Section 20 is the consultation process for works which:
- Will cost any one leaseholder more than £250. This includes repairs, maintenance and improvements to your building and estate.
- Enter into a long-term agreement (for more than 12 months) with outside contractors for work, supplies or services which will cost any one leaseholder more than £100 a year. Examples include cleaning, grounds maintenance and surveying.
- Carry out work under a long-term agreement where the work will cost any one leaseholder more than £250.
The Section 20 consultation process generally has three stages:
- A notice of intention – what you are planning to do.
- Notification of estimates – prices that you have obtained.
- Notification of award of contract – who has been chosen.
More advice can be located on the Leasehold Advisory website http://www.lease-advice.org/information/faqs/faq.asp?item=173 or via the RICS Service Charge Residential Management Code which is available here.