Dilapidations Flashcards
What is the Practice Direction document?
The Practice Direction on Pre-Action Conduct applies to dilapidations which are not terminal and so to which the Dilaps Protocol doesn’t apply.
What is a quantified demand?
A document setting out the landlord’s losses as a result of the dilapidations at the termination of the tenancy. It may include:
- cost of the repair works
- Loss of value to the property
- Loss of rent and service charge
- Insurance
- Security
- Utilities
- Fees
The dilaps protocol says the QD should substantiate the monetary sum claimed as damages; set out whether VAT applies; Specify date when the tenant should respond (56 days is noted under the protocol); where monetary sum is based on works completed it should have proof of this e.g. an invoice or estimate; any other losses should be set out in detail and quantified.
What should a quantified demand do?
- set out clearly all aspects of the dispute,
- set out and substantiate the monetary sum sought as damages in respect of the breaches detailed in the schedule as well as any other items of loss for which damages are sought. It should also set out whether VAT applies
- confirm that the landlord and/or its surveyor will attend a meeting or meetings
- be sent within the same timescale for sending the tenant a schedule
- specify a date (being a reasonable time) by which the tenant should respond.
What is a reasonable time to send a schedule under the Dilaps protocol?
56 days
What are the aims of the Dilapidations protocol?
- to encourage the exchange of early and full information about the dispute
- to enable the parties to avoid litigation by agreeing a settlement of the dispute before proceedings are commenced
- to support the efficient management of proceedings where litigation cannot be avoided.
What is the full title of the dilapidations protocol?
Pre-Action Protocol for Claims for Damages in Relation to the Physical State of Commercial Property at Termination of a Tenancy (the ‘Dilapidations Protocol’)
What are the key points of the dilapidations protocol?
- Applies to commercial property in England and Wales
- Only applies to terminal dilapidations
- Establishes process and timescales for exchange of information
- Sets standards for the content and quality of schedules and Quantified Demands and, in particular, the conduct of pre-action negotiations
Under what basis is supersession claimed in law?
Under the LTA 1927 - Section 18 Limb 2
What would you do/ check before undertaking a dilapidations inspection?
- Review the lease clauses
- Review any schedules of condition
- Request Copies of Licences to Alter, consents, drawings, plans or specifications
- A note of any key dates critical to preparation or service of a dilapidations or repairs notice
What is a Scott schedule?
Scott Schedule · Schedules for use in litigation and family proceedings when the court is being asked to make a finding about disputed allegations or facts.
What are the two limbs of the Landlord and Tenant Act 1927 Section 18 1)?
Limb 1 Damages for breach of covenant or agreement to keep or put premises in repair at the termination of a lease shall in no case exceed the amount by which the value of the reversion in the premises is diminished owing to the breach of covenant
Limb 2 No damages shall be recovered for a breach of covenant if it is shown that the premises in whatever state of repair would at or shortly after the termination of the tenancy have been or be pulled down or such structural alterations made as would render valueless the repairs covered by the covenant or agreement
What is a yield up clause?
A clause in the lease which makes it clear to the tenant any specific requirements for ending the lease and returning or “yielding up” the property to the landlord
What type of law is dilapidations?
Contract Law
Wh
