Using a managing agent
Removing an existing agent before appointing a new one
If you are unhappy with the current agent then have you tried using its complaints handling procedure and the redress scheme of which it is a member?
If you are so unhappy that you decide you want to change agents, here are some things to consider before making this decision:
- What period of notice is required in the management agreement? If there is no such agreement or period of notice in the agreement, what period would suit matters best?
- Terminate on a date that fits in with service charge payment periods or the end of the accounting year to make handover and accounting easier, if that is appropriate.
- What is the current financial position for your scheme? Is the service charge account in deficit or credit?
- Are there large outstanding arrears that will make it difficult for any agent to provide services? If you are not sure, ask the current agent.
- Is the current agent owed any unpaid management fees that will be disputed?
- What documents will be handed over to the new agent so that management can continue smoothly? Draw up a list of what you require or ask the new agent to propose a list.
- What sort of accounting statement will be drawn up as at the date of termination? Do you need an external accountant to check it – if so, who will pay the fee?
- Do not just appoint a new agent and expect them to sort out a mess. The RMC directors should try to establish the true extent of any problems and be honest with any new agent that they wish to appoint.
- Your new agent may well do most of the work of handover for you but you should brief the new agent about any problems of which you are aware and what you expect him or her to do. Dealing with messy handovers from the previous agent is not normal work for agents and the new agent may request an additional fee.
- Last updated:
- 27 August 2021
- Next review:
- 12 December 2026
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