Service Charge Collection

SERVICE CHARGE COLLECTION

Lee Pomeranc act for a number of residential managing agents and landlords and have for many years collected volume service charge and ground rent arrears successfully on a “no collection to landlord” basis.

Our experience shows that collection of service charge arrears requires a systematic approach to tenant debtors, a professional and determined manner in dealing with mortgagees of defaulting tenants, the efficient transfer of information to and from our clients and most importantly a no cost to landlord service. Our collection service addresses all these requirements. Instructions to collect service charge arrears are dealt with on a same day basis, collections can often be made from the tenants mortgagees direct and we have in place an efficient reporting system so that clients are kept abreast of progress on all cases that we are handling.

We would estimate that in excess of 90% of all residential service charge arrears cases referred to us are undefended claims. Collections are made either from the tenant direct or the tenants mortgagee. The timescale for collecting from the tenants mortgagee depends on the requirements of the mortgagee and whether they require a court order and a section 146 notice to be served. In any event, the outcome of these undefended cases is that service charge arrears will be collected and all our costs incurred in collecting the arrears will be settled without charge to the landlord.

In relation to the small number of cases that are defended we are always mindful of the costs position and as soon as a claim is defended we will immediately take instructions and consult with you. We understand the necessity for a commercial approach to the collection process and will engage with you to try and find the most cost effective solution to avoid adverse cost implications. This may take the form of negotiation with the tenant or mediation. However in cases where we are instructed to pursue a defended claim we will do so vigorously. We have extensive experience of litigation and mediation both in the County Court and at the Leasehold Valuation Tribunal.

Contact:

Emma Phillips
emma@leepomeranc.co.uk
0208 201 6299