Dell & anr (respondents) v 89 Holland Park (Management) Ltd (appellant)
Tuesday 21 November 2023
By appellant’s notice filed on 5 October 2022, the appellant, 89 Holland Park (Management) Ltd, appeals with her permission, the Upper Tribunal (Lands Chamber) decision of Judge Elizabeth Cooke dated 1 July 2022, whereby she allowed the appeal and ordered that the applicants (appellants to the Upper Tribunal) were not required to pay as service charges the respondents’ costs of the Second and Third Claim and of objecting to Ms Hicks’ planning application.
The appeal is from a decision of the First tier Tribunal and concerns the question of whether legal and professional fees, which have arisen from applications by, and litigation with, a third party, can be recovered from residential leaseholders through the service charge machinery in their leases. The appellant is the freeholder of 89 Holland Park. The respondents acquired the lease in 2006. Land adjacent to the property was bought by a Ms Hicks in 2012 and the appellant became involved in a number of High Court actions with Ms Hicks regarding the development of the land and alleged breach of covenants. The respondents were also involved in bringing one of these claims with the appellant. It was the costs incurred by the appellant relating to this litigation which are the stage for the lower court proceedings. The FTT found that the costs were recoverable as service charges under the 1989 Lease (and therefore the 2007 Lease). The UT allowed the appeal against this Decision.
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