F1F1SCHEDULE 10
Introductory
1
The provisions of this Schedule have effect for enabling the local authority to recover expenses reasonably incurred by them in carrying out, F2in a case where the notice has not been complied with, works required to be carried out by a notice under—
Recovery of expenses
2
(1)
The expenses are recoverable by the authority
F4(a)
where the works were required by a notice under section 189 or section 190 (repair notices), from the person having control of the dwelling-house F5house in multiple occupation or part of the building to which the notice relates; and
F6(b)
where the works were required by a notice under section 352 or 372 (notices relating to houses in multiple occupation), from the person having control of the house or the person managing the house, as the authority think fit;
and in the following provisions of this paragraph the person from whom expenses are recoverable by virtue of this sub-paragraph is referred to as “person primarily liable”.
(2)
Where the person F7primarily liable—
(a)
in the case of a notice under section 189 or 190 (repair notices), receives the rent of the premises as agent or trustee for some other person, or
(b)
in the case of a notice under section 352, . . . F8 or 372 (notices relating to houses in multiple occupation), was only properly served with that notice as being an agent or trustee for some other person,
the expenses are also recoverable by the authority from that other person, or partly from him and partly from the person F7primarily liable.
(3)
Where the person F9primarily liable proves—
(a)
that sub-paragraph (2) applies, and
(b)
that he has not, and since the date of the service on him of the demand has not had, in his hands on behalf of that other person sufficient money to discharge the whole demand of the authority,
his liability is limited to the total amount of the money which he has, or has had, in his hands as mentioned in paragraph (b).
(4)
Expenses are not recoverable under this paragraph to the extent that they are by any direction of the court on appeal recoverable under an order of the court.
Service of demand
3
(1)
A demand for the expenses, together with interest in accordance with paragraph 4, shall be served on the person from whom the authority seek to recover them.
(2)
On the date on which the demand is served, the authority shall serve a copy of it on every other person who, to the knowledge of the authority, is an owner, lessee or mortgagee of the premises.
(3)
The demand becomes operative, if no appeal is brought, on the expiry of 21 days from the date of service of the demand and is final and conclusive as to matters which could have been raised on an appeal.
Interest
4
Expenses in respect of which a demand is served carry interest, at such reasonable rate as the authority may determine, from the date of service until payment of all sums due under the demand.
F10. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
5
Appeals
6
(1)
F12(1A)
Where the demand for recovery of expenses relates to works carried out by virtue of section 193(2A), it shall be a ground of appeal that, at the time the local housing authority gave notice under section 194 of their intention to enter and do the works, reasonable progress was being made towards compliance with the repair notice.
F13(1B)
Where the demand for recovery of expenses relates to works carried out by virtue of subsection (3) of section 375, it shall be a ground of appeal that, at the time the local housing authority served notice under subsection (3A) of that section, reasonable progress was being made towards compliance with the notice in question.
(2)
On an appeal the court may make such order either confirming, quashing or varying the demand . . . F14 as it thinks fit.
(3)
A demand . . . F14 against which an appeal is brought becomes operative, so far as it is confirmed on appeal, on the final determination of the appeal; and the withdrawal of an appeal has for this purpose the same effect as a decision dismissing the appeal.
(4)
No question may be raised on appeal under this paragraph which might have been raised on an appeal against the relevant notice.
F15 Expenses and interest recoverable from occupiers
6A
(1)
Where a demand becomes operative by virtue of paragraph 3(3) or 6(3), the local housing authority may serve notice on any person—
(a)
who occupies the premises concerned, or part of those premises, as the tenant or licensee of the person on whom the demand was served under paragraph 3(1); and
(b)
who, by virtue of his tenancy or licence, pays rent or any sum in the nature of rent to the person on whom the demand was served,
stating the amount of expenses recoverable by the authority and requiring all future payments of rent or sums in the nature of rent, whether already accrued due or not, by such tenant or licensee to be made direct to the authority until the expenses recoverable by the authority, together with interest accrued due, have been duly paid.
(2)
In the case of a demand which was served on any person as agent or trustee for another person (in this sub-paragraph referred to as “the principal or beneficiary”) sub-paragraph (1) shall have effect as if the reference in each of paragraphs (a) and (b) to the person on whom the demand was served were a reference to that person or the principal or beneficiary.
(3)
Subject to sub-paragraph (4), where a notice is served under sub-paragraph (1) then, unless the authority by further notice served on the tenant or licensee otherwise direct, it shall operate to transfer to the authority the right to recover, receive and give a discharge for the rent or sums in the nature of rent.
(4)
The right of the authority to recover, receive and give a discharge for any rent or sums in the nature of rent by virtue of this paragraph shall be postponed to any right in respect of that rent or those sums which may at any time be vested in a superior landlord by virtue of a notice under section 6 of the Law of Distress Amendment Act 1908.
Expenses and interest to be a charge on the premises
7
(1)
The expenses recoverable by the authority, together with the interest accrued due, are, until recovered, a charge on the premises to which the notice related.
(2)
The charge takes effect when the demand for the expenses and interest becomes operative.
(3)
The authority have for the purpose of enforcing the charge the same powers and remedies, under the M1Law of Property Act 1925 and otherwise, as if they were mortgagees by deed having powers of sale and lease, of accepting surrenders of leases and of appointing a receiver.
(4)
The power of appointing a receiver is exercisable at any time after the expiration of one month from the date when the charge takes effect.
Recovery of expenses and interest from other persons profiting from execution of works
8
(1)
This paragraph applies only to notices under section 352, . . . F16 or 372 (notices relating to houses in multiple occupation).
(2)
If the authority apply to the county court and satisfy the court that—
(a)
the expenses and interest have not been and are unlikely to be recovered, and
(b)
some person is profiting by the execution of the works in respect of which the expenses were incurred to obtain rents or other payments which would not have been obtainable if the number of persons living in the premises was limited to that appropriate for the premises in their state before the works were executed,
the court may, if satisfied that that person has had proper notice of the application, order him to make such payments to the authority as may appear to the court to be just.