Q&A Examining Information Notices And The Right To Manage

• Published date: 09 October 2020
• Subject Matter: Real Estate and Construction, Privacy, Data Protection, Landlord & Tenant - Leases
• Law Firm: Charles Russell Speechlys LLP
• Author: Ms Laura Bushaway

Section 82 of the Commonhold and Leasehold Reform Act 2002 ( CLRA 2002) enables an RTM company to serve an information notice on a third party, such as the landlord or the landlord's managing agent, requesting information which it 'reasonably requires for ascertaining the particulars required by or by virtue of section 80 to be included in a claim notice for claiming to acquire the right to manage the premises' (the 'information notice'). As such, this right is limited to information which the RTM company reasonably requires to be included in the claim notice. It extends only to information within the possession or control of the person served with the notice ( CLRA 2002, s 82(1)(a)). The recipient of the information notice has 28 days to comply and provide the information requested in the information notice.

The freeholder or their managing agent will hold the contact details for all of the leaseholders in the building in order to send ground rent and/or service charge demands and other communications in relation to the management of the building.

References: CLRA 2002, s 79(8)

Pursuant to CLRA 2002, s 80, it is a requirement of the claim notice to include the full name of each person who is both: (a) the qualifying tenant of a flat and (b) a member of the RTM company, and the address of their flat. In addition, a copy of the claim notice must be sent to each qualifying tenant in the building.

Pursuant to CLRA 2002, s 79(2), a valid claim notice cannot be given unless each person required to be given a notice of invitation to participate has been served with that notice at least 14 days before service of the claim notice. Therefore, the RTM company may need to prove service of the notice of invitation to participate in relation to those qualifying tenants who have not become members of the RTM company.

However, there is no requirement to include any statement in the claim notice regarding service of the notice of invitation to participate, so there is an argument that the contact details of the leaseholders in the building are not reasonably required to enable the RTM company to ascertain the particulars to be included in the claim notice.

Further, the right under CLRA 2002, s 82 is exercisable by the RTM company rather than an individual leaseholder.

The RTM company...