Unpaid service charges?

by Readers Question

10:42 AM, 22nd September 2014
About 7 years ago

Unpaid service charges?

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Unpaid service charges?

I am an owner of a flat in a block of 18. I am also one of four Directors making up the Management Committee. Unpaid service charges

We have one owner who constantly has to be chased for their annual service charge. This is time consuming and occasionally the bank account has to be topped up to prevent charges.

As an owner I have in the past used the small claims court to successfully pursue unpaid rent. Does anyone know whether I could use that process in my capacity as a Director in the Management Company?

I am also in the process of checking with Land Registry to see if there is a mortgage on the property.

Grateful for any thoughts?





14:17 PM, 22nd September 2014
About 7 years ago

I wouldn't bother reporting him to his mortgage company in the hope the bank pays the arrears, all the landlord has to say is its in dispute and the mortgage company will back off. I know this from experience when I was in dispute with a management company, in fact it was the mortgage company that told me if its in dispute we will not pay them and we side with you. Do you apply charges to there account for late payment? Maybe you could allow them to pay by monthly standing order instead of yearly to help them out with cash flow.

Joe Bloggs

11:35 AM, 23rd September 2014
About 7 years ago

the role of director is separate from the sc debt. you should pursue the debt as you would for any other leaseholder.

Monty Bodkin

13:27 PM, 23rd September 2014
About 7 years ago

MCOL for the amount owed.

But I don't get this bit;

"I am also in the process of checking with Land Registry to see if there is a mortgage on the property."

Why don't you just check on line instantly?

Although as Rob says, they won't do anything at this stage. However, they may cough up if you get a court order.

When the owner eventually sells, the conveyancer will want confirmation the service charges are up to date and you get paid then.

Might be a long wait though!

Chris Amis

18:15 PM, 23rd September 2014
About 7 years ago

Is it a BTL-and hide leaseholder? Have a word with them, they may just expect you to get a CCJ so the mortgage company pays.

It is part of the business model for some, too much stress if you ask me.

You could always go nuclear with QCs etc as it is all in prep for s.146, you could win a flat - less legal charges (eg http://www.leaseholdknowledge.com/flat-forfeited)

Mark Alexander

23:08 PM, 24th September 2014
About 7 years ago

Reply to the comment left by "Chris Amis" at "23/09/2014 - 18:15":

Also see >>> https://www.cotswoldbarristers.co.uk/paba/

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