Legal & Regulatory Compliance Flashcards
1
Q
What was the lease commencement date of Muswell Hill, Broadway?
A
June 2018
2
Q
What was the lease term for Muswell Hill, Broadway?
A
10 years
3
Q
Can you describe the construction of Muswell Hill, Broadway?
A
- Retail baking accross ground floor.
- Georgian: Solid masonry, combination of portland stone and red english brick bond.
- Slate pitched roof.
- Commerical glazed elevation to ground floor.
4
Q
What type of lease was Muswell Hill, Broadway?
A
FRI Lease.
5
Q
What was the calculated dilapidations assessment for Muswell Hill, Broadway?
A
- Calculated potential liability of £118k
- £56 per square ft
6
Q
What was the exit strategy for Muswell Hill, Broadway?
A
- 3 options :
1) Undertake all works prior to lease expiry.
2) Resolve the claim by way of financial settlement.
3) Combination of the above, carry out repairs only.
7
Q
What are the benefits of exiting by way of financial settlement concerning Muswell Hill, Broadway?
A
- Allows client time to understand LL intentions.
- Requires LL to prove their actual loss.
8
Q
How were the plans for Muswell Hill, Broadway measured?
A
- GIA (metric).
9
Q
What are dilapidations assessments used for?
A
- Used for financial bugeting purposes.
- Once LL intentions are known, must competitively tender the works.
10
Q
What were the lease obligations?
A
- Yielded up in a good condition.
- All alterations reinstated.
- Redecoration in the last year of term (every 5 years) and externally last 6 months (every 3 years).
- No LtA, so assuming fixtures and fittings are tenant installed.
- Tenant must carry out works with 2 monts notice, and in breach of the lease.
11
Q
What happens if the Tenant fails to comply with the lease obligations?
A
- The Landlord can enter the property to carry out works under Landlord & Tenant Act 1985 (Section 11).
- Case law = Jervis Vs Harris 1996.
12
Q
What is meant by the Section.18 process?
A
- Limb 1 : Dimunition
Limits the claim to the amount that the value of the landlord’s reversion is diminished by breaches of the covenant to repair. - Limb 2 : Supersession
No damages are recoverable, if it can be shown that on expiration of the lease the premises would be demolished or altered to the extent that would render valueless the repairs in question.
13
Q
What is standards can be referred to concerning Dilapidation processes?
A
RICS Professional Standard on Dilapidations in England and Wales, 7th Edition.
14
Q
What was the process of High Street, Deal dilapidations negotiations?
A
- Responded to a Terminal Schedule of Dilapidations served by the Landlord’s solicitor.
15
Q
Can you describe the High Street, Deal property?
A
- Red Flemish brick bond
- single glazed windows
- Victorian (1890)
- Natural slate hipped roof.
16
Q
What was the initial claim for High Street, Deal?
A
- £160k
- Negotiated down to £60k
17
Q
Was VAT inclded within your Dilapidation Negotiations concerning High Street, Deal?
A
- No
18
Q
Was any protection used under the LL & T Act 1927?
A
- Yes, the LL stated a requirement for the replacement of a boiler. It came to my attention that the boiler would not satisfy MEES, and would need to be replaced regardless.
19
Q
What were the lease obligations under High Street, Deal?
A
- Repair : Good substantial repair.
- Decoration: Last 12 months of the term (evrey 5th year) using good quality paint.
- Reinstatement : Reinstate all alterations made to the premises during the term.
- Remove all automatic telling machines.
- No requirement to remove safes / vauls from the premises.
20
Q
What is meant by implied consent?
A
- Not expressely implied within the lease.
21
Q
What changes did the Building Safety Act make under the Limitation Act 1980?
A
- The limitation period has been extnended to 30 years for buildings made uninhabitable from works pre BSA 2022, and 15 years for buildings post BSA 2022.
- Added Section 4B
22
Q
When did the Building Safery Act 2022 come into force?
A
28 June 2022
23
Q
What changes did the Building Safety Act make under the Building Act 1984?
A
- Section 38 claims due to a breach leading to building damages has been extended to 15 years where a building was completed after 28th June 2022.
24
Q
What are the three main methods of dispute resolution service?
A
- Mediation
- Arbitraion
- Adjudication
25
What is Mediaion?
- Non-binding unless a settlement agreement is reached
- Facilitated by a neutral party.
- Informal and voluntary process, focusing on reaching a mutually agreeable outcome.
- Requires agreement from both parties.
26
What is Arbitration?
- Binding and final decision
- Aebitrator makes final decsiion after hearing oth parties sides/evidence.
