Landlord Granted Dispensation from Consultation Requirements

Under Section 20 of the Landlord and Tenant Act 1985, where a landlord undertakes qualifying works with a cost of more than £250 per lease without consulting the leaseholders, the contribution from each leaseholder will be limited to that sum. However, a landlord may apply to the First-tier Tribunal (FTT) to dispense with the consultation requirements. Recently, such an application was granted in respect of urgent works to a property.

The landlord had applied to the FTT for dispensation from the consultation requirements in respect of work it had carried out to deal with disruptions to the heating and hot water supply. The heating pumps and invertors in the property needed to be replaced.

The landlord contended that consultation had not been possible because of the urgency of the works. None of the leaseholders had objected to the dispensation.

Section 20ZA of the Act allows the FTT to make a determination to dispense with the consultation requirements if it is satisfied that it is reasonable to do so. The FTT noted the Supreme Court's decision in Daejan Investments Ltd v Benson and Others, in which the Court found that the purpose of the obligation to consult tenants in advance of qualifying works was to ensure that tenants were protected from paying for inappropriate works or from paying more than would be appropriate. The question for the FTT in considering a dispensation application was therefore the extent to which the tenants had been prejudiced by the landlord's failure to comply with the requirements.

The FTT found that it had clearly been necessary to carry out the works urgently, and there was no evidence of prejudice being suffered by the leaseholders. The FTT therefore agreed to grant dispensation unconditionally. The FTT noted that the dispensation did not affect the leaseholders' ability to challenge the service charges under Section 27A of the Act.