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I have been receiving my service charge bills twice a year, and for about 10 years, I paid the entire bill each time I received it. However, the living costs and service charge has continuously increased over time. In 2022, I requested to pay my service charge in monthly instalments. The property management company advised me to pay in 5 monthly instalments, without mentioning any specific duration or reapplication requirements.
When I received a final reminder from them in 2022, I immediately wrote back to inquire about my payment plan, and they responded that they noted I was paying monthly, and the remainder is generated automatically if the balance is not zero. I continued to pay in this manner for 18 months.
In late 2023, I received a payment demand and wrote back to the property management company, stating, Im on a payment plan, please advise if otherwise. The property management company replied, You can continue to pay monthly; we updated our record, again without mentioning any terms or duration of the monthly payment plan.
It is reasonable to believe that like other bills such as council tax, business rates, utility bills, and telephone bills, once a monthly payment is set up without an end date, it will remain in effect until further notice of any changes.
In 2024, I was shocked to receive the highest bill yet, with a significant increase, more than doubling to £5K. I intended to investigate the details but did not manage to do so. I received a Finaly reminder which states if you pay monthly, please ensure to pay the correct amount, also a final warning that -No payment is in breach of your lease covenant, so I paid my instalment by the due date as I had for the past two years. However, 3 weeks later, I received a pre-action letter stating that I breached my covenant to pay my service charge. I wrote to the property management company to clarify, but they have been avoiding any communication. The solicitor they engaged is claiming a large amount of legal costs without providing a breakdown and is threatening additional costs, court action, and adding fees to my mortgage in every single email.
The dispute centres around the solicitor's argument that my monthly payment plan ended when the new bill arrived this year and that full payment is required. However, I was never informed about any change in my payment plan during this entire period, otherwise, I will contact the property management company to clarify or pay the full amount. In addition, Im continued paying my monthly instalment and the service charge should be fully paid before the defence letter submission.
I received a court claim few days ago and acknowledged. I would like to dispute the lawyer fees they have enforced on my account, which now exceed £3K. I have never experience this before and unsure where I should start with the defence letter and what legal terms are relevant to my situation.
Your advice/guidance is greatly appreciated.
When I received a final reminder from them in 2022, I immediately wrote back to inquire about my payment plan, and they responded that they noted I was paying monthly, and the remainder is generated automatically if the balance is not zero. I continued to pay in this manner for 18 months.
In late 2023, I received a payment demand and wrote back to the property management company, stating, Im on a payment plan, please advise if otherwise. The property management company replied, You can continue to pay monthly; we updated our record, again without mentioning any terms or duration of the monthly payment plan.
It is reasonable to believe that like other bills such as council tax, business rates, utility bills, and telephone bills, once a monthly payment is set up without an end date, it will remain in effect until further notice of any changes.
In 2024, I was shocked to receive the highest bill yet, with a significant increase, more than doubling to £5K. I intended to investigate the details but did not manage to do so. I received a Finaly reminder which states if you pay monthly, please ensure to pay the correct amount, also a final warning that -No payment is in breach of your lease covenant, so I paid my instalment by the due date as I had for the past two years. However, 3 weeks later, I received a pre-action letter stating that I breached my covenant to pay my service charge. I wrote to the property management company to clarify, but they have been avoiding any communication. The solicitor they engaged is claiming a large amount of legal costs without providing a breakdown and is threatening additional costs, court action, and adding fees to my mortgage in every single email.
The dispute centres around the solicitor's argument that my monthly payment plan ended when the new bill arrived this year and that full payment is required. However, I was never informed about any change in my payment plan during this entire period, otherwise, I will contact the property management company to clarify or pay the full amount. In addition, Im continued paying my monthly instalment and the service charge should be fully paid before the defence letter submission.
I received a court claim few days ago and acknowledged. I would like to dispute the lawyer fees they have enforced on my account, which now exceed £3K. I have never experience this before and unsure where I should start with the defence letter and what legal terms are relevant to my situation.
Your advice/guidance is greatly appreciated.
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