- More formal, with hearings, evidence presentation, and a legally binding decision.
- Enforceable in court.
27
What is Adjudication?
- Temporarily binding, often until a final resolution through litigation or arbitration is reached.
- Adjudicator who makes a decision based on a specific dispute.
- Often faster and less formal than arbitration, with a focus on resolving specific issues.
- Enforceable, but only until the dispute is resolved by litigation or arbitration.
- Often limited to the specific issue in dispute.
- Time efficiant as decsion must be made within 28 days.
28
What right does the Housing Grants, construction and Regeneration Act 1996 imposes with regards to ADR?
The Housing Grants, construction and Regeneration Act 1996 imposes a right to adjudication in construction contracts.
29
What Act is Arbitration Governed by?
The Arbitration Act 1996
30
What rights does the Landlord and Tenant Act 1954 provide?
- The right for a Tenant to renew lease.
31
How do you know if VAT is applicable?
- If VAT is payed through rent invoice, the Landlord can't claim VAT during dilapidations.
- HMRC have a decision tree for this.
32
What is the notice period a Landlord must give for reinstantement to be carried out?
- 3 months
33
What is the Asbestos Accrediatation?
- UKAS
34
What is the Section 146 Notice? What law does it apply to?
- Notice served by Landlordwho wishes to start forefeiture proceedings on a leasseholder following a breach of lease.
- Leasehold (Porperty) Repair Act 1938
35
What is the Leasehold (Porperty) Repair Act 1938?
- Limits LL right to claim damages or for forefeiture for disrepair during the lease term.
36
How is dimunition calculated?
- Through a valuation.
37
What is Section 18 (1) of the Landlord and Tenant Act 1927?
- Limb 1 = Dimunition
- Limb 2 = Supersession
38
What is Dimunition?
- Limits claim to the amount that the value of Landlord reversion is diminished regarding the repair covenant.
39
What is supersession?
- Renders no damages are recoverable as repairs would be of no value.
40
Give an example of a conseqential loss?
- Loss of rent
- Loss of rates
- Loss of insurance premium
41
Give an example of case law relating to supersession.
- Sunlide d'Europe v Tiger Spect Holdings Ltd
- Landlord had to carry out repair works to re-let the property.
42
What is included within the surveyors endorsement and where is it signed?
- At the end of a settlement, confirming that:
1. Costs are fair and reasonable
2. Good workmanship
3. Landlords intentions are confirmed / understood
43
What does the Proudfoot vs Hart caselaw refer to?
- The property must only be put into repair with regards to what's reasonably viable in terms of age, character and locality of the property.
44
What is a calderbank offer?
- WP subject save as to costs
- Increased flexibility
- Creativity for offerer on length of time and payment
- Binding if accepted
45
What is a S36 offer?
- Not flexible
- If made and not accepted by the other party and matters progress to court and the trial does not beat the offer, then they will be liable for legal costs
- Specify a period of not less than 21 days in which claimant libale for costs
46
What are the steps in the dilapidation protocol?
1 - Issued TSOD (with 56 days of termination of tenancy)
2 - Issued Quantified Demand
3 - Tenant Response with 56 days
4 - Negotiations
5 - Quanitification of loss
6 - Stocktake
7 - Court proceedings
47
What are the timelines of adjudication?
Adjudicator has to be appointed within 7 days and decision made within 28 days.
48
What is the dilapidations protocol?
Guideline for suevyors and sets out conduct the court would normally expect parties to follow prior to court proceedings
49
What is the RICS Proffesional Standard for party wall?
Party Wall Legislation and Procedure 7th Edition 2019
50
What are the 5 Steps from Dowding and Reynolds in ascertianing what repairs applicable for a lease?
1 - What is the physical subject matter of the covenant?
2 - Is the subject matter in a damaged or deteriorated condition?
3 - IS the nature pf the damage or deterioration such as to bring the condition of the subject matter beloew the standard contemplated by the covenant?
4 - What work is necessary in order t put the subject matter of the covenant into the contemplated condition?
5 - Is the work nonetheless of such a nature that the parties did not contemplate it would be the liability of the covenated party?
51
What are the duty holders responsiiblites in relation to asbestos management?
- Take reasonable steps to identify ACM's.
- Record amount location and condition of asbestos.
- Assume it does contain asbestos unless proven otherwise.
- Keep an up to date asbestos register.
- Assess risk of exposure and have plan to manage.
- Provide information to anyone who is liable to work on or disturb asbestsos.
52
Apart from the control of asbestos regulations what other resources could your refer to for asbestos?
