Date: Wed, 20 Jun 2007 07:56:49 +1200
From: peterwn 
Newsgroups: uk.finance uk.legal
Subject: Re: Service Charge on Block of Flats
Bytes: 2713

fjmd1a@gmail.com wrote:
> On 19 Jun, 03:53, peterwn  wrote:
> 
>> If the manager is not performing properly, then the lessees' governance
>> committee should be able to sack the manager.  However very sound cause
>> (including prior warnings) would need to be shown, otherwise the manager
>> could sue for damages.  It might even need court action to unseat a manager.
> 
> There is very rarely a body called a "lessees' governance committee"
> for a block of leasehold flats.
> 
> Francis
> 

In such a case, if the lessor (through the agent) does not follow 
protocol, the lessor may have legal difficulties with collecting the 
service charge.

Serious problems with the management company should be referred direct 
to the lessor, and it is in the lessor's interests to get it sorted out 
as this sort of thing adversely affects the value of the lessor's 
investment.

Unfortunately some lessors probably do not care, meaning that the values 
of the leasehold interests may not keep pace with market values or worse 
still may fall.  This would seem to be a hazard with this type of 
property 'ownership'.