Demand for backdated service changers by developer when developer is in receivership

B

Bungie

Guest
I've had a my first contact from the developers of a block of apartments looking for 5 years of service charges to be paid. I had been told up to this point that there was not a management company in place and only when all units are sold would one be put in place.

the blocks have fallen into disrepair (lift broken for a year and first door to street also broken). There has been in that time lighting in common areas and collection of rubbish - but very little else.

I checked the Companies Registration Office and the developer is in receivership and the banks have taken over remaining unsold appartments yet the developer has given his company address as the place to send the money for the backdated service charges. I feel that the money will just go into the pocket of the developer and in the meantime the apartment owners will have to start from scratch and set up sink fund along with picking up the mess left by the developers. Does any legislation cover this area - and what about company law?
 
Re: Demand for backdated service changers by developer when developer is in receivers

What does your lease say? It would be normal practice to sign one when purchasing and it should have made reference to a service charge and indicate that it could increase over time. Regardless of whether you were invoiced for it, if there is a figure on the lease, you owe it.
 
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