Managing and working with Asbestos – Approved Code of Practice and guidance HSE.
53
What is licensable work with asbestos?
Work which requires removal work be undertaken by a licensed contractor B12.
54
What are the key statutes in relation to dilaps?
- Law and Property Act 1925
- Leasehold (Property) Repairs Act 1938
- Landlord and tenant Act 1927
- Landlord and Tenant Act 1925
- Landlord and Tenant Act 1954
55
What are the Civil Procedure Rules?
- Rules provide a new code of civil procedure for the civil courts
- Objective of enabling the court to deal with cases justly and at proportionate cost
- Aim to encourage the parties to avoid litigation by arriving at a settlement
56
What are the different types of party wall?
Type A - if it stands astride the boundary of land belonging to two (or more) different owners.
Type B - if it stands wholly on one owners land, but is used by two (or more) owners to separate the buildings
57
What are the notice periods the Building Owner has to abide by?
Section 1 - New Building on the boundary line between neighboroughing pieces of land - 1 month before planned start date
Section 2 - Existing Party Wall - 2 months before planned start date
Section 6 - Excavation near neighbouring buildings - 1 month before planned start date
58
What are some examples of non licensable asbestos works?
- Small short duration maintenance where control limits will not be exceeded.
- Removing textured decoration coatings by suitable dust reduction method.
- Cleaning up small amounts of fine debris containing asbestos dust
- Asbestos cement works B35.
59
What are some examples of licensable asbestos works?
- Removing sprayed coatings.
- Removal or other work which may disturb asbestos lagging Work on AIB insulation in which a risk assessment identifies it will not be a short duration.
- Where the risk assessment cannot clearly demonstrate that the control limit of 0.1f/cm3 will not be exceed.
- Cleaning up significant quantities of dust which contains ACM dust B37.
60
Who is the Duty Holder regarding asbestos in commercial buildings?
- Person with respondibility for the maintenance or repair through an explicit agreement (eg contract or tenancy agreement).
- If unclear, duty will revert to the person in control of buidling, tyically the owner.
61
What are the fines for breaching Control of Asbestos Regulations 2012?
- Serious breach = Unlimited fine and up to 2 years in prison.
62
What other reasources other than the Control of Asbestos Regulation 2012 could you refer to?
- Managing and working with Asbestos (HSE) - Approved Code of Practice and guide.
63
What is the Building Act 1984?
- The Building Act 1984 Is the primary legislation enabling legislation in which secondary legislation such as the building regulations are made up of.
- Consolidated all previous legislation is into one.
64
Who are the duty holders under CDM 2015?
- Client
- PD
- PC
- Contractors
- Designers
- Workers
65
What is the duty of the principle Designer under CDM?
- Plan, manage, monitor and coordinate health and safety in pre construction phase of the project
66
What is the duty of the principle contractor under CDM?
- Plan, manage, monitor and coordinate health and safety in construction phase of the project. Including:
Liaise with client and PD .
Preparing and issuing construction phase plan .
Organising cooperation between contractors and coordinating cannot coordinating that works
- Make Sure:
Site inductions are provided .
Reasonable steps are taken to prevent unauthorised access.
Works are constructed and engaged in securing health and safety . Welfare facilities are provided "
67
What is an F10 form and what does it include?
- HSE Notification form
- Location (address / local authority)
- About Project (Description of work and No of people)
- Stakeholders / people involved
- Declaration
68
What is a design and access statement?
- A short report which accompanys a planning application.
- Explains how the proposed development is a suitable for the site and demonstrtes that the development can be adequately access by prospective users.
69
When do you need to apply for planning permission?
- Demolition of buildings.
- Rebuilding structure or alteration or addition to buildings change of use.
- Materially affects exterior of building.
- New building.
70
When don’t you need planning permission?
- Maintenace or alteratiosn that only affect interior.
- Do not materially affect the exterior of the buidling.
71
What are the key statutes / legislation for planning in England?
- Town and Country (general permitted development) Order 2015
- Nation Planning Policy Framework
- Town and Country Planning Act 1990
- Planning ( Listed Buildings and Conservation Areas) Act 1990
- Local Development Framework
72
What is permitted development?
- Works which do not require planning permission
73
What works are classed as permitted development?
- Enlargement improvement or alteration of a house (extension) Subject to size.
- Erection of a porch.
- Development by the crown (limited).
74
What are the stages in the planning application process?
1 - Submit application
2- Notification and consultation with community and statutory consulties (not always)
3 - determination of process (8 - 13 weeks depending on complexity)
4 - Decision
5 - Option to appeal (Secretary of State within 6 months)"
