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Re Grafton Way (Lands Tribunal) [2008] PLSCS 30

DATE: 30 Jun 2008

The Lands Tribunal appeal considered the power to waive the consultation requirements required pursuant to the Landlord and Tenant Act 1985 and Schedule 2 to Service Charges (Consultation Requirements)(England) Regulations 2003. The Appellant landlords had carried out major works to property but had failed to comply with the requirements in para 4(5)(b) and (9) of the 2003 Regulations regarding service of a statement of the amount of at least two estimates and, in para 4(10), regarding service of a notice specifying where and when the estimates could be inspected and inviting observations on them. It was held that the requirements as to estimates were fundamental to the statutory scheme; the purpose was to provide the tenants with the opportunity to see the estimates and make observations on them, which the landlord was then required to take into account. The leaseholders had not been provided with the basic information on the tenders or the opportunity to inspect and make observation on them. This constituted a gross error that manifestly fundamentally prejudiced the leaseholders and accordingly, dispensation was not be granted.