Section: Leaseholders' Rights

New Rights for Leaseholders

From 1 October 2007, tenants in England must be provided with specific details about their rights and obligations with any demand for payment of a service or administration charge.

The new regulations, laid before Parliament on 24 April, set out the information that must be included in the summary (of rights and obligations), which must by law accompany a demand for payment of a service or administration charge. If the 'summary' fails to comply with the measures, the service or administration charges will not need to be paid until such a time as the summary does comply with the measures.

The 'summary' will apply mainly to those long leaseholders required under the terms of their lease to pay variable service charges, or where the landlord can request payment of an administration charge.

They could, however, also affect other tenants depending on their circumstances.

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Issue: May 2007 Reporting on March-April 2007

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