Pre-Construction Consultation and the Futility of Dispensation – Hardwicke Chambers

“Generally, any landlord who wishes to enter into a qualifying long term agreement (‘QLTA’), viz. an agreement for a term of more than 12 months (subject to certain exceptions) as a result of which any tenant will pay a service charge of more than £100 (‘the appropriate amount’) for the relevant service charge period, must either consult in accordance with the Service Charges (Consultation Requirements) (England) Regulations 2003 (SI 2003/1987) (‘the Regulations’) or obtain a dispensation from the First-Tier Tribunal (Property Chamber) (‘PC’). Failure to consult will result in the relevant service charge being capped at the appropriate amount.”

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Hardwicke Chambers, 13th August 2013