First-tier Tribunal Rules Lack of Jurisdiction Over Property Contract
📌 In brief
The First-tier Tribunal decided it could not direct a property manager to accept responsibility for a contract that was not made in their official capacity as a manager. This means the current manager cannot be forced to take on liabilities from previous managers' contracts unless those contracts were made while they were officially appointed as the manager.
⚖️ Legal holding
A Tribunal appointed manager cannot be directed to accept liability for a contract not made in their capacity as such.
📖 What the law says
This section allows a tribunal to appoint a manager to handle certain management functions or act as a receiver when specific conditions are met. These conditions include breaches of obligations related to property management, unreasonable service charges, or failures to comply with approved codes of practice.
Plain-English explanation — does not replace advice from a solicitor.
📖 Technical summary
The Tribunal lacks jurisdiction to direct the manager to accept liability for a contract not made in their official capacity.
📜 Headnote Official document
The Tribunal determined it did not have jurisdiction to direct the manager to accept liability for a contract made between the former manager and Gates Surveyors, as the contract was not in the name of the former manager as Tribunal appointed manager.
📚 Full judgment Official document
OUTCOME: Dismissed
© CROWN COPYRIGHT
FIRST-TIER TRIBUNAL PROPERTY CHAMBER (RESIDENTIAL PROPERTY)
Case Reference
:
CHI/18UH/LVM/2021/0010/AW
Property
:
[ADDRESS] [POSTCODE]
Applicant: [redacted]
[NAME] Tribunal Appointed Manager
Representative
:
Respondent: [redacted]
:
[COUNSEL] [NAME] of Application
:
Application for directions regarding whether the Mr [NAME] should become a party to the contract between Mr [RESPONDENT]/[NAME] and [NAME]
Tribunal Member(s)
:
Judge Tildesley OBE Mr W H Gater FRICS
Date and venue of Hearing
:
6 January 2022 at Havant Justice Centre Parties joined by CVP
Date of Directions
:
7 January 2022
DECISION
2
1. On 13 July 2021 in accordance with section 24(1) Landlord and Tenant Act 1987, Mr [APPELLANT] of [NAME]. Estate and Block Management, was appointed as manager of the Property known as [ADDRESS], [POSTCODE] with effect from 28 July 2021.
2. Mr [NAME] applied to the Tribunal for a direction as to whether he should accept liability in his capacity as Tribunal appointed manager for the contract made between the former Manager, [RESPONDENT], and [NAME].
3. After hearing from Mr [COUNSEL] and Mr [COUNSEL] solicitor for Mr [RESPONDENT], and noting that the subject contract was made between [COMPANY] and [COMPANY], the Tribunal determined that it did not have jurisdiction to make the direction requested because the contract was not in the name of Mr [RESPONDENT] as Tribunal appointed manager.
Dated 6 January 2022
RIGHTS OF APPEAL
1. A person wishing to appeal this decision to the Upper Tribunal (Lands Chamber) must seek permission to do so by making application by email to [EMAIL].
2. The application must arrive at the Tribunal within 28 days after the Tribunal sends to the person making the application written reasons for the decision.
3. If the person wishing to appeal does not comply with the 28 day time limit, the person shall include with the application for permission to appeal a request for an extension of time and the reason for not complying with the 28 day time limit; the Tribunal will then decide whether to extend time or not to allow the application for permission to appeal to proceed.
4. The application for permission to appeal must identify the decision of the Tribunal to which it relates, state the grounds of appeal, and state the result the party making the application is seeking.
📊 How courts decide similar cases
Among 11 similar decisions in this collection:
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- First-tier Tribunal (Property Chamber) First-tier Tribunal Grants Landlord Dispensation for Urgent Works
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- First-tier Tribunal (Property Chamber) First-tier Tribunal Limits Park Owner's Inspection Rights
A snapshot of this collection — not a prediction of your case's outcome.
⚖️ What tends to weigh in cases like this
✅ Tends to be accepted
- The Tribunal appointed manager was appointed under the Landlord and Tenant Act 1987.
- The contract in question was made between two companies, not the former Tribunal appointed manager.
- The Tribunal lacked the authority to direct the new manager to accept liability for a contract not made in the former manager's capacity as such.
Patterns observed in similar cases in this collection — every case is unique.
❓ Frequently asked questions
What did this decision decide?
The Tribunal decided it lacked the authority to direct the current property manager to accept liability for a contract made by the previous manager.
Who was involved?
The case involved a current property manager and a previous property manager.
How did the court decide, and why?
The court decided based on the fact that the contract in question was not made in the name of the previous manager as a Tribunal-appointed manager.
Which laws or rules were applied?
The Landlord and Tenant Act 1987 was applied, specifically section 24(1) which deals with the appointment of managers.
What was the argument that mattered most?
The argument that mattered most was that the contract was not made in the name of the previous manager as a Tribunal-appointed manager.
Was the decision for or against the person who brought the case?
The decision was against the person who brought the case.
What does this mean for someone in a similar situation?
For someone in a similar situation, it means that a current property manager cannot be directed to accept liability for a contract made by a previous manager unless that contract was made while the previous manager was officially appointed as the manager.
What evidence or documents mattered?
The evidence included the contract in question and the relevant sections of the Landlord and Tenant Act 1987.
Can a decision like this be appealed?
Yes, a decision like this can be appealed to the Upper Tribunal (Lands Chamber) if permission is granted.
Is it worth getting a solicitor for a case like this?
It is always recommended to seek advice from a qualified solicitor for cases involving property management and legal disputes.