reasonable standard
📖 What is reasonable standard? Meaning and definition
In UK tenancy law, particularly concerning service charges, the concept of a 'reasonable standard' is crucial for determining the amount payable by tenants. It dictates that where costs are incurred for providing services or carrying out works, these services or works must be of a reasonable standard. This means that the quality of the work or service provided should be appropriate and acceptable, not necessarily the cheapest, but also not excessively expensive for the quality delivered.
This standard is applied by tribunals when evaluating the reasonableness of service charge expenditure. For instance, if a landlord commissions major works, the tribunal will assess whether those works were carried out to a reasonable standard. This involves considering expert opinions, such as those from surveyors, regarding the quality of work expected versus the price quoted. A lower price might suggest that the works would not be of good quality, thus failing to meet a reasonable standard.
The purpose of this requirement is to protect tenants from paying for substandard work or services. It ensures that landlords or management companies not only incur costs reasonably but also that the output of those costs – the services or works themselves – are of a suitable quality. The amount payable by a tenant can be limited if the services or works are not of a reasonable standard, leading to adjustments in the service charge.
📋 Requirements
- Costs must be reasonably incurred.
- Services or works must be of a reasonable standard.
- Expert opinions may be considered to assess the quality of work.
- The price quoted for works can be an indicator of expected quality.
📝 Procedure
- A tribunal considers the oral and written evidence presented by both parties.
- The tribunal assesses the extent, complexity, and location of the development.
- The tribunal evaluates whether the services or works provided meet a reasonable standard.
- Any necessary adjustments to service charges are made if the standard is not met.
💡 Examples
- A landlord hires a builder for major works, but a surveyor advises that the quoted price is too low to ensure the works will be carried out to a reasonable standard, leading to the tribunal questioning the reasonableness of the charges.
- Tenants dispute service charges for a new entry phone system, arguing that despite being installed, it frequently malfunctions and therefore does not meet a reasonable standard of operation.
- A tribunal determines that while a main access door was secure, the proposed works to upgrade it were considered urgent due to vandalism issues, and the quality of the proposed upgrade would need to meet a reasonable standard.
- When comparing different quotes for major works, a tribunal might favour a slightly higher quote if expert advice suggests it is more likely to result in works of a reasonable standard.
❓ Frequently asked questions
What does 'reasonable standard' mean for my service charges?
It means that any services or works paid for through your service charges must be of an appropriate and acceptable quality. You shouldn't have to pay for work that is poorly done or services that are inadequate.
Who decides if works are of a reasonable standard?
Often, a First-tier Tribunal (Property Chamber) will decide this if there is a dispute. They will consider evidence, including expert opinions, to determine if the standard is met.
Can I refuse to pay service charges if I think the work is not up to a reasonable standard?
It's generally not advisable to simply refuse payment as this could lead to further legal action. Instead, you should formally dispute the charges, providing evidence of why you believe the standard is not reasonable, and potentially apply to a tribunal for a determination.
Does 'reasonable standard' mean the cheapest option?
No, not necessarily. While costs must be reasonably incurred, the cheapest option might not always provide a reasonable standard of work. The tribunal will look for a balance between cost and quality.
What kind of evidence can I use to show work isn't to a reasonable standard?
You can use photographs, expert reports (e.g., from a surveyor), correspondence with the landlord or management company, and witness statements. Any documentation that supports your claim about the poor quality of work or service is helpful.
What happens if a tribunal finds the work wasn't to a reasonable standard?
If a tribunal finds that the services or works were not of a reasonable standard, they can limit the amount you have to pay for those charges. This might result in a repayment, reduction in future charges, or other adjustments.