Charging A Tenant Late Rent Penalty Fees for Overdue Payments. Here is how to resolve it.
DO NOT PAY IT FIGHT IT
Sun 15/07/2018 21:23
I receive a letter from Gray's Inn Capital Ltd recently the owners of the freehold Rossmore Close. They informed me that LPM have had the contract of rent administration terminated date 13th July 2018. This translates to me that LPM have performed poorly or to put in another way LPM have done a shit job. Facts LPM have failed, have probably cost the freeholder money and been replaced by a different business. For that the administrator should be sacked. This person has lost the business.
I have been informed also that all correspondence received by LPM will be forwarded to SPML.
As I will be having no more further dealing with you Kayleigh Cretten and your bent organisation LPM. I would like to say the following as a parting message.
Sent: 23 February 2018 10:22
Dear Mr L
Costs for any legal proceedings are recoverable under the terms of your lease. Please see below extract.
LPM have not set a precedent. We waived the fee as a gesture of goodwill before, we certainly are not required to do this each and every time you fail to pay your ground rent on time. We are not required to provide a breakdown of the fee as it is a set fee which has already ben deemed reasonable by the tribunal.
It is entirely up to you if you do not pay. However, your file will be passed to solicitors and they will commence legal action for non payment.
We trust the above clarifies.
Kayl*igh Cr*tten AIRPM
Leasehold Property Management Limited
PO Box 406
Dear DebtCollection Team
Thank you for your email. This is clear.
"fee was waived before a gesture of goodwill". LPM have set a precedent. i.e decision that is the basis or reason for future decisions. (Judges are obliged to make their rulings as consistent as reasonably possible with previous evidence involving similar disputes.)
Lease signed 8th July 2005
I have noted points Rent on page 5 refers to clause 4.1.1 on page 7 the amount and rent to be paid in advance by equal half payments on 24th June and date 25th Dec each year during the term. (Dates to pay the landlord)
point 4.11 refer to sum payable on the date it is due and a five percent above HSBC Bank Plc Base Rate.
From this a full calculation for the amount due can be made.
In a count of law LPM will have to provide the detailed calculations of why £48 is a late fee. How it is arrived at. I wish to challenge the amount in dispute.
I am totally completely happy for LPM to proceed to full court action. I accept it now. I am clear in what is to follow. I would be asked to seek independent legal advice. I understand that LPM will now pass this case to a debt collector or no win no fee solicitor. These bodies will then constantly, pursue relentlessly the sum LPM claim I owe by giving me final deadlines and adding on more fees. They may write to my lender in an attempt to force me to pay. Payment would be seen as agreeing that the interpretation of the lease is the one LPM deems it to be and this charge is correct. Good business for LPM. There will be bullying and aggressive tactics used, which will go on for months and years in pursuit of £48 fees and again further charges added on.
It seems like LPM has three choices.
Keep writing letters either directly or though a solicitor until the time has run out in which LPM can ask for this money. As I will not pay £48 as a fee.
Go to court. The matter of the lease can then be discussed and the matter will be resolved.
Drop the case.
I understand that county court judges like issues to be resolved outside of formal procedures I therefore pass this back to LPM. It is time for action now (not words and delays. I would like for LPM to instruct solicitors to start legal proceeding in a court of law, immediately. Address below. I believe LPM will keep asking for this money outside of the courts quoting the lease demands it. The result for LPM will be the same NON payment based on the legally binding lease clause 4.1.1 and point 4.11.
I look forward to this issue going on an on into the coming months and years and or a county court summons which ever is decided where I will meet expensive, ruthless LPM solicitors with their calculators in hand explaining how the sum of £48 is arrived at. If the court then says I must pay the fee I will. It would be a lesson learned and valued by me. I confirm again I will not be paying this money outside a judgement.
Edmonton County Court
Address: 59 Fore Street, London N18 2TN
How to apply etc
-----Original Message----- From: DebtCollection Sent: 07 February 2018 10:10 To: Subject: RE: 35102- Enquiry Submitted Through LPM Website PO Box 406 London NW5 2UW Tel. 020 7267 3890 Fax 020 7267 2275 www.lpm-uk.com Property Reference: 35102/WESTON/OCT/05/01
Dear Mr L Re: 13 xxxxx
Thank you for your email. The fee was waived before a gesture of goodwill. We are not required to do this each and every time you pay late. We simply cannot keep waiving fees that have been applied due to the breach of lease by non payment of rent on the due date. Your ground rent is due on the due dates and cannot be delayed or withheld for any reason. Unfortunately, your ground rent still needs to be paid on these dates regardless of your rental income. As the fee was waived in the past we are unable to waive it again. We will allow further time to make payment in full in the sum of £198.00. We will therefore place your file on hold until 15th February where you will be in further funds and payment can be made in full. We regret that should full payment not be received by this date then the file may be handed to solicitors which will incur further costs. We trust the above clarifies.
