I went o the LTV their fees would be considered reasonable-which is a contradiction!

I sent cheques with an inflation increase of the amounts outlined in the tenancy-they returned the cheques.

They continue to write to me demanding payment. We found copies of the original demands on the internet and it seems to be a pattern of not responding to the reasonable questions asked but continuing to demand payment.

I would like to hear from anyone else on this issue to bring people together.

Mike

Rob

14:24 PM, 10th July 2014, About 10 years ago

Reply to the comment left by "Mike Keeley" at "10/07/2014 - 13:02":

As per my comments in this thread im in the same position regarding Notice of underletting fee, at the moment im just ignoring them but obviously this does need to be resolved somehow. Until someone of legal standing can advise im at a loss as to what to do. But Theres no way im paying £120 for Notice to underlet.

Simon Forgate

21:30 PM, 25th September 2014, About 10 years ago

Reply to the comment left by "Rob " at "10/07/2014 - 14:24":

Any progress on this? I am in the same situation. My lease states a "reasonable registration fee". How do companies get away with charging £100+VAT for 15 mins admin work?

Yvette Newbury

23:59 PM, 25th September 2014, About 10 years ago

We are also leaseholders with FHM. Thankfully our leases clearly state the notice fee as being a percentage of the annual rent or minimum of £25+VAT, so we all pay £25+VAT. Consent to rent is granted under our lease so we do not need to ask for it. However we still all receive letters requesting that we are renting in contravention of our lease and asking for fees up to £400 for consent! Many leaseholders have paid it too, but thankfully the Residents Association is getting the message through that these charges are not applicable and we provide a template letter to use to refute the charge, and in some cases to obtain a refund of money.

It is disgraceful that certain freeholders are allowed to conduct their business in this way and it is high time that it was stopped..

James Feehily

22:22 PM, 26th September 2014, About 10 years ago

Reply to the comment left by "Yvette Newbury " at "25/09/2014 - 23:59":

Hello

Thanks. I am now in the position of Simarc contacting the lender. They have described to the lender as non-payment of ground rent/ and or service charges. However, this is not accurate as the Oustanding Amount-is Notice for Underletting, which I am disputing.

I will call the lender, but does anyone know what rights I have to dispute with Siamrc and stop them approaching the lender and trying to add to the mortgage.

Also, does the Freeholder the tactics Simarc are using? Youre xperience with FHM would be useful.

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