Mrs Nitu Gulab Bhojwani v 12-18 Hill Street Investments Ltd

Decision date: 30 July 2013

Neutral citation: [2013] UKUT 361 (LC)

Overall AI summary confidence: high

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Short overview

This short overview is intended to summarise the case, issues and outcome so far as they are supported by the judgment.

AI confidence in this short overview: high

This appeal concerned whether a landlord's service charge demands and quarterly on-account demands under a 1980 lease and section 47 of the Landlord and Tenant Act 1987 complied with statutory and contractual requirements for service years 2003/04–2010/11 (and an earlier porter’s rent claim). The Upper Tribunal allowed parts of Mrs Bhojwani’s appeal, quashed the LVT's restrictive temporal limitation, held that all service charge demands June 2004–March 2011 failed s.47 and are not due until proper information is provided, ruled most quarterly on-account demands payable from March 2003–Dec 2010 were invalid for breaching lease clauses 4 and 5, disallowed notional porter's rent for specified periods, reduced a 2010/11 licence fee and capped accountancy fees, and excluded respondent costs from recoverable service charges.

Ratio decidendi

This summary is intended to identify the ratio decidendi, meaning the legal reasons for deciding and the binding part of the decision.

AI confidence in this ratio decidendi summary: medium

The tribunal treated as determinative that repeated failures to comply with s.47 (including misidentifying the landlord and inadequate information) across the relevant period rendered the demands non-compliant and not recoverable until proper particulars were supplied; similarly, on-account demands that did not follow the lease’s required estimation and notification procedure (timing and basis) were held not payable.

Obiter dicta

This summary is intended to identify obiter dicta, meaning observations made by the way that were not necessary to deciding the case and are not binding.

AI confidence in this obiter dicta summary: medium

The notes indicate the tribunal drew adverse inferences where the respondent did not participate or adduce supporting evidence and made pragmatic determinations (e.g. a reasonable licence fee and caps on accountancy/audit) as best‑endeavour outcomes; they also suggest a tribunal need not reopen issues decided in the appellant’s favour by the LVT absent a cross-appeal.