Tenant Entitled to Recover Reasonable Costs Under Lease Provisions
📌 In brief
The First-tier Tribunal ruled that a tenant who successfully wins a claim can recover reasonable costs as specified in the lease agreement. This decision emphasises the importance of lease provisions in cost recovery.
⚖️ Legal holding
A tenant is entitled to recover reasonable costs under the lease provisions if successful in a claim.
📖 Technical summary
The Tribunal ruled that the costs claimed by the successful applicant were reasonable and proportionate.
📜 Headnote Official document
The First-tier Tribunal (Property Chamber) ruled that the costs claimed by the successful applicant were reasonable and proportionate, based on the lease provisions and the nature of the claim. The Respondent's challenge was unsuccessful.
📚 Full judgment Official document
OUTCOME: Allowed
FIRST-TIER TRIBUNAL PROPERTY CHAMBER (RESIDENTIAL PROPERTY) Case Reference : LON/00BK/LSC/2019/0347
Property
Applicant: [redacted]
75 [ADDRESS] [POSTCODE]
[NAME] ( [APPELLANT] ( Claimant/Applicant
Representative : [COUNSEL] Respondents : [redacted] Deceased) (2) [COUNSEL] [NAME] : In person represented by daughter Type of [NAME] : Payability of service charge. Tribunal Members
: [NAME]
In the county court
Date of Decision :
Judge Jim Shepherd, with Michael Taylor FRICS as assessor
12th May 2020
COSTS DECISION
On 19th March 2020 the Tribunal set aide the costs part of its decision in this case. Submissions were invited in relation to the challenge by the Respondents against the costs claimed by the successful Applicant. In summary the Respondents challenged the following:
a) The statement of costs was poorly drafted.
b) Copy invoices were sought to confirm the indemnity principle had been applied.
c) The hourly rates were excessive,
d) The fee earners claims did not tally up.
e) The number of fee earners on the case was excessive.
f) The time spent was excessive.
g) The costs are not reasonable or proportionate.
The Respondents offered £3750 against the amount claimed by the Applicant of £7357.20.
The Applicant responded to the challenge in their submissions dated 2nd April 2020:
a) The drafting of the statement of costs did not affect liability.
b) The Applicant relied on the costs provision in the lease.
c) The hourly rates were reasonable.
d) The fee earners hourly rates were based on experience.
e) The number of fee earners working on the case was reasonable.
f) The time spent was reasonable.
g) The costs were reasonable and reliance was placed on the lease provision.
Decision
The Tribunal has previously decided that the costs were reasonably incurred. The claim was for a relatively large sum of £20457.31. The Applicant was entirely successful in the claim and the costs claimed appeared non excessive in the Tribunal’s experience. The Respondents submissions which represent a broad attack on the costs claimed fail to persuade the Tribunal
that its original decision is not correct. The statement of costs was not unusual. There were costs provisions in the lease which the Applicant was entitled to rely on. The hourly rates were not excessive. Neither was the number of fee earners involved.
Accordingly, the Respondents are liable to pay the Applicant’s costs summarily assessed at £7357.20 within 28 days of receipt of the order.
[NAME]
12th May 2020
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] 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).
📊 How courts decide similar cases
Among 12 similar decisions in this collection:
- First-tier Tribunal (Property Chamber) Landlord Granted Dispensation for Urgent Roof Repairs
- First-tier Tribunal (Property Chamber) Local Authority Secures Annual Site License Fee Order Against Non-compliant…
- First-tier Tribunal (Property Chamber) Emergency Remediation Works Approved Without Prior Consultation
- First-tier Tribunal (Property Chamber) Tenant Wins Challenge Against Invalid Notice of Rent Increase
- First-tier Tribunal (Property Chamber) Tribunal Grants Urgent Roof Repairs Dispensation Without Conditions
- First-tier Tribunal (Property Chamber) Fire Safety Works Dispensation Approved by First-tier Tribunal
- First-tier Tribunal (Property Chamber) Landlord Granted Permission to Skip Consultation for Urgent Roof Repairs
- First-tier Tribunal (Property Chamber) Tenant Granted New Lease with Premium Set at £24,360.20
- First-tier Tribunal (Property Chamber) Landlord Granted Permission for Urgent Works Without Consultation
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 tenant is entitled to recover reasonable costs if successful in a claim.
- Emergency remediation works can proceed without prior consultation if urgent.
- Tenants can challenge notices containing incorrect figures.
- Landlords can seek dispensation to bypass consultation for urgent works.
- Local authorities can obtain orders for payment of annual fees under relevant acts.
❌ Tends to be rejected
- Tenants cannot challenge rent increases under S.13 if they have a secure tenancy.
- Tenants cannot refer a Section 13 notice to the Tribunal after the new rent takes effect.
Patterns observed in similar cases in this collection — every case is unique.
❓ Frequently asked questions
What did this decision decide?
The decision confirmed that the costs claimed by the successful applicant were reasonable and proportionate.
Who was involved?
The case involved a tenant (the applicant) and a landlord (the respondent).
How did the court decide, and why?
The court decided that the costs claimed were reasonable because they were supported by the lease provisions and the nature of the claim.
Which laws or rules were applied?
The court considered the lease provisions that allowed for cost recovery.
What was the argument that mattered most?
The argument that mattered most was that the costs claimed were reasonable and supported by the lease provisions.
Was the decision for or against the person who brought the case?
The decision was for the person who brought the case.
What does this mean for someone in a similar situation?
Someone in a similar situation can potentially recover reasonable costs if they win their claim and have supportive lease provisions.
What evidence or documents mattered?
The statement of costs and the lease provisions were important pieces of evidence.
Can a decision like this be appealed?
Yes, decisions like this can be appealed to the Upper Tribunal (Lands Chamber).
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 legal matters.
