Section 138 — Housing Act 2004: Compensation payable to third parties

Compensation payable to third parties 138 1 A third party may, while an interim EDMO is in force in respect of a dwelling, apply to the appropriate tribunal for an order requiring the local housing authority to pay to him compensation in respect of any interference in consequence of the order with his rights in respect of the dwelling.

2 On such an application, the tribunal may, if it thinks fit, make an order requiring the authority to pay to the third party an amount by way of compensation in respect of any such interference.

3 If a third party requests them to do so at any time, the local housing authority must consider whether an amount by way of compensation should be paid to him in respect of any interference in consequence of a final EDMO with his rights.

4 The authority must notify the third party of their decision as soon as practicable.

5 Where the local housing authority decide under subsection (3) that compensation ought to be paid to a third party, they must vary the management scheme contained in the order so as to specify the amount of the compensation to be paid and to make provision as to its payment.