Part 2Leasehold reform

Chapter 5Other provisions about leases

Service charges, administration charges etc.

I1155 Liability to pay service charges: jurisdiction

1

After section 27 of the 1985 Act insert—

27A Liability to pay service charges: jurisdiction

1

An application may be made to a leasehold valuation tribunal for a determination whether a service charge is payable and, if it is, as to—

a

the person by whom it is payable,

b

the person to whom it is payable,

c

the amount which is payable,

d

the date at or by which it is payable, and

e

the manner in which it is payable.

2

Subsection (1) applies whether or not any payment has been made.

3

An application may also be made to a leasehold valuation tribunal for a determination whether, if costs were incurred for services, repairs, maintenance, improvements, insurance or management of any specified description, a service charge would be payable for the costs and, if it would, as to—

a

the person by whom it would be payable,

b

the person to whom it would be payable,

c

the amount which would be payable,

d

the date at or by which it would be payable, and

e

the manner in which it would be payable.

4

No application under subsection (1) or (3) may be made in respect of a matter which—

a

has been agreed or admitted by the tenant,

b

has been, or is to be, referred to arbitration pursuant to a post-dispute arbitration agreement to which the tenant is a party,

c

has been the subject of determination by a court, or

d

has been the subject of determination by an arbitral tribunal pursuant to a post-dispute arbitration agreement.

5

But the tenant is not to be taken to have agreed or admitted any matter by reason only of having made any payment.

6

An agreement by the tenant of a dwelling (other than a post-dispute arbitration agreement) is void in so far as it purports to provide for a determination—

a

in a particular manner, or

b

on particular evidence,

of any question which may be the subject of an application under subsection (1) or (3).

7

The jurisdiction conferred on a leasehold valuation tribunal in respect of any matter by virtue of this section is in addition to any jurisdiction of a court in respect of the matter.

2

In section 38 of the 1985 Act (definitions), at the end of the definitions of “arbitration agreement”, “arbitration agreement” and “arbitral tribunal”, insert “ and post-dispute arbitration agreement”, in relation to any matter, means an arbitration agreement made after a dispute about the matter has arisen; ”.

3

In section 39 of the 1985 Act (index of defined expressions), in the first column, in the entry “arbitration agreement, arbitration agreement and arbitral tribunal”, for “and arbitral tribunal” substitute “ , arbitral tribunal and post-dispute arbitration agreement ”.