Yours sincerely LEASEHOLD PROPERTY MANAGEMENT LIMITED
From: l l Sent: 19 January 2018 09:45 To: DebtCollection Subject: RE: 35102- Enquiry Submitted Through LPM Website This message originated from outside your organization --------------------------------------------------------------------------------
Thank you for your last correspondence. I now would like to show LPM documented evidence which could be submitted in a county court along side a property lease agreement in aid of a decision.
1. Email from letting Agent 17 January 2018 2. Rent Received for 13 xxxx 13 February 2013 3. Rent Received for 13 xxxxx 07 November 2012 As mentioned earlier I have had an issue with income. As LPM can see from document 1. I have been patience with other parties. The amount owed was much greater than £150 and at present still not all paid to me. I am now in a position to pay the £150 rent and I would ask LPM to cancel the £48 late payment fee. In the past LPM has been fair and reasonable in this area of rent payment.
Please see attached 2. and 3. Please note the dates and amounts paid. As an offer to resolve this issue I would like to set up direct debit instruction into the future for rent payments. I would like now to action the payment of £150 via the online PLM payment portal. I will be able to do this and the DD once the £48 has been taken away from the total of £198 in the portal. Your sincerely LL
-----Original Message----- From: DebtCollection Sent: 15 January 2018 16:29 To: ll Subject: RE: 35102- Enquiry Submitted Through LPM Website PO Box 406 London NW5 2UW Tel. 020 7267 3890 Fax 020 7267 2275 www.lpm-uk.com Property Reference: 35102/WESTON/OCT/05/01
Dear Mr L Re: 13 xxxxxxx
Thank you for your email. We note you have confirmed that you have not received our invoice of 4th January but you have not disputed receiving our invoice sent in November. We believe therefore you were given and received ample notice for your rent falling due. The fee is a standard fee regardless of the amount due. It is a set fee we deem reasonable and can be charged under the Commonhold and Leasehold Reform Act 2002. For ease of reference the clause under this legislation states: Schedule 11- administration charges 1(1)In this Part of this Schedule “administration charge” means an amount payable by a tenant of a dwelling as part of or in addition to the rent which is payable, directly or indirectly (a)for or in connection with the grant of approvals under his lease, or applications for such approvals, (b)for or in connection with the provision of information or documents by or on behalf of the landlord or a person who is party to his lease otherwise than as landlord or tenant, (c)in respect of a failure by the tenant to make a payment by the due date to the landlord or a person who is party to his lease otherwise than as landlord or tenant, or (d)in connection with a breach (or alleged breach) of a covenant or condition in his lease. In this case the fee has been charged is accordance with 1C and 1D. Therefore, in light of the above, we look forward to receiving full payment in the next 7 days in order to avoid further costs being applied.
Yours sincerely LEASEHOLD PROPERTY MANAGEMENT LIMITED
From: ll Sent: 15 January 2018 16:20 To: DebtCollection Subject: RE: 35102- Enquiry Submitted Through LPM Website
This message originated from outside your organization
I did not receive a letter dated 4/01/18. I would like to know how you calculate the charges and this amount. Please could you send me documented information. I am of the understanding a rate is set in the lease. I believe that this is excessive. I wish to know how you come to this figure. From my understanding it could be 10 pounds or 200 pounds. You say a fee can be applied it can also be taken away. Thank you. LL
> On 15 January 2018 at 15:04
DebtCollection wrote: > > > > > PO Box 406 > London NW5 2UW > Tel. 020 7267 3890 > Fax 020 7267 2275 > www.lpm-uk.com > > > > > 15/01/2018 > > > > Property Reference: 35102/WESTON/OCT/05/01 > > > > Dear Mr L > > Re: 13 xxxxxxxxxx > >
Thank you for your recent correspondence regarding the late payment fee that > has been applied to your account. > >
Having checked your file we can see that reminders were sent to you on > 16/11/2017, 04/01/2018 and 11/01/2018. These demands were sent via post. We > are only required to send one invoice however, we send three. The second > reminder advises that if payment is not received within 7 days a late fee will > be applied. > > Your ground rent was due on 25/12/2017.
As payment was not received on the due > date this is deemed a breach of your lease. Under the Commonhold and Leasehold > Reform Act 2002 a fee can be applied for this breach of the lease. > > Therefore the full amount of £198.00 is now due within the next 7 days. > Failing which, the file may be passed to solicitors to recover the debt which > will incur further costs payable by you. > > We therefore look forward to receiving payment within the next 7 days. > >
Yours sincerely > LEASEHOLD PROPERTY MANAGEMENT LIMITED > > > > >