Readers will undoubtedly be aware that many leasehold property disputes are subject to review and determination under the jurisdiction of the Tribunal system. Legislation confers certain rights and obligations on landlords and tenants of flats and gives the Tribunal jurisdiction to hear applications for various matters such as the appointment of a manager, the variation of leases, the acquisition of the freehold or an extended lease and service charge disputes for example.
In this brief article, specialist property solicitors JB Leitch provide an overview of the structure and parameters of the Tribunals and pathways of escalation and appeal typically used by applicants and appellants in leasehold disputes.
What is the First-tier Tribunal?
The First-tier Tribunal is a general tribunal in the United Kingdom that deals with disputes across various areas of law. The tribunal is administered by HM Courts & Tribunals Service and is structured around particular areas of law. The tribunal aims to provide a fair, efficient and accessible service to the public. And was created in 2008 to simplify the tribunal system and has taken over the functions of 20 previous tribunals. The broad scope of matters that the First-tier Tribunal handles range from:
- Tax: including appeals against some decisions made by HMRC relating to income tax, VAT, inheritance tax, etc.
- Immigration and Asylum: appeals for some decisions made by the Home Office relating to permission to stay, deportation and entry clearance to the UK2
- Health, Education and Social Care: appeals against decisions made by local authorities in relation to children’s education, health and care, disability discrimination, mental health, etc.
- Property: applications, appeals and references relating to disputes over property and land, such as rent increases, leasehold disputes, land registration, agricultural tenancies, drainage, etc.
- General Regulatory: appeals against decisions made by government regulatory bodies, such as charities, estate agents, exam boards, food safety, etc.
- War Pensions and Armed Forces Compensation: appeals by current and former servicemen or women against decisions by Veterans UK in relation to pensions, compensation and other matters
- Social Entitlement: appeals relating to asylum support, criminal injuries compensation, social security and child support
The First-tier Tribunal is divided into seven chambers, each with its own rules and procedures regarding the areas outlined above. With regard to property disputes, the First-tier Tribunal (Property Chamber) is the tribunal in the UK that handles applications, appeals and references relating to disputes over property and land. Some of the typical areas that the tribunal covers are:
- Residential property: such as rent increases and leasehold disputes
- Applications on dispensation of service charge consultation requirements.
- Land registration: such as changes to the land register, correction or cancellation of documents.
- Agricultural land and drainage: including disputes between tenants and landlords, and related issues such as drainage.
- Right to Manage Disputes.
- Reasonableness of Costs.
Hearings are generally smaller and less formal than traditional Court hearings, with decisions will usually be made together by a chairman, a specialist property surveyor or lawyer, and someone without any specialised knowledge in property law. Applicants and appellants on a matter are commonly represented by legal counsel and expert witnesses who often provide key documents, prepared statements and evidence as needed. The venues can vary and can take place in a variety of settings. Decisions may be given orally but are usually provided in writing, with reasons, within six weeks of the hearing. If unhappy with the decision, there is a window of 28 days to appeal to the Upper Tribunal.
What is the Upper Tribunal?
It also determines cases that have not previously been considered by a lower tribunal, such as claims for compensation for compulsory purchase of land or for damage caused by public works. The Upper Tribunal (Lands Chamber) is one of four chambers of the Upper Tribunal, which settles legal disputes and is structured around particular areas of law. Relevant areas of appeal encompass:
- Leasehold enfranchisement including disputes about the price to be paid by leaseholders who want to acquire a new lease or the freehold of their house or block of flats
- Residential property obligations including rents payable by tenants under residential tenancies
- Service charges payable by leaseholders for repairs
- Insurance or other services provided by their landlord
- The right for leaseholders to manage their own building or obtain the appointment of a manager
- Appeals against determination that a tenant has committed a breach of covenant
The Court of Appeal
The Court of Appeal is the highest court within the Senior Courts of England and Wales. It is divided into two Divisions, Criminal and Civil, and is based at the Royal Courts of Justice in London. The Court of Appeal deals only with appeals from other courts or tribunals.
The Supreme Court
The Supreme Court of the United Kingdom is the highest court of appeal in the UK for civil cases, and for criminal cases from England, Wales and Northern Ireland.
The Supreme Court consists of 12 judges, called Justices of the Supreme Court, who are appointed by the King on the advice of the Prime Minister, following the approval of a recommendation by the Lord Chancellor. The Supreme Court cannot overturn any primary legislation made by Parliament, but it can overturn secondary legislation if it is found to be incompatible with the primary legislation or with the human rights protected by the Human Rights Act 1998. The Supreme Court can also make a declaration of incompatibility, indicating that it believes that a piece of legislation is incompatible with one of the rights in the European Convention on Human Rights. It is important to note that such a declaration does not invalidate the legislation, but it may provide sufficient weight and authority to prompt Parliament or the government to amend regulations or statutes accordingly.
