In many cases, the objective of a system is to ensure that the appearance and quality of the entire territory is maintained at the same level. However, a regime may also include conditions for the maintenance of community gardens or other shared facilities or areas. If this is the case, it may allow the lessor to recover certain costs. Contact your freeholder if you are not satisfied with the fees or the work or services you are charged. For a precise explanation of the terms used in this fact sheet, please refer to the fact sheet LA 101 Glossary. As a general rule, a homeowner does not have to keep costs to a minimum. However, the law states that service rates must be „reasonable“ and that, where the costs relate to work or services, the work or services must have an appropriate standard. A reference to the information that must be provided to a service fee request. Reserve funds are expected to earn interest, as they are generally held longer than the daily service fee, which helps cover the increased budgetary costs. For more information on maintenance fees and reserve funds, please see the „Holding Service Fees – Fiduciary Accounts“ section. You have the right to be consulted on the costs of operating or maintaining the building if you have to pay more than: Services or work that are not covered by your rental agreement The lease should be reviewed to determine whether improvement costs can be included in the service fee.

If the rental agreement does not require payment for improvements, tenants may not be required to contribute to the costs. However, in some cases, it can be difficult to distinguish between repairs and improvements, depending on the nature of the work, and if members have doubts about this, they can turn to the LA for advice. When a lessor receives a request for a service fee account summary, they must provide it within one month (or within six months of the end of the 12-month billing period, whichever comes later). The payment due date may be less than 30 days, which is more than 60 days after the date of notification of termination or before the payment provided for in accordance with the lease agreement. The landlord can mail the termination to the address of the house or apartment to which it relates, unless you have already given the owner another address. Some tenants might also try to negotiate a cap so that the amount of service fees the tenant has to pay does not exceed the cap. The LA does not recommend withholding the service charge, especially since an application may be made to an FTT even in cases where a service charge at issue has been paid in full, as long as the tenants have not admitted that they agree with the full amount calculated. Tenants may also claim a financial transaction tax with respect to the service fee required in advance and the level of all work for which the service fee is used.

The FTT reviews the evidence presented by both parties before making a decision on what is appropriate. „Commercial contracts often include an obligation for landlords to provide a certificate to tenants at the end of a year`s service fee. The tenant will normally have paid an estimate of the annual service fee in quarterly increments during the service fee year, so that the certificate effectively „compares“ the service fee at the end of the year. If the payments have overestimated the total amount of service fees due for the year, the tenant is reimbursed. If the payments underestimated the amount of the service fee due, the tenant must pay the compensatory sum to the landlord,“ he said. An estate management system allows owners to retain some management control over real estate, facilities and common areas when the property has been sold to tenants….