Good Afternoon and I hope everyone is safe.
I live in a house which has been divided up into 9 flats. There is a management company who maintains the building and issues a service charge every year which the leaseholders pay, Lets call the management company MC1. Now the directors of MC1 are also the directors of another company, lets call it AC2. The lease is between MC1 and the leaseholders. We have recently formed a Residents Association and upon inspecting the service charge reciepts we have found several which have been issued to the leaseholders from AC2. This is for work which has been done to our building by a contractor who has billed AC2 and AC2 have passed this charge to us.
Is this legal? I cannot find (nor am I entirely sure where to look) in the lease anything which says MC1 or associated companies etc.
Hope someone can shed some light on this for me.
Thank you.
I live in a house which has been divided up into 9 flats. There is a management company who maintains the building and issues a service charge every year which the leaseholders pay, Lets call the management company MC1. Now the directors of MC1 are also the directors of another company, lets call it AC2. The lease is between MC1 and the leaseholders. We have recently formed a Residents Association and upon inspecting the service charge reciepts we have found several which have been issued to the leaseholders from AC2. This is for work which has been done to our building by a contractor who has billed AC2 and AC2 have passed this charge to us.
Is this legal? I cannot find (nor am I entirely sure where to look) in the lease anything which says MC1 or associated companies etc.
Hope someone can shed some light on this for me.
Thank you.