RTM Company Ordered to Pay Landlord's Costs in Right to Manage Application

OUTCOME: Allowed

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FIRST-TIER TRIBUNAL PROPERTY CHAMBER (RESIDENTIAL PROPERTY) Case reference : LON/00AJ/LCP/2024/0010 Property : 27-32 [ADDRESS] [POSTCODE] Applicant : [redacted] : [COUNSEL] [RESPONDENT] Respondent : [redacted] : N/A Type of [NAME] : [NAME] for costs pursuant to s.88(4) of the Commonhold and Leasehold Reform Act 2002

Tribunal member(s) : Judge Tagliavini Mr Andrew Lewicki BSC (Hons) FRICS MBEng Venue : 10 [ADDRESS] [POSTCODE] Date of decision : 6 November 2024

DECISION

2

The tribunal’s decision

1. The tribunal determines the respondent is liable to pay to the applicant the total sum of £1,332.85 (inc. VAT), in respect of the costs occasioned by the [NAME] for the acquisition of the right to manage the subject property at 27-32 [ADDRESS] [POSTCODE] (‘the property’).

2. The tribunal determines the respondent is to reimburse the sum of £110 to the [NAME] representing the cost of [NAME] fee paid to the tribunal.

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The [NAME]

2. This is an [NAME] to decide the costs to be paid by an [COMPANY] under s.88(4) of the Commonhold and Leasehold Reform Act 2002 (‘the 2002 Act’). The applicant seeks legal costs and disbursements for post and HMLR fees in the sum of £882.85 (inc. VAT and management fees of £450 (inc. VAT). The applicant also seeks reimbursement of its [NAME] fee of £110. The hearing 3. Neither party requested an oral hearing and therefore, the [NAME] was determined on the documents provided by the applicant in the for of a digital bundle comprising 140 pages. The respondent did not seek to object to the [NAME] or make any representations.

4. The applicant provided the tribunal with a Schedule of Costs which set out the work undertaken and by the level of fee earner. This Schedule was supported by invoices from the applicant’s legal representative and its managing agent.

5. In support of the [NAME] for costs, the applicant set out in its Statement of Claim dated 2 October 2024 a detailed account of how its costs had been incurred. The tribunal’s reasons 6. In [NAME] its decision the tribunal had regard to s.88(1)(2)(3) and (4) of the 2002 Act, the relevant parts of which states:

3 (1)A [COMPANY] is liable for reasonable costs incurred by a person who is— (a)landlord under a lease of the whole or any part of any premises, (b)party to such a lease otherwise than as landlord or tenant, or (c)a manager appointed under Part 2 of the 1987 Act to act in relation to the premises, or any premises containing or contained in the premises, in consequence of a claim notice given by the company in relation to the premises. (2)Any costs incurred by such a person in respect of professional services rendered to him by another are to be regarded as reasonable only if and to the extent that costs in respect of such services might reasonably be expected to have been incurred by him if the circumstances had been such that he was personally liable for all such costs. (3)A [COMPANY] is liable for any costs which such a person incurs as party to any proceedings under this Chapter before the appropriate tribunal only if the tribunal dismisses an [NAME] by the company for a determination that it is entitled to acquire the right to manage the premises. (4)Any question arising in relation to the amount of any costs payable by a [COMPANY] shall, in default of agreement, be determined by the appropriate tribunal.

6. In the absence of any objection by the respondent to the amount of the costs claimed by the respondent and having regard to the test set out in s.88 of the 2002 Act, the tribunal determines the amount of the costs sought by the applicant are reasonable and payable by the respondent.

7. Further, the tribunal considers it reasonable for the respondent to reimburse the applicant, the cost of this [NAME] in the sum of £110.00.

Name: Judge Tagliavini

Date: 6 November 2024

4 Rights of appeal

By rule 36(2) of the Tribunal Procedure (First-tier Tribunal) (Property Chamber) Rules 2013, the Tribunal is required to notify the parties about any right of appeal they may have. If a party wishes to appeal this decision to the Upper Tribunal (Lands Chamber), then a written [NAME] for permission must be made to the First-tier Tribunal at the Regional Office which has been dealing with the case. The [NAME] should be made on Form RP PTA available at https://www.gov.uk/government/publications/form-rp-pta-[NAME]-for- permission-to-appeal-a-decision-to-the-upper-tribunal-lands-chamber The [NAME] for permission to appeal must arrive at the Regional Office within 28 days after the Tribunal sends written reasons for the decision to the [NAME]. If the [NAME] is not made within the 28-day time limit, such [NAME] must include a request for an extension of time and the reason for not complying with the 28-day time limit; the Tribunal will then look at such reason(s) and decide whether to allow the [NAME] for permission to appeal to proceed, despite not being within the time limit. The [NAME] for permission to appeal must identify the decision of the Tribunal to which it relates (i.e. give the date, the property and the case number), state the grounds of appeal and state the result the party [NAME] the [NAME] is seeking. If the Tribunal refuses to grant permission to appeal, a further [NAME] for permission may be made to the Upper Tribunal (Lands Chamber).