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Appointment of a surveyor and management audits

Conclusions

The two powers provide great opportunities for tenants to examine and evaluate the arrangements for the management and repair of their premises and to know how the service charges are made up.

Neither right provides an end in itself but can provide information and evidence to enforce better management, to challenge service charges, or insurance costs or to apply for the replacement of the landlord with a new manager.

The 1996 Act rights for the appointment of a surveyor are more flexible than the 1993 Act management audit arrangements and should be of great benefit to tenants.

Comparison of the two rights
Management audit Appointment of a surveyor
Eligibility
‘qualifying tenants’ (long leaseholders) only who pay a service charge recognised tenants’ associations
tenants of single dwellings
one or both tenants of building in two dwellings
two-thirds of all qualifying tenants in buildings of three or more dwellings
Appointment
must be a qualified surveyor or a qualified accountant must be a qualified surveyor
not a tenant of the premises no conditions
may appoint an assistant may appoint an assistant
must provide notice of appointment to landlord must provide notice of appointment to landlord
the notice needs to be signed by each tenant on whose behalf it is given no prescribed format
Right to inspect documents
summary of relevant costs (1985 Act) any documents reasonably required
accounts, receipts, and other documents supporting that summary
any other documents reasonably required
landlord has one month to comply landlord has one week to comply “or as soon as is reasonably practicable”
Right to inspect premises
common parts in the relevant premises or “appurtenant property” (property not contained in the relevant premises but which is included in the management functions) common parts in the relevant premises or “appurtenant property” (property not contained in the relevant premises but which is included in the management functions)
building or buildings containing the dwellings let to the qualifying tenants building or buildings containing the dwellings let to members of tenants association
landlord has one month to comply or provide alternative date for inspection within two months landlord must comply within a “reasonable period”
Where landlord fails to comply
application to court two months after service of notice (but within four months) application to court one month after service of notice (but within four months)
Duration of appointment
ceases on completion of the audit (no prescribed procedures) ceases if the association gives notice in writing to the landlord or if the association ceases to exist
Last updated:
27 August 2021
Next review:
12 December 2